AIA(01299) 交银国际证券·2024-08-27 14:49Investment Rating - The report assigns a "Buy" rating for AIA Group (1299 HK) [9] Core Insights - The new business value continues to show strong growth, with a year-on-year increase of 21.0% in the first half of 2024, primarily driven by contributions from mainland China and Hong Kong [9] - The company expects to expand into 1-2 new provinces or cities within the year [9] - The operating profit after tax (OPAT) has shown steady growth, with a year-on-year increase of 3.5% in the first half of 2024 [9] - The company maintains a sustainable shareholder return strategy, with a net free surplus growth of 5.6% in the first half of 2024 [9] Summary by Sections New Business Value - New business value in Hong Kong increased by 26%, with local business and mainland visitor contributions growing by 28% and 24% respectively [9] - In mainland China, new business value grew by 30%, with new market entries increasing by 44% [9] - Singapore's new business value rose by 26.6%, mainly from long-term savings insurance [9] Financial Performance - The company reported a 47% year-on-year increase in net profit attributable to shareholders, driven by improved investment performance [9] - The interim dividend per share increased by 5.2% to HKD 0.445, maintaining a payout ratio of around 50% based on OPAT [9] - The company aims for an annual compound growth rate of 9-11% in OPAT from 2023 to 2026 [9] Market Position - The target price for AIA Group is set at HKD 84.00, indicating a potential upside of 54.3% from the current closing price of HKD 54.45 [8]