Zhi Tong Cai Jing·2025-10-30 08:17Core Viewpoint - Bank of America Securities has raised its profit forecasts for Ping An Insurance (601318) for 2025 by 26% based on higher investment return assumptions, and increased forecasts for 2026 and 2027 by 4% to 5% [1] Group 1: Profit Forecasts and Target Prices - The target price for Ping An's H-shares has been increased by 4% from HKD 64.8 to HKD 67.5, while the target price for A-shares has been raised from CNY 62.7 to CNY 65.2 [1] - Bank of America Securities maintains a "Buy" rating on Ping An's H-shares [1] Group 2: Financial Performance - Ping An reported a net profit of CNY 132.9 billion for the first three quarters of 2025, representing an 11% year-on-year increase, which exceeded expectations [1] - The net profit for Q3 2025 grew by 45% year-on-year, primarily driven by strong investment returns due to the good performance of the CSI 300 and ChiNext indices [1] - The new business value for life insurance increased by 46% year-on-year in the first three quarters of 2025, with the new business profit margin rising from 17.6% to 25.2% [1] Group 3: Operational Metrics - The after-tax operating profit for the first three quarters of 2025 increased by 7% year-on-year [1] - The comprehensive investment return rate (not annualized) and net investment return rate for the first three quarters of 2025 were 5.4% and 2.8%, respectively, compared to 4.4% and 3.1% in the same period of 2024 [1] - Bank of America Securities expects Ping An's after-tax operating profit for the full year of 2025 to grow by 10% year-on-year, with dividends expected to increase by 7% [1]