Ge Long Hui A P P·2026-01-10 01:27Group 1 - The core viewpoint of the report highlights that China Pacific Insurance (CPIC) is the only publicly listed insurance company backed by the Shanghai State-owned Assets Supervision and Administration Commission, with significant potential for performance and valuation improvement due to its strategic transformation and forward-looking layout in the Web3 sector [1] - The report emphasizes the increasing strategic importance of the insurance industry, with CPIC's life insurance transformation and support from the Shanghai government expected to yield substantial growth in new business value (NBV) [1] - By 2026, there is an expectation of a systematic revaluation of RMB assets, supported by ongoing capital market reforms, which could lead to a sustained bullish trend in the Chinese equity market, benefiting the investment returns of insurance companies [1] Group 2 - CPIC's current stock price corresponds to a 2025 price-to-embedded value (PEV) of 0.67x, indicating that it remains in a historically low range compared to peers [1] - The report suggests a target price of 60.85 RMB based on a 2026 PEV of 0.9x, representing an upside potential of 27%, and recommends a "buy" rating for the stock [1]