news flash·2025-05-26 02:29Core Viewpoint - DBS Bank has lowered the target price for ZhongAn Online (06060.HK) to HKD 20 while maintaining a "Buy" rating, citing strong premium growth but slower-than-expected loss reduction in its fintech subsidiary [1] Group 1: Financial Performance - ZhongAn Online reported a 13% year-on-year growth in cumulative premiums for the first four months of 2025, indicating strong performance [1] - DBS Bank has slightly adjusted its earnings forecasts for ZhongAn Online for the fiscal years 2025 and 2026 down by 1.8% and 3.4% respectively [1] Group 2: Business Strategy - The company is expanding its health insurance business, which may face short-term pressure due to increased claims, but improvements in retention rates are expected to support a decrease in marketing expenses [1] - The improvement in the quality of underlying loan assets is anticipated to sustain high profitability in credit guarantee insurance through the second half of 2024 [1]