ZhongAn Online P & C Insurance Co., Ltd. (HKG:6060) Stock's 25% Dive Might Signal An Opportunity But It Requires Some Scrutiny
Nov 01
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Hong Kong (HSI) Insurance Industry Analysis
UpdatedDec 30, 2024
DataAggregated Company Financials
Companies12
- 7D1.9%
- 3M-7.8%
- 1Y19.6%
- YTD22.5%
Over the last 7 days, the Insurance industry has risen 1.9%, driven by gains from AIA Group of 1.5%. This takes the industry's 12 month performance to a gain of 20%. Looking forward, earnings are forecast to decline by 3.8% per year.
Industry Valuation and Performance
Has the Hong Kong Insurance Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Tue, 31 Dec 2024 | HK$2.4t | HK$2.5t | HK$220.6b | 7.4x | 10.8x | 1x |
| Thu, 28 Nov 2024 | HK$2.4t | HK$2.5t | HK$222.6b | 7.6x | 10.8x | 1x |
| Sat, 26 Oct 2024 | HK$2.6t | HK$2.5t | HK$142.5b | 9.4x | 18.1x | 1x |
| Mon, 23 Sep 2024 | HK$2.1t | HK$2.5t | HK$143.9b | 7.6x | 14.9x | 0.9x |
| Wed, 21 Aug 2024 | HK$2.0t | HK$2.4t | HK$119.0b | 8.6x | 16.4x | 0.8x |
| Fri, 19 Jul 2024 | HK$2.0t | HK$2.4t | HK$117.9b | 8.1x | 16.6x | 0.8x |
| Sun, 16 Jun 2024 | HK$2.0t | HK$2.4t | HK$118.0b | 8.2x | 16.6x | 0.8x |
| Tue, 14 May 2024 | HK$2.1t | HK$2.4t | HK$118.3b | 8.7x | 17.8x | 0.9x |
| Thu, 11 Apr 2024 | HK$1.8t | HK$2.4t | HK$124.4b | 8.3x | 14.7x | 0.8x |
| Sat, 09 Mar 2024 | HK$2.0t | HK$2.9t | HK$92.5b | 7x | 21.6x | 0.7x |
| Mon, 05 Feb 2024 | HK$1.9t | HK$2.9t | HK$92.5b | 7.2x | 20.8x | 0.7x |
| Wed, 03 Jan 2024 | HK$2.7t | HK$4.5t | HK$179.0b | 7.2x | 15.2x | 0.6x |
| Fri, 01 Dec 2023 | HK$2.8t | HK$4.5t | HK$178.9b | 7.6x | 15.8x | 0.6x |
| Sun, 29 Oct 2023 | HK$3.0t | HK$4.4t | HK$185.5b | 7.8x | 16.1x | 0.7x |
| Tue, 26 Sep 2023 | HK$3.2t | HK$4.4t | HK$191.6b | 8.4x | 16.5x | 0.7x |
| Thu, 24 Aug 2023 | HK$3.1t | HK$4.2t | HK$207.3b | 8.6x | 15x | 0.7x |
| Sat, 22 Jul 2023 | HK$3.2t | HK$4.2t | HK$209.8b | 8.9x | 15.3x | 0.8x |
| Mon, 19 Jun 2023 | HK$3.5t | HK$4.2t | HK$211.5b | 9.7x | 16.6x | 0.8x |
| Wed, 17 May 2023 | HK$3.8t | HK$4.3t | HK$216.7b | 10.2x | 17.3x | 0.9x |
| Fri, 14 Apr 2023 | HK$3.4t | HK$4.3t | HK$200.2b | 10x | 16.8x | 0.8x |
| Sun, 12 Mar 2023 | HK$3.4t | HK$4.3t | HK$222.4b | 7x | 15.3x | 0.8x |
| Tue, 07 Feb 2023 | HK$3.5t | HK$4.4t | HK$252.5b | 7.5x | 14x | 0.8x |
| Thu, 05 Jan 2023 | HK$3.7t | HK$4.4t | HK$248.5b | 8x | 14.9x | 0.8x |
| Sat, 03 Dec 2022 | HK$3.3t | HK$4.1t | HK$235.9b | 6x | 13.8x | 0.8x |
| Mon, 31 Oct 2022 | HK$2.5t | HK$4.0t | HK$232.1b | 6x | 10.9x | 0.6x |
| Wed, 28 Sep 2022 | HK$2.9t | HK$4.1t | HK$243.5b | 6.5x | 11.8x | 0.7x |
| Fri, 26 Aug 2022 | HK$55.9t | HK$4.4t | HK$288.0b | 6.7x | 194.3x | 12.7x |
