PING AN OF CHINA(601318) 国泰君安·2024-08-22 15:36Investment Rating - The report maintains an "Accumulate" rating for China Ping An (601318) with a target price of 56.92 CNY per share, unchanged from the previous forecast [3][7]. Core Views - The company's net profit for the first half of 2024 increased by 6.8% year-on-year, aligning with expectations, primarily driven by improved investment returns. However, the operating profit attributable to the parent company saw a slight decline of 0.6% year-on-year, mainly due to negative impacts from asset management and technology sectors [6][7]. - The report highlights the implementation of the "Comprehensive Finance 2.0" strategy, which aims to deepen the transformation of the company, shifting from "cross-selling" to a "customer management" strategy [7]. - The report notes that the new business value (NBV) growth in life insurance was 11.0% year-on-year, meeting expectations, supported by improvements in the new business value rate [7]. Financial Summary - For 2023A, the company reported total revenue of 913,789 million CNY, with a projected increase to 955,331 million CNY in 2024E, reflecting a growth rate of 5% [6][10]. - The net profit attributable to the parent company for 2023A is 85,665 million CNY, with an expected recovery to 104,518 million CNY in 2024E, indicating a year-on-year growth of 22% [6][10]. - The report projects earnings per share (EPS) to be 4.70 CNY in 2023A, increasing to 5.74 CNY in 2024E [6][10]. Investment Structure - The report indicates that the investment structure includes 62.5% in debt-type investments and 19.6% in equity-type investments for 2022A, with a slight shift expected in future years [10]. - The report also highlights a stable investment return, with an annualized comprehensive investment return rate of 4.2% for the first half of 2024 [7]. Market Performance - The stock has shown a 1% increase over the past month, but a decline of 5% over the past three months and 6% over the past year [5]. - The report notes that the stock's current price is 41.71 CNY, which is below the target price, indicating potential upside [3][4].