Executive Summary
AIA Group Limited provides insurance products and services. More Details
Snowflake Analysis
Excellent balance sheet average dividend payer.
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 is less volatile than 75% of Hong Kong stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: 1299's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
-1.9%
1299
-3.8%
HK Insurance
-4.7%
HK Market
1 Year Return
32.9%
1299
-7.7%
HK Insurance
7.4%
HK Market
Return vs Industry: 1299 exceeded the Hong Kong Insurance industry which returned -7.7% over the past year.
Return vs Market: 1299 exceeded the Hong Kong Market which returned 7.4% over the past year.
Shareholder returns
| 1299 | Industry | Market | |
|---|---|---|---|
| 7 Day | -1.9% | -3.8% | -4.7% |
| 30 Day | -3.5% | -9.4% | -10.1% |
| 90 Day | -5.9% | -14.7% | -10.6% |
| 1 Year | 34.8%32.9% | -4.5%-7.7% | 11.1%7.4% |
| 3 Year | 47.7%40.6% | 1.1%-7.3% | 9.5%-2.7% |
| 5 Year | 104.7%89.0% | 39.6%22.9% | 37.8%13.4% |
Long-Term 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
Could The AIA Group Limited (HKG:1299) Ownership Structure Tell Us Something Useful?1 month ago | Simply Wall St
Is AIA Group's (HKG:1299) Share Price Gain Of 109% Well Earned?1 month ago | Simply Wall St
How Many AIA Group Limited (HKG:1299) Shares Did Insiders Buy, In The Last Year?Valuation
Is AIA Group undervalued compared to its fair value and its price relative to the market?
25x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: 1299 (HK$93.1) is trading above our estimate of fair value (HK$86.34)
Significantly Below Fair Value: 1299 is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: 1299 is poor value based on its PE Ratio (25x) compared to the Hong Kong Insurance industry average (6.5x).
PE vs Market: 1299 is poor value based on its PE Ratio (25x) compared to the Hong Kong market (10.7x).
Price to Earnings Growth Ratio
PEG Ratio: 1299 is poor value based on its PEG Ratio (1.8x)
Price to Book Ratio
PB vs Industry: 1299 is overvalued based on its PB Ratio (2.3x) compared to the HK Insurance industry average (0.6x).
Future Growth
How is AIA Group forecast to perform in the next 1 to 3 years based on estimates from 19 analysts?
14.0%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: 1299's forecast earnings growth (14% per year) is above the savings rate (1.5%).
Earnings vs Market: 1299's earnings (14% per year) are forecast to grow slower than the Hong Kong market (18.3% per year).
High Growth Earnings: 1299's earnings are forecast to grow, but not significantly.
Revenue vs Market: 1299's revenue (9% per year) is forecast to grow slower than the Hong Kong market (12.4% per year).
High Growth Revenue: 1299's revenue (9% 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 (10.8%).
Past Performance
How has AIA Group performed over the past 5 years?
9.8%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: 1299 has high quality earnings.
Growing Profit Margin: 1299's current net profit margins (11.4%) are lower than last year (12.5%).
Past Earnings Growth Analysis
Earnings Trend: 1299's earnings have grown by 9.8% per year over the past 5 years.
Accelerating Growth: 1299's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: 1299 had negative earnings growth (-3.4%) over the past year, making it difficult to compare to the Insurance industry average (-7.5%).
Return on Equity
High ROE: 1299's Return on Equity (9.1%) is considered low.
Financial Health
How is AIA Group's financial position?
Financial Position Analysis
Short Term Liabilities: 1299's short term assets ($111.4B) exceed its short term liabilities ($66.8B).
Long Term Liabilities: 1299's short term assets ($111.4B) do not cover its long term liabilities ($195.7B).
Debt to Equity History and Analysis
Debt Level: 1299's debt to equity ratio (16.5%) is considered satisfactory.
Reducing Debt: 1299's debt to equity ratio has reduced from 19.4% to 16.5% over the past 5 years.
Debt Coverage: 1299's debt is well covered by operating cash flow (22.4%).
Interest Coverage: 1299's interest payments on its debt are well covered by EBIT (28.6x coverage).
Balance Sheet
Dividend
What is AIA Group current dividend yield, its reliability and sustainability?
1.45%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: 1299's dividend (1.45%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.06%).
High Dividend: 1299's dividend (1.45%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.52%).
Stability and Growth of Payments
Stable Dividend: 1299's dividends per share have been stable in the past 10 years.
Growing Dividend: 1299's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (36.4%), 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 (35.1% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.0yrs
Average management tenure
CEO
Yuan Siong Lee (55 yo)
1
Tenure
US$17,830,307
Compensation
Mr. Yuan Siong Lee has been Group Chief Executive, Executive Director and President of AIA Group Limited since June 1, 2020. He is a Director of various companies within the Group, including acting as Chai...
CEO Compensation Analysis
Compensation vs Market: Yuan Siong's total compensation ($USD17.83M) is above average for companies of similar size in the Hong Kong market ($USD1.02M).
Compensation vs Earnings: Insufficient data to compare Yuan Siong's compensation with company performance.
Leadership Team
Experienced Management: 1299's management team is considered experienced (4 years average tenure).
Board Members
Experienced Board: 1299's board of directors are considered experienced (7.7 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$1.124t
- Shares outstanding: 12.07b
- Website: https://www.aia.com
Number of Employees
Location
- AIA Group Limited
- AIA Central
- 35th Floor
- Central
- Hong Kong
Listings
Biography
AIA Group Limited provides insurance products and services. The company offers life, medical, accident protection, critical illness protection, and disability protection insurance products, as well as savi...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/07/31 10:34 |
| End of Day Share Price | 2021/07/30 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
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.