ZhongAn Online P & C Insurance Co., Ltd (6060) AI Stock Analysis

• Market Cap: HK$31.27B
• Dividend Yield: N/A
• Average Volume (3M): 84.40M
• Price to Earnings (P/E): 40.6
• Beta (1Y): 1.79
• Revenue Growth: -1.04%
• EPS Growth: -85.18%
• Country: HK
• Employees: 2,395
• Sector: Financial
• Sector Strength: 73
• Industry: Insurance - Property & Casualty
• EPS (TTM): 0.45
• Shares Outstanding: 1,634,812,900
• 10 Day Avg. Volume: 65,291,146
• 30 Day Avg. Volume: 84,399,742
• PEG Ratio: 0.05
• Price to Book (P/B): 1.83
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -25.08
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: HK$20.90
• Price Target Upside: 15.71% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5

• Rating: 72 Outperform
• Price Target: HK$20.00 ▲(10.74%Upside)

ZhongAn Online P & C Insurance Co., Ltd shows strong financial performance with growing revenue and profitability but faces challenges with rising debt levels. Technical analysis indicates strong upward momentum, but valuation concerns are present due to a high P/E ratio. The absence of dividend yield further tempers overall attractiveness. The score reflects these mixed factors, balancing financial health with valuation concerns.

Positive Factors

Business Operations

The company plans to use the proceeds from the placement to enhance its core P&C insurance and AI infrastructure, which could strengthen its business operations.

Earnings Stability

ZhongAn's domestic P&C insurance accounts for a significant portion of the Group's total valuation, and strengthening this area could accelerate growth and earnings stability.

Share Price and Legislation

ZhongAn’s share price surged 55% propelled by a resurgence of sentiment spurred by the passage of the Stablecoins Bill by the HK LegCo and the GENIUS Act advancement to the US Senate.

Negative Factors

Competition and Growth

There is a potential risk of substantial slowdown in gross written premium growth and rising competition from internet giants and traditional insurers.

Economic and Policy Risks

Substantial slowdown in gross written premium growth, rising competition from internet giants and traditional insurers, slower China GDP growth, policy risk, and worsening equity.

Market Expectations

Management did not provide guidance on stablecoin-related investments or capital support to ZA Bank, which fell short of market expectations.

ZhongAn Online P & C Insurance Co., Ltd Business Overview & Revenue Model

Company Description

ZhongAn Online P & C Insurance Co., Ltd (6060) is a leading Chinese online-only insurer, primarily focused on property and casualty insurance. Established in 2013, the company operates at the intersection of technology and insurance, leveraging data analytics and a digital platform to provide innovative insurance solutions. ZhongAn's core offerings include health, travel, consumer finance, and auto insurance products, catering to the growing demand for digital insurance in China.

How the Company Makes Money

ZhongAn generates revenue primarily through the underwriting of insurance policies across various sectors, including health, lifestyle consumption, consumer finance, and auto. The company employs a digital-first approach, which allows for scalable operations and cost efficiencies. Key revenue streams include premiums collected from policyholders and investment income from its insurance float. ZhongAn has developed significant partnerships with leading technology platforms and e-commerce companies, such as Alibaba and Tencent, which help drive customer acquisition and facilitate distribution of its products through these partners' ecosystems. Additionally, the company benefits from its proprietary technology platform, which supports data-driven underwriting and personalized insurance solutions, enhancing customer experience and retention.

ZhongAn Online P & C Insurance Co., Ltd Financial Statement Overview

Summary

ZhongAn Online P & C Insurance Co., Ltd shows consistent revenue and profitability growth with improved margins. However, increasing debt levels and occasional fluctuations in operational efficiency and cash flow are concerns.

Income Statement

ZhongAn Online P & C Insurance Co., Ltd has shown consistent revenue growth with a notable increase from 2023 to 2024. The net profit margin improved significantly in 2024, indicating enhanced profitability. However, the company experienced fluctuations in EBIT and EBITDA margins over the years, with some negative figures in earlier periods. Overall, the income statement reflects a positive trend in revenue and profitability, but with some instability in operational efficiency.

Balance Sheet

The company maintains a stable debt-to-equity ratio and a strong equity position relative to its assets. However, the debt levels have been increasing, which could pose a risk if not managed carefully. The return on equity has shown improvement in recent years, indicating effective use of shareholder funds. The balance sheet demonstrates financial stability, but the increasing debt requires monitoring.

