保险行业信息点评：受权益市场上涨带动，上市险企Q3净利润普遍大幅增长

Investment Rating - The report indicates a positive outlook for the insurance industry, with listed insurers experiencing significant net profit growth in Q3 2024, suggesting an "Outperform" rating for the sector [10][11]. Core Insights - The substantial increase in net profits for listed insurers is primarily attributed to the recovery in the capital markets, which has led to enhanced investment returns [11][12]. - China Life and New China Life have shown exceptional performance due to their large equity investments and high proportions of Fair Value Through Profit or Loss (FVTPL) assets [11][12]. - The overall valuation of the insurance sector is currently at historical lows, indicating potential for future growth as market conditions improve [12]. Summary by Sections Q3 2024 Performance - Listed insurers such as China Life, New China Life, People's Insurance Co, China Pacific Insurance, and PICC Property & Casualty reported net profits ranging from RMB 101.1 billion to RMB 108.8 billion, with year-on-year growth rates of 185%-206%, 95%-115%, 65%-85%, 60%-70%, and 20%-40% respectively [3][5]. - In Q3 alone, net profits for these companies were RMB 62.9 billion to RMB 70.5 billion for China Life, RMB 7.5 billion to RMB 9.4 billion for New China Life, and significant increases for others, with China Life and New China Life turning losses from the previous year into substantial profits [10][11]. Investment Portfolio Insights - As of H1 2024, China Life's stock and fund holdings reached RMB 715.4 billion, significantly higher than its peers, benefiting from the market rebound [11][12]. - The proportion of FVTPL stocks in China Life and New China Life's portfolios is notably high at 92.3% and 88.3% respectively, which has a direct impact on their profit margins [11][12]. Market Conditions and Valuation - The report highlights that the current market still shows strong savings demand, and regulatory guidance is expected to alleviate interest margin pressures for insurers [12]. - The insurance sector's valuation is currently between 0.55 to 0.92 times the 2024E Price to Embedded Value (P/EV), indicating that the sector is undervalued compared to historical standards [12].