PING AN OF CHINA(601318) 华创证券·2025-04-26 13:14Investment Rating - The report maintains a "Strong Buy" rating for the company, expecting it to outperform the benchmark index by over 20% in the next six months [2][20]. Core Insights - In Q1 2025, the company achieved a net operating profit of 37.9 billion yuan, a year-on-year increase of 2.4%, while the net profit attributable to shareholders was 27 billion yuan, a decrease of 26.4% year-on-year [2]. - The new business value (NBV) increased by 34.9% year-on-year to 12.9 billion yuan, driven by improvements in value rates [2]. - The combined ratio (COR) for property insurance improved to 96.6%, a decrease of 3 percentage points year-on-year, attributed to a reduction in disasters and ongoing risk clearance in guarantee insurance [2]. - The investment portfolio of insurance funds reached over 5.92 trillion yuan, with non-annualized net and comprehensive investment returns of 0.9% and 1.3%, respectively, remaining stable year-on-year [2]. - The report forecasts EPS for 2025-2027 to be 7.6, 8.1, and 9.1 yuan, respectively, with a target price of 65.6 yuan based on a projected PEV of 0.8 times [2]. Financial Summary - Total revenue for 2024 is projected at 1,028,925 million yuan, with a year-on-year growth rate of 12.6% [4]. - The net profit attributable to shareholders is expected to reach 126,607 million yuan in 2024, reflecting a year-on-year growth of 47.8% [4]. - The price-to-earnings ratio (P/E) is forecasted to decrease from 7.8 in 2024 to 6.0 by 2027 [4]. - The company’s total market capitalization is approximately 934.73 billion yuan, with a circulating market value of about 552.45 billion yuan [5].