Want to see HK:2601 full AI Analyst Report?
Top Page
China Pacific Insurance (Group) Co
(2601)
Select Model
Select Model
Rating:69Neutral
Price Target:
HK$30.00
â–¼(-12.99% Downside)
Action:Downgraded
Date:04/30/26
The score is driven primarily by strong cash flow/earnings quality and generally solid profitability, supported by an attractive valuation (low P/E and ~3.5% yield). These positives are tempered by higher recent leverage and only mixed technical momentum (negative MACD and below key moving averages).
Positive Factors
Strong cash generation
Very large TTM operating cash flow (~250B) and FCF (~246B, +598.9%) with FCF tracking ~0.98x net income supports internal funding for claims, dividends and investment. Durable cash conversion reduces reliance on external funding and underpins long-term underwriting capacity and capital allocation.
Negative Factors
Marked rise in leverage
Debt-to-equity jumping to ~0.81 from a prior ~0.04–0.06 range is a meaningful step-up in balance-sheet risk. Higher leverage reduces financial flexibility, raises refinancing and interest burdens, and increases solvency sensitivity to underwriting losses or investment shocks over the medium term.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
Very large TTM operating cash flow (~250B) and FCF (~246B, +598.9%) with FCF tracking ~0.98x net income supports internal funding for claims, dividends and investment. Durable cash conversion reduces reliance on external funding and underpins long-term underwriting capacity and capital allocation.
Read all positive factors
China Pacific Insurance (Group) Co (2601) vs. iShares MSCI Hong Kong ETF (EWH)
Market Cap
HK$299.33B
Dividend Yield3.28%
Average Volume (3M)16.70M
Price to Earnings (P/E)5.1
Beta (1Y)1.36
Revenue Growth10.54%
EPS Growth27.66%
CountryHK
Employees19,052
SectorFinancial
Sector Strength70
IndustryInsurance - Diversified
Share Statistics
EPS (TTM)5.59
Shares Outstanding2,775,300,000
10 Day Avg. Volume14,634,079
30 Day Avg. Volume16,702,618
Financial Highlights & Ratios
PEG Ratio0.36
Price to Book (P/B)1.01
Price to Sales (P/S)0.81
P/FCF Ratio1.18
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
HK$44.33Price Target Upside28.58% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering3
EPS Forecast (FY)5.56
Revenue Forecast (FY)HK$453.25B
China Pacific Insurance (Group) Co Business Overview & Revenue Model
Company Description
China Pacific Insurance (Group) Co., Ltd., together with its subsidiaries, provides insurance products to in the People's Republic of China. It operates through Life and Health Insurance, Property and Casualty Insurance, Asset Management, and Othe...
How the Company Makes Money
China Pacific Insurance (Group) Co., Ltd. primarily makes money through (1) underwriting income and (2) investment income, supplemented by fee-based income from asset management and other insurance-related services.
1) Underwriting income (insura...
China Pacific Insurance (Group) Co Earnings Call Summary
Earnings Call Date:Oct 30, 2024
(Q3-2024)
| % Change Since: |
Next Earnings Date:Aug 27, 2026
Earnings Call Sentiment Neutral
The earnings call highlighted significant growth in net profit and new business value, alongside improved product mix and asset management growth. However, these positive aspects were balanced by challenges in CPIC Life revenue, a decrease in Group Channel GWP, and pressures on net investment yield, with additional impacts from catastrophes on P&C business.Positive Updates
Increased Net Profit
The group realized a net profit of CNY 38.3 billion, up 65.5% year-on-year.
Negative Updates
Decline in CPIC Life Revenue
CPIC Life's revenue was CNY 62.3 billion, down 2.5% year-on-year.
Read all updates
Q3-2024 Updates
Positive
Negative
Increased Net Profit
The group realized a net profit of CNY 38.3 billion, up 65.5% year-on-year.
