Executive Summary
AIA Group Limited provides insurance products and services.
Rewards
Risk Analysis
No risks detected for 1299 from our risk checks.
Snowflake Analysis
Questionable track record with limited growth.
Similar Companies
Share Price & News
How has AIA Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: 1299 has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
2.3%
1299
1.2%
HK Insurance
2.9%
HK Market
1 Year Return
8.9%
1299
8.2%
HK Insurance
-3.8%
HK Market
Return vs Industry: 1299 matched the Hong Kong Insurance industry which returned 9.1% over the past year.
Return vs Market: 1299 exceeded the Hong Kong Market which returned -2.9% over the past year.
Shareholder returns
| 1299 | Industry | Market | |
|---|---|---|---|
| 7 Day | 2.3% | 1.2% | 2.9% |
| 30 Day | -6.5% | -8.5% | -4.1% |
| 90 Day | 1.9% | -2.3% | 2.9% |
| 1 Year | 10.7%8.9% | 10.3%8.2% | -0.2%-3.8% |
| 3 Year | 72.9%65.0% | 44.4%36.7% | 15.3%3.7% |
| 5 Year | 95.7%81.8% | 32.5%21.5% | 16.8%-2.7% |
Price Volatility Vs. Market
How volatile is AIA Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
What Does AIA Group Limited's (HKG:1299) Share Price Indicate?4 weeks ago | Simply Wall St
Shareholders Are Loving AIA Group Limited's (HKG:1299) 1.4% Yield1 month ago | Simply Wall St
If You Had Bought AIA Group (HKG:1299) Shares Five Years Ago You'd Have Made 98%Valuation
Is AIA Group undervalued compared to its fair value and its price relative to the market?
13.5%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: 1299 (HK$81) is trading below our estimate of fair value (HK$93.61)
Significantly Below Fair Value: 1299 is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: 1299 is poor value based on its PE Ratio (27.5x) compared to the Insurance industry average (9.2x).
PE vs Market: 1299 is poor value based on its PE Ratio (27.5x) compared to the Hong Kong market (10.1x).
Price to Earnings Growth Ratio
PEG Ratio: 1299 is poor value based on its PEG Ratio (2.3x)
Price to Book Ratio
PB vs Industry: 1299 is overvalued based on its PB Ratio (2.5x) compared to the HK Insurance industry average (0.9x).
Next Steps
Future Growth
How is AIA Group forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
12.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 1299's forecast earnings growth (12.1% per year) is above the savings rate (1.6%).
Earnings vs Market: 1299's earnings (12.1% per year) are forecast to grow faster than the Hong Kong market (11.7% per year).
High Growth Earnings: 1299's earnings are forecast to grow, but not significantly.
Revenue vs Market: 1299's revenue (10.3% per year) is forecast to grow slower than the Hong Kong market (10.5% per year).
High Growth Revenue: 1299's revenue (10.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: 1299's Return on Equity is forecast to be low in 3 years time (14.4%).
Next Steps
Past Performance
How has AIA Group performed over the past 5 years?
10.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 1299 has high quality earnings.
Growing Profit Margin: 1299's current net profit margins (11.8%) are lower than last year (12.3%).
Past Earnings Growth Analysis
Earnings Trend: 1299's earnings have grown by 10.1% per year over the past 5 years.
Accelerating Growth: 1299's earnings growth over the past year (3.4%) is below its 5-year average (10.1% per year).
Earnings vs Industry: 1299 earnings growth over the past year (3.4%) underperformed the Insurance industry 4.6%.
Return on Equity
High ROE: 1299's Return on Equity (9.1%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is AIA Group's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Inventory Level: 1299 has a low level of unsold assets or inventory.
Debt Coverage by Assets: 1299's debt is covered by short term assets (assets are 9.6x debt).
Financial Institutions Analysis
Asset Level: 1299's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if 1299 has a sufficient allowance for bad loans.
Low Risk Liabilities: 1299 reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if 1299 has an acceptable proportion of non-loan assets held.
Low Risk Deposits: 1299 has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if 1299 has an appropriate level of bad loans.
Next Steps
Dividend
What is AIA Group's current dividend yield, its reliability and sustainability?
1.44%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: 1299's dividend (1.44%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.27%).
High Dividend: 1299's dividend (1.44%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.34%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, 1299 has been paying a dividend for less than 10 years.