Cash Flow

Cash flow analysis reveals a positive trend in operating cash flow and free cash flow growth over the years. However, there was a decrease in free cash flow from 2023 to 2024. The company has managed to maintain a good operating cash flow to net income ratio, indicating efficient cash management. While there is a positive trajectory, occasional fluctuations in cash flow need attention.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	33.73B	29.23B	22.64B	21.94B	18.52B
Gross Profit	33.73B	29.37B	22.64B	21.94B	18.52B
EBITDA	1.63B	4.83B	-949.86M	1.40B	560.07M
Net Income	603.46M	4.08B	-1.63B	757.10M	254.38M
Balance Sheet
Total Assets	45.28B	42.86B	54.56B	51.77B	45.67B
Cash, Cash Equivalents and Short-Term Investments	1.47B	1.58B	15.39B	26.28B	27.47B
Total Debt	7.12B	7.19B	7.18B	6.65B	6.79B
Total Liabilities	24.36B	22.79B	37.53B	32.64B	28.28B
Stockholders Equity	20.93B	20.07B	15.21B	16.75B	15.71B
Cash Flow
Free Cash Flow	1.08B	1.92B	-1.11B	-863.71M	4.61B
Operating Cash Flow	1.98B	2.21B	-701.91M	-602.95M	4.86B
Investing Cash Flow	-556.30M	-5.33B	158.04M	-5.94B	-6.27B
Financing Cash Flow	-1.09B	1.14B	236.03M	2.19B	7.11B

ZhongAn Online P & C Insurance Co., Ltd Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 18.06
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:6060, the sentiment is Neutral. The current price of 18.06 is below the 20-day moving average (MA) of 18.56, above the 50-day MA of 16.97, and above the 200-day MA of 13.75, indicating a neutral trend. The MACD of 0.09 indicates Positive momentum. The RSI at 49.31 is Neutral, neither overbought nor oversold. The STOCH value of 71.01 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:6060.

ZhongAn Online P & C Insurance Co., Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
2328	79 Outperform	HK$341.20B	9.78	13.15%	4.74%	3.52%	26.44%
1339	78 Outperform	$381.97B	5.51	17.85%	4.50%	4.62%	81.63%
6060	72 Outperform	HK$31.27B	40.56	2.91%	―	-1.04%	-85.18%
1456	67 Neutral	HK$68.72B	17.67	2.91%	1.08%	230.87%	227.96%
1508	66 Neutral	€56.50B	4.94	10.61%	4.12%	0.54%	84.27%
Sector *	58 Neutral	HK$91.21B	5.17	-3.21%	5.20%	7.36%	-55.21%

ZhongAn Online P & C Insurance Co., Ltd Corporate Events

ZhongAn Online Reports RMB16,659 Million in Gross Written Premiums for H1 2025

ZhongAn Online P & C Insurance Co., Ltd announced that its aggregate gross written premiums for the first half of 2025 amounted to approximately RMB16,659 million. This financial data, prepared in accordance with Chinese accounting standards, is unaudited and has not been reviewed by the company’s audit committee, prompting a cautionary note to shareholders and potential investors regarding reliance on this information.

The most recent analyst rating on (HK:6060) stock is a Buy with a HK$12.40 price target. To see the full list of analyst forecasts on ZhongAn Online P & C Insurance Co., Ltd stock, see the HK:6060 Stock Forecast page.

ZhongAn Online Completes Major H Shares Placement

ZhongAn Online P & C Insurance Co., Ltd announced the successful completion of the placement of 215,000,000 new H Shares, increasing the total issued shares significantly. This strategic move, finalized on July 4, 2025, enhances the company’s capital structure and involves independent professional, institutional, and other investors, potentially strengthening its market position.

The most recent analyst rating on (HK:6060) stock is a Buy with a HK$12.40 price target. To see the full list of analyst forecasts on ZhongAn Online P & C Insurance Co., Ltd stock, see the HK:6060 Stock Forecast page.

ZhongAn Online Announces HK$3.9 Billion Share Placement to Boost Fintech and Capital

ZhongAn Online P & C Insurance Co., Ltd announced a placement of new H shares under a general mandate, aiming to raise approximately HK$3,896.3 million in net proceeds. The funds will be used to supplement the company’s capital, support fintech innovations, and for general corporate purposes, enhancing its market positioning and operational capabilities.

