SEHK:966

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China Taiping Insurance Holdings

Executive Summary

China Taiping Insurance Holdings Company Limited, an investment holding company, underwrites direct life insurance, property and casualty insurance, and various classes of reinsurance products in People’s Republic of China and internationally.


Snowflake Analysis

Very undervalued with proven track record.


Similar Companies

Share Price & News

How has China Taiping Insurance Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 966 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.6%

966

1.5%

HK Insurance

0.8%

HK Market


1 Year Return

-25.2%

966

-5.5%

HK Insurance

5.5%

HK Market

Return vs Industry: 966 underperformed the Hong Kong Insurance industry which returned -5.5% over the past year.

Return vs Market: 966 underperformed the Hong Kong Market which returned 5.5% over the past year.


Shareholder returns

966IndustryMarket
7 Day-1.6%1.5%0.8%
30 Day-10.6%-6.7%-2.4%
90 Day11.7%6.9%7.6%
1 Year-23.8%-25.2%-2.5%-5.5%9.8%5.5%
3 Year-40.8%-42.4%10.2%2.5%2.1%-8.9%
5 Year-34.6%-36.7%18.7%6.5%12.7%-6.2%

Price Volatility Vs. Market

How volatile is China Taiping Insurance Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is China Taiping Insurance Holdings undervalued compared to its fair value and its price relative to the market?

38.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: 966 (HK$13.8) is trading below our estimate of fair value (HK$22.54)

Significantly Below Fair Value: 966 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: 966 is good value based on its PE Ratio (5.6x) compared to the HK Insurance industry average (8.3x).

PE vs Market: 966 is good value based on its PE Ratio (5.6x) compared to the Hong Kong market (10.4x).


Price to Earnings Growth Ratio

PEG Ratio: 966 is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: 966 is good value based on its PB Ratio (0.6x) compared to the HK Insurance industry average (0.8x).


Next Steps

Future Growth

How is China Taiping Insurance Holdings forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

9.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 966's forecast earnings growth (9.9% per year) is above the savings rate (1.6%).

Earnings vs Market: 966's earnings (9.9% per year) are forecast to grow slower than the Hong Kong market (19% per year).

High Growth Earnings: 966's earnings are forecast to grow, but not significantly.

Revenue vs Market: 966's revenue (7.6% per year) is forecast to grow slower than the Hong Kong market (11.6% per year).

High Growth Revenue: 966's revenue (7.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 966's Return on Equity is forecast to be low in 3 years time (11%).


Next Steps

Past Performance

How has China Taiping Insurance Holdings performed over the past 5 years?

11.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 966 has high quality earnings.

Growing Profit Margin: 966's current net profit margins (3.6%) are higher than last year (3.1%).


Past Earnings Growth Analysis

Earnings Trend: 966's earnings have grown by 11.1% per year over the past 5 years.

Accelerating Growth: 966's earnings growth over the past year (33.3%) exceeds its 5-year average (11.1% per year).

Earnings vs Industry: 966 earnings growth over the past year (33.3%) underperformed the Insurance industry 61%.


Return on Equity

High ROE: 966's Return on Equity (13.3%) is considered low.


Next Steps

Financial Health

How is China Taiping Insurance Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: 966's short term assets (HK$162.9B) do not cover its short term liabilities (HK$193.7B).

Long Term Liabilities: 966's short term assets (HK$162.9B) do not cover its long term liabilities (HK$631.7B).


Debt to Equity History and Analysis

Debt Level: 966's debt to equity ratio (100.8%) is considered high.

Reducing Debt: 966's debt to equity ratio has reduced from 118.4% to 100.8% over the past 5 years.

Debt Coverage: 966's debt is well covered by operating cash flow (110.7%).

Interest Coverage: 966's interest payments on its debt are well covered by EBIT (6.2x coverage).


Balance Sheet


Next Steps

Dividend

What is China Taiping Insurance Holdings's current dividend yield, its reliability and sustainability?

