Damo: Maintaining China Financial Insurance's (02328) “plus” rating and HK$21.6 target price coverage and investment stability will help withstand fluctuations

The Zhitong Finance App learned that Morgan Stanley released a research report stating that it will maintain China Financial Insurance (02328)'s “increase in holdings” rating and a target price of HK$21.6. China People's Insurance Group (01339) held an Investor Day in Suzhou to focus on strategies such as technology insurance, personal non-vehicle insurance, health insurance, and investment. The bank believes that China's financial insurance underwriting expertise, as well as improved investment and dividend stability, will help the company maintain resilience in the face of market fluctuations.

According to the report, management reiterated the goal of reaching 100 billion yuan for the personal non-car insurance business by 2030, which means a compound annual growth rate of about 15%, and the accident and health insurance business has significant potential for growth. Management also emphasized improving underwriting and investment stability. Morgan Stanley anticipates that the allocation of shares that include other full income (FVOCI) at fair value will continue to increase in the medium term. Management aims to achieve a gradual increase in dividends per share over the medium term and increase the dividend ratio under the new accounting standards.