| Sun, 24 Jul 2022 | HK$3.1t | HK$4.4t | HK$279.1b | 7.1x | 11.1x | 0.7x |
| Tue, 21 Jun 2022 | HK$3.2t | HK$4.5t | HK$280.3b | 7x | 11.5x | 0.7x |
| Thu, 19 May 2022 | HK$3.0t | HK$4.4t | HK$279.6b | 6.5x | 10.8x | 0.7x |
| Sat, 16 Apr 2022 | HK$3.3t | HK$4.7t | HK$318.3b | 5.2x | 10.5x | 0.7x |
| Mon, 14 Mar 2022 | HK$3.2t | HK$4.4t | HK$363.3b | 5.1x | 8.9x | 0.7x |
| Wed, 09 Feb 2022 | HK$3.6t | HK$4.9t | HK$343.0b | 5.4x | 10.4x | 0.7x |
| Fri, 07 Jan 2022 | HK$3.4t | HK$4.9t | HK$342.4b | 2.1x | 10x | 0.7x |
Price to Earnings Ratio
10x
Current Industry PE
- Investors are pessimistic on the Hong Kong Insurance industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 10.8x which is lower than its 3-year average PE of 14.6x.
- The industry is trading close to its 3-year average PS ratio of 0.78x.
Past Earnings Growth
- The earnings for companies in the Insurance industry have declined 14% per year over the last three years,
- Revenues have also declined 20% per year.
- This means overall sales from these companies are declining and profits are subsequently falling as well.
Industry Trends
Which industries have driven the changes within the Hong Kong Financials industry?
| HK Market | 2.11% | |
| Financials | 3.84% | |
| Insurance | 1.87% | |
| Reinsurance | 2.38% | |
| Property and Casualty Insurance | 2.30% | |
| Life and Health Insurance | 1.73% | |
| General Insurance | 0.85% | |
| Insurance Brokers | 0% | |
Industry PE
- Investors are most optimistic about the Life and Health Insurance industry even though it's trading below its 3-year average PE ratio of 18.8x.
- Analysts are expecting annual earnings decline of 6.0%, which is lower than the prior year's growth of 21.3% per year.
- Investors are most pessimistic about the Reinsurance industry, which is trading below its 3-year average of 5.5x.
Forecasted Growth
- Analysts are most optimistic on the Property and Casualty Insurance industry, expecting annual earnings growth of 4.0% over the next 5 years.
- However this is lower than its past earnings growth rate of 26% per year.
- In contrast, the General Insurance industry is expected to see its earnings decline by 52% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| 1299 AIA Group | HK$56.30 | 1.5% +HK$9.1b | -17.3% | PE16.2x | |
| 1339 People's Insurance Company (Group) of China | HK$3.87 | 3.5% +HK$5.7b | 61.3% | PE4.2x | |
| 2328 PICC Property and Casualty | HK$12.20 | 1.7% +HK$4.4b | 31.5% | PE11.2x | |
| 2628 China Life Insurance | HK$14.78 | 0.8% +HK$3.4b | 46.0% | PE4.5x | |
| 1508 China Reinsurance (Group) | HK$0.87 | 2.4% +HK$849.6m | 91.2% | PE3.7x |