2.17%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 966's dividend (2.17%) isn’t notable compared to the bottom 25% of dividend payers in the Hong Kong market (2.26%).

High Dividend: 966's dividend (2.17%) is low compared to the top 25% of dividend payers in the Hong Kong market (6.82%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, 966 has been paying a dividend for less than 10 years.

Growing Dividend: 966's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (12.2%), 966's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: 966's dividends in 3 years are forecast to be thoroughly covered by earnings (14.8% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.2yrs

Average management tenure


CEO

Sidong Wang (59 yo)

2.58yrs

Tenure

HK$853,000

Compensation

Mr. Wang Sidong has been Vice Chairman of the Board, Executive Director and General Manager of China Taiping Ins Hldgs Co Ltd since January 25, 2018. Mr. Wang serves as Vice President and Member of Executi ...


CEO Compensation Analysis

Compensation vs Market: Sidong's total compensation ($USD110.06K) is below average for companies of similar size in the Hong Kong market ($USD566.23K).

Compensation vs Earnings: Sidong's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Xi Luo
Executive Chairman1.92yrsHK$853.00kno data
Sidong Wang
Vice Chairman & GM2.58yrsHK$853.00kno data
Ruohan Zhang
CFO & Company Secretary3.25yrsno datano data
Cynthia Choi
Head of Investor Relationsno datano datano data
Yanjun Jiao
Chief Internal Auditorno datano datano data
Bo Hong
Deputy GM & Executive Director0.17yrno datano data
Xing Xiao
Deputy GM & Executive Director0.17yrno datano data
Kedong Li
Deputy General Managerno datano datano data
Yonghong Cheng
Deputy General Manager of Taiping Lifeno datano datano data
Song Wu
Investment Management Department General Managerno datano datano data

3.2yrs

Average Tenure

49yo

Average Age

Experienced Management: 966's management team is considered experienced (3.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Xi Luo
Executive Chairman1.92yrsHK$853.00kno data
Sidong Wang
Vice Chairman & GM2.58yrsHK$853.00kno data
Bo Hong
Deputy GM & Executive Director0.17yrno datano data
Xing Xiao
Deputy GM & Executive Director0.17yrno datano data
Zhichun Xie
Independent Non-Executive Director5.17yrsHK$320.00kno data
Jie Si Wu
Independent Non-Executive Director20.58yrsHK$320.00kno data
Ting Yuk Wu
Independent Non-Executive Director7yrsHK$320.00kno data
Xingguo Hu
Non-Executive Director0.67yrno datano data
Dajian Zhu
Independent Non-Executive Director6yrsHK$320.00kno data
Cui Zhang
Non-Executive Director0.67yrno datano data
Zhaoxu Guo
Non-Executive Director0.67yrno datano data
Changgui Yang
Non-Executive Director0.67yrno datano data

1.3yrs

Average Tenure

57.5yo

Average Age

Experienced Board: 966's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

China Taiping Insurance Holdings Company Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: China Taiping Insurance Holdings Company Limited
  • Ticker: 966
  • Exchange: SEHK
  • Founded: 2000
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Market Cap: HK$49.597b
  • Shares outstanding: 3.59b
  • Website: https://www.ctih.cntaiping.com

Number of Employees


Location

  • China Taiping Insurance Holdings Company Limited
  • 18 King Wah Road
  • 25th Floor
  • North Point
  • Hong Kong

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
CINS.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJun 2000
966SEHK (The Stock Exchange of Hong Kong Ltd.)YesOrdinary SharesHKHKDJun 2000
HIUCDB (Deutsche Boerse AG)YesOrdinary SharesDEEURJun 2000
966SHSC (Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect)YesOrdinary SharesHKHKDJun 2000
966SZSC (The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect)YesOrdinary SharesHKHKDJun 2000
CTIH.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDOct 2010

Biography

China Taiping Insurance Holdings Company Limited, an investment holding company, underwrites direct life insurance, property and casualty insurance, and various classes of reinsurance products in People’s ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/08/11 12:55
End of Day Share Price2020/08/10 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.