The most recent analyst rating on (HK:6060) stock is a Buy with a HK$12.40 price target. To see the full list of analyst forecasts on ZhongAn Online P & C Insurance Co., Ltd stock, see the HK:6060 Stock Forecast page.

ZhongAn Online P & C Insurance Co., Ltd. Announces AGM Results and Board Re-elections

ZhongAn Online P & C Insurance Co., Ltd. announced the successful passage of all proposed resolutions during its annual general meeting held on June 20, 2025. Key resolutions included the approval of the 2024 financial reports, the re-appointment of auditors, and the re-election of directors and supervisors for the company’s fifth session. These developments indicate a stable governance structure and strategic planning for the upcoming years, which could strengthen the company’s market position and stakeholder confidence.

The most recent analyst rating on (HK:6060) stock is a Buy with a HK$12.40 price target. To see the full list of analyst forecasts on ZhongAn Online P & C Insurance Co., Ltd stock, see the HK:6060 Stock Forecast page.

ZhongAn Online Enters Financial Services Agreement with Ping An Bank

ZhongAn Online P & C Insurance Co., Ltd has entered into a Financial Services Framework Agreement with Ping An Bank, effective from June 18, 2025, to June 18, 2028. This agreement involves Ping An Bank providing deposit and settlement services to ZhongAn. As Ping An Insurance holds a significant stake in Ping An Bank, the agreement is classified as a continuing connected transaction under Hong Kong’s Listing Rules, subject to reporting and annual review requirements but exempt from shareholder approval.

The most recent analyst rating on (HK:6060) stock is a Buy with a HK$12.40 price target. To see the full list of analyst forecasts on ZhongAn Online P & C Insurance Co., Ltd stock, see the HK:6060 Stock Forecast page.

ZhongAn Online Reports Gross Written Premiums of RMB13,918 Million for Early 2025

ZhongAn Online P & C Insurance Co., Ltd announced that its gross written premiums for the period from January 1, 2025, to May 31, 2025, amounted to approximately RMB13,918 million. This financial information, prepared according to Chinese accounting standards, is unaudited and has not been reviewed by the company’s audit and consumer rights protection committee, indicating stakeholders should exercise caution in relying on it.

The most recent analyst rating on (HK:6060) stock is a Buy with a HK$12.40 price target. To see the full list of analyst forecasts on ZhongAn Online P & C Insurance Co., Ltd stock, see the HK:6060 Stock Forecast page.

ZhongAn Online P & C Insurance Schedules AGM to Discuss Key Resolutions

ZhongAn Online P & C Insurance Co., Ltd has announced its upcoming annual general meeting (AGM) scheduled for June 20, 2025, in Shanghai. The meeting will address several key resolutions including the approval of the company’s 2024 financial reports, the re-appointment of auditors, and the election and re-election of directors for the board’s fifth session. Additionally, the AGM will consider the company’s three-year development and capital planning reports for 2025-2027, which are crucial for its strategic growth and operational planning.

The most recent analyst rating on (HK:6060) stock is a Buy with a HK$12.40 price target. To see the full list of analyst forecasts on ZhongAn Online P & C Insurance Co., Ltd stock, see the HK:6060 Stock Forecast page.

ZhongAn Online Reports Gross Written Premiums for Early 2025

ZhongAn Online P & C Insurance Co., Ltd announced that its gross written premiums for the period from January 1, 2025, to April 30, 2025, amounted to approximately RMB10,935 million. This financial data is prepared according to Chinese accounting standards and remains unaudited. Stakeholders are advised to exercise caution in relying on this information, as it has not been reviewed by the company’s audit and consumer rights protection committee.

The most recent analyst rating on (HK:6060) stock is a Buy with a HK$12.40 price target. To see the full list of analyst forecasts on ZhongAn Online P & C Insurance Co., Ltd stock, see the HK:6060 Stock Forecast page.

ZhongAn Online P & C Insurance Reports Strong Solvency Ratios for Q1 2025

ZhongAn Online P & C Insurance Co., Ltd. announced its key solvency-related indicators for the first quarter of 2025, revealing a comprehensive solvency margin ratio of 220.35% and a core solvency margin ratio of 214.32%. The company’s insurance business income for the quarter was RMB 795,698.23 ten thousand, with a net profit of RMB 56,854.58 ten thousand. These figures, prepared according to Chinese Accounting Standards, highlight the company’s strong financial position and compliance with the National Financial Regulatory Administration’s requirements, potentially reinforcing investor confidence.