Read all positive updates
Company Guidance
In the Q3 2024 earnings call for CPIC Group, the executives provided a comprehensive overview of the company's performance metrics and strategic focuses. The group reported an insurance revenue of CNY 209.4 billion, a 2.3% increase year-on-year, with CPIC Life contributing CNY 62.3 billion, despite a 2.5% decrease, and CPIC P&C delivering CNY 145.2 billion, up 4.1%. The net profit soared to CNY 38.3 billion, marking a significant 65.5% rise. CPIC Life's new business value saw a remarkable 37.9% growth to CNY 14.2 billion, with a new business margin improvement of 6.2 percentage points, reaching 20.0%. The persistency ratios improved, with the 13-month ratio increasing to 97.5% and the 25-month ratio to 92.3%. The total assets under management rose by 14.9% to CNY 2.58 trillion, although the net investment yield slightly decreased by 0.1 percentage points to 2.9%. The call also highlighted strategies like "BIG HEALTH," "BIG REGION," and "BIG DATA" to enhance customer management and business quality, along with digital innovations in AI for auditing and claims processing. Looking forward, CPIC aims to maintain high-quality growth, optimize service processes, and focus on digital transformation and risk management.China Pacific Insurance (Group) Co Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
66
Positive
Cash Flow
82
Very Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 390.15B | 376.40B | 401.90B | 321.68B | 328.96B | 436.39B |
| Gross Profit | 390.14B | 376.40B | 401.84B | 321.67B | 301.03B | 406.09B |
| EBITDA | 67.32B | 72.57B | 60.21B | 314.87B | 320.92B | 38.77B |
| Net Income | 53.71B | 52.12B | 44.96B | 27.26B | 37.38B | 26.83B |
Balance Sheet | ||||||
| Total Assets | 3.22T | 3.15T | 2.83T | 2.34T | 2.18T | 1.95T |
| Cash, Cash Equivalents and Short-Term Investments | 95.05B | 77.49B | 29.36B | 30.93B | 748.22B | 677.93B |
| Total Debt | 242.96B | 243.44B | 13.01B | 13.38B | 12.72B | 13.10B |
| Total Liabilities | 2.87T | 2.81T | 2.52T | 2.08T | 1.94T | 1.71T |
| Stockholders Equity | 318.53B | 302.27B | 291.42B | 249.59B | 228.45B | 226.74B |
Cash Flow | ||||||
| Free Cash Flow | 246.20B | 258.31B | 150.53B | 133.88B | 138.81B | 104.72B |
| Operating Cash Flow | 249.85B | 262.49B | 154.40B | 137.86B | 147.91B | 108.41B |
| Investing Cash Flow | -221.86B | -251.64B | -209.90B | -161.36B | -168.98B | -66.09B |
| Financing Cash Flow | 10.65B | 35.74B | 61.34B | 3.29B | 28.48B | -31.37B |
China Pacific Insurance (Group) Co Technical Analysis
Negative
34.48
Price Trends
31.14
Negative
32.55
Negative
32.31
Negative
Market Momentum
-0.93
Positive
30.59
Neutral
7.26
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2601, the sentiment is Negative. The current price of 34.48 is above the 20-day moving average (MA) of 29.91, above the 50-day MA of 31.14, and above the 200-day MA of 32.31, indicating a bearish trend. The MACD of -0.93 indicates Positive momentum. The RSI at 30.59 is Neutral, neither overbought nor oversold. The STOCH value of 7.26 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for HK:2601.
China Pacific Insurance (Group) Co Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
79 Outperform | HK$1.04T | 6.84 | 31.07% | 3.42% | 36.40% | 44.74% | |
70 Outperform | HK$66.13B | 2.54 | 29.19% | 1.81% | 11.51% | 250.65% | |
70 Outperform | HK$319.41B | 6.91 | 14.21% | 3.77% | 6.50% | 25.27% | |
69 Neutral | HK$299.33B | 5.08 | 18.16% | 3.28% | 10.54% | 27.66% | |
68 Neutral | HK$191.28B | 5.04 | 35.23% | 5.24% | 39.01% | 38.60% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
64 Neutral | HK$953.23B | 6.42 | 13.45% | 4.25% | 1.56% | 15.44% |
* Financial Sector Average
HK:2601
China Pacific Insurance (Group) Co
27.00
1.26
4.88%
HK:2318
Ping An Insurance Company of China
50.55
3.26
6.88%
HK:2628
China Life Insurance Co
26.92
8.79
48.51%
HK:0966
China Taiping Insurance Holdings Co
18.40
3.44
23.01%
HK:2328
PICC Property & Casualty Co
14.36
-0.27
-1.86%
HK:1336
New China Life Insurance Co., Ltd. Class H
46.38
6.36
15.89%
China Pacific Insurance (Group) Co Corporate Events
China Pacific Insurance AGM Backs Resolutions, Sets Dividend and Convertible Bond Adjustments
Jun 10, 2026
China Pacific Insurance (Group) Co., Ltd. held its 2025 annual general meeting in Hong Kong on 10 June 2026, with shareholders representing about 59.37% of the company’s total voting shares in attendance. The meeting was conducted in accorda...
