Core Viewpoint - DBS reported that China Pacific Insurance (02328) improved its combined ratio (COR) to 94.8% in the first half of the year, benefiting from a 2.2 percentage point increase in auto insurance cost ratio, outperforming expectations [1] Financial Performance - The net profit for the period reached 24.5 billion RMB, representing a year-on-year growth of 32.3%, also exceeding market expectations due to improved underwriting profits and stable investment income [1] - Book value increased by 8% compared to the second half of last year, driven by an 11% rise in financial assets and favorable stock market performance [1] Earnings Forecast - The bank raised its profit forecasts for the insurance sector for 2026 and 2027 by 7% and 8% respectively [1] - The target price was adjusted from 15.4 HKD to 19 HKD, while maintaining a "Hold" rating due to the current valuation still being considered high [1]
星展：升中国财险(02328)目标价19港元 维持“持有”评级