Jinwu Financial News | According to BOC International Development Research Report, China Financial Insurance (02328) expects that in 2024, under normal natural disasters, the COR for car insurance will remain around 97%, and the COR for non-car insurance will be controlled within 100%. The company maintains a solid leading edge in the auto insurance business.
According to the bank, the total return on investment in 2023 was 3.5%, down 0.3 percentage points from the previous year. Joint ventures and joint ventures account for more than a quarter of the income. The bank expects a slight year-on-year improvement in the return on investment in 2024. Furthermore, the company's solvency is sufficient, and its dividend capacity is sustainable.
The bank expects the company's underwriting profit and investment income to improve in 2024. Net profit to mother is expected to increase 7% year-on-year, and ROE is expected to remain at 11%. The company's leading market position is stable, profitability is stable, dividend capacity is sustainable, and high dividend attributes are outstanding. Based on the 2024 1X market account ratio, the bank raised the target price from HK$10.5 to HK$12.0 to maintain the purchase rating.