Growing Dividend: 1299's dividend payments have increased, but the company has only paid a dividend for 9 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (36.9%), 1299's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: 1299's dividends in 3 years are forecast to be well covered by earnings (35.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.7yrs
Average management tenure
CEO
Keng Hooi Ng (64yo)
2.7yrs
Tenure
US$9,536,956
Compensation
Mr. Keng Hooi Ng has been President, Group Chief Executive and Executive Director at AIA Group Limited since June 1, 2017. Mr. Ng served as Executive Vice President and Regional Chief Executive Officer at ...
CEO Compensation Analysis
Compensation vs Market: Keng Hooi's total compensation ($USD9.54M) is above average for companies of similar size in the Hong Kong market ($USD1.12M).
Compensation vs Earnings: Keng Hooi's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Group Chief Executive | 2.7yrs | US$9.54m | 0.023% $220.1m | |
| Group Chief Financial Officer | 8.8yrs | no data | no data | |
| Group Chief Technology & Operations Officer | 2.7yrs | no data | no data | |
| Group Chief Investment Officer | 4.4yrs | no data | no data | |
| Head of Investor Relations | 0yrs | no data | no data | |
| Group General Counsel | 0yrs | no data | no data | |
| Group Chief Strategy & Corporate Development Officer | 2.7yrs | no data | no data | |
| Group Chief Marketing Officer | 2.7yrs | no data | no data | |
| Group Chief Human Resources Officer | 2.7yrs | no data | no data | |
| Head of External Manager Strategies | 0yrs | no data | no data |
2.7yrs
Average Tenure
54.5yo
Average Age
Experienced Management: 1299's management team is considered experienced (2.7 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Group Chief Executive | 2.7yrs | US$9.54m | 0.023% $220.1m | |
| Independent Non-Executive Chairman | 9.1yrs | US$752.01k | 0.028% $271.0m | |
| Independent Non-Executive Director | 9.4yrs | US$282.08k | 0.0011% $10.5m | |
| Independent Non-Executive Director | 5.4yrs | US$222.41k | 0.0013% $12.9m | |
| Independent Non-Executive Director | 6yrs | US$222.41k | no data | |
| Independent Non-Executive Director | 4.1yrs | US$287.43k | no data | |
| Independent Non-Executive Director | 4.5yrs | US$222.41k | no data | |
| Independent Non-Executive Director | 9.4yrs | US$238.69k | 0.00071% $6.9m | |
| Independent Non-Executive Director | 8.6yrs | US$282.08k | 0.00066% $6.4m | |
| Independent Non-Executive Director | 7.3yrs | US$265.81k | 0.00042% $4.1m |
6.6yrs
Average Tenure
66.5yo
Average Age
Experienced Board: 1299's board of directors are considered experienced (6.6 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: 1299 insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
AIA Group Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: AIA Group Limited
- Ticker: 1299
- Exchange: SEHK
- Founded: 1919
- Industry: Life and Health Insurance
- Sector: Insurance
- Market Cap: HK$971.633b
- Shares outstanding: 12.05b
- Website: https://www.aia.com
Number of Employees
Location
- AIA Group Limited
- AIA Wealth Select Centre
- 12/F, AIA Tower
- North Point
- Hong Kong
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 1299 | SEHK (The Stock Exchange of Hong Kong Ltd.) | Yes | Ordinary Shares | HK | HKD | Oct 2010 |
| AAIG.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Oct 2010 |
| 7A2 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Oct 2010 |
| 1299 | SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect) | Yes | Ordinary Shares | HK | HKD | Oct 2010 |
| 1299 | SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect) | Yes | Ordinary Shares | HK | HKD | Oct 2010 |
| 1299 N | BMV (Bolsa Mexicana de Valores) | Yes | Ordinary Shares | MX | MXN | Oct 2010 |
| AAGI.Y | OTCPK (Pink Sheets LLC) | SPONSORED ADR | US | USD | Jun 2011 |
Biography
AIA Group Limited provides insurance products and services. The company offers life, medical, accident protection, critical illness protection, and disability income protection insurance products, as well as savings plans for individuals; and employee benefit, Asia benefits network, credit insurance, and retirement solutions for businesses. It also distributes investment and other financial services products. The company distributes its products and services through agents; distribution partners; other intermediated channels, including independent financial advisers, brokers, private banks, and specialist advisers; and direct channel. It operates in Hong Kong, Macau, Thailand, Singapore, Brunei, Malaysia, China, Korea, Australia, Indonesia, New Zealand, the Philippines, Sri Lanka, Taiwan, Vietnam, India, Myanmar, and Cambodia. AIA Group Limited was founded in 1919 and is headquartered in North Point, Hong Kong.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/17 13:03 |
| End of Day Share Price | 2020/02/17 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.