China Pacific Insurance Sets 2025 Final Dividend and Clarifies Tax and Payment Details
Jun 10, 2026
China Pacific Insurance has declared a final ordinary dividend of RMB 1.15 per share for the year ended 31 December 2025, approved on 10 June 2026, with H-share holders to receive HKD 1.321705 per share based on an exchange rate of RMB 1 to HKD 1....
China Pacific Insurance Gains Regulatory Approval for Employee Director Appointment
Jun 8, 2026
China Pacific Insurance (Group) Co., Ltd. has strengthened its board structure with the formal recognition of an employee representative at director level. The move aligns with the company’s governance framework, which includes executive, no...
China Pacific Insurance Sets Out Board Line-Up and Committee Roles
Jun 8, 2026
China Pacific Insurance (Group) Co., Ltd. has outlined the composition of its board of directors, naming Fu Fan as executive director and chairman and Zhao Yonggang as executive director and president, alongside a mix of non-executive, independent...
China Pacific Insurance Names Veteran Executive Wang Mingchao as Vice President
May 26, 2026
China Pacific Insurance (Group) Co., Ltd. has appointed Wang Mingchao as vice president, with his term running until the end of the current board session, subject to regulatory approval. The move adds a seasoned internal executive to the senior ma...
China Pacific Insurance Sets 2025 AGM to Approve Profit Plan, Governance and Share Mandate
May 20, 2026
China Pacific Insurance (Group) Co., Ltd. has called its 2025 annual general meeting for 10 June 2026 in Shanghai, where shareholders will review the 2025 board report, approve the profit distribution plan, appoint 2026 auditors, and consider a th...
China Pacific Insurance Declares RMB 1.15 Final Dividend for 2025 with Updated Tax and Register Details
May 20, 2026
China Pacific Insurance (Group) Co., Ltd. has declared a final ordinary dividend of RMB 1.15 per share for the financial year ended 31 December 2025, subject to shareholder approval on 10 June 2026. The H-share register in Hong Kong will close fro...
China Pacific Insurance Discloses Q1 2026 Solvency Report Summary for Health Unit
Apr 28, 2026
China Pacific Insurance (Group) Co., Ltd. issued an overseas regulatory announcement in Hong Kong, notifying investors that it has released a summary of the first-quarter 2026 solvency report for its subsidiary Pacific Health Insurance Co., Ltd. T...
China Pacific Insurance Publishes Overseas Regulatory Update and Solvency Disclosure
Apr 28, 2026
China Pacific Insurance (Group) Co., Ltd. has issued an overseas regulatory announcement in Hong Kong in line with local listing and securities rules, providing investors with an attached update related to its operations. The notice, dated 28 Apri...
China Pacific Insurance Discloses Q1 2026 Solvency Update for Life Unit
Apr 28, 2026
China Pacific Insurance (Group) Co., Ltd. announced an overseas regulatory filing in Hong Kong, disclosing a summary of the first-quarter 2026 solvency report for its life insurance subsidiary, China Pacific Life Insurance Co., Ltd. The disclosure...
China Pacific Insurance Grows Q1 Net Profit Despite Revenue and Core Earnings Pressure
Apr 28, 2026
China Pacific Insurance reported first-quarter 2026 operating income of RMB92.55 billion, down 1.2% year-on-year, with profit before tax falling 11.5% to RMB10.22 billion while net profit attributable to shareholders rose 4.3% to RMB10.04 billion,...
China Pacific Insurance Schedules Online Briefing on Q1 2026 Results
Apr 21, 2026
China Pacific Insurance (Group) Co., Ltd. has announced it will hold an online presentation of its 2026 first-quarter results on 29 April 2026, from 8:30 to 9:30 Beijing time. Senior management will attend the session, underscoring the companyR...
China Pacific Insurance Sets April Board Meeting to Approve Q1 2026 Results
Apr 14, 2026
China Pacific Insurance (Group) Co., Ltd. has scheduled a board meeting for 28 April 2026 to review and approve its first-quarter results for the period ended 31 March 2026 and to consider their disclosure. The meeting underscores the group’...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.