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China Pacific Insurance (Group) Co Ltd Class H (HK:2601)
:2601
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China Pacific Insurance (Group) Co (2601) AI Stock Analysis

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HK:2601

China Pacific Insurance (Group) Co

(2601)

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Outperform 77 (OpenAI - Gpt-5.6Sol)
Rating:77Outperform
Price Target:
HK$34.00
â–²(13.86% Upside)
Action:Reiterated
Date:08/28/26
The score is driven primarily by solid financial performance (strong cash flow and improving revenue/ROE, offset by higher leverage and some margin volatility) and very attractive valuation (low P/E and high dividend yield). Technicals are mixed, with short-term strength but weaker positioning versus longer-term moving averages, which caps the overall score.
Positive Factors
Strong Cash Generation
Robust operating and free cash flow indicates strong earnings conversion and provides internally generated funds to support policyholder obligations, investment, capital needs, and future business growth over the medium term.
Negative Factors
Higher Balance-Sheet Leverage
The sharp increase in leverage reduces financial flexibility and may heighten sensitivity to credit, asset-value, and interest-rate conditions. For an insurer, this can increase pressure on capital management as obligations remain long term.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong Cash Generation
Robust operating and free cash flow indicates strong earnings conversion and provides internally generated funds to support policyholder obligations, investment, capital needs, and future business growth over the medium term.
Read all positive factors

China Pacific Insurance (Group) Co (2601) vs. iShares MSCI Hong Kong ETF (EWH)

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) makes money mainly through (1) underwriting income from insurance operations and (2) investment income earned on the large pool of invested assets generated by policyholder premiums. 1) Insurance underwriting (core...

China Pacific Insurance (Group) Co Earnings Call Summary

Earnings Call Date:Oct 30, 2024
(Q3-2024)
|
% Change Since: |
Next Earnings Date:Oct 23, 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
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
Strong overall fundamentals led by excellent cash generation (TTM operating cash flow ~273B and free cash flow ~270B, with FCF ~0.99x net income) and improving top-line momentum (TTM revenue rebounded to ~6.8% growth). Profitability is solid (TTM net margin ~12.3%) and ROE improved to ~18.2% in TTM, but the step-up in leverage (debt-to-equity ~0.76 TTM vs. very low 2021–2024) and some margin volatility across years temper the score.
Income Statement
78
Positive
Balance Sheet
69
Positive
Cash Flow
84
Very Positive
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue410.60B376.40B401.90B321.68B328.96B436.39B
Gross Profit410.59B376.40B401.84B321.67B301.03B406.09B
EBITDA71.82B72.57B60.21B314.87B320.92B38.77B
Net Income56.19B52.12B44.96B27.26B37.38B26.83B
Balance Sheet
Total Assets3.28T3.15T2.83T2.34T2.18T1.95T
Cash, Cash Equivalents and Short-Term Investments80.47B77.49B29.36B30.93B748.22B677.93B
Total Debt193.80B243.44B13.01B13.38B12.72B13.10B
Total Liabilities2.93T2.81T2.52T2.08T1.94T1.71T
Stockholders Equity319.14B302.27B291.42B249.59B228.45B226.74B
Cash Flow
Free Cash Flow269.64B258.31B150.53B133.88B138.81B104.72B
Operating Cash Flow272.93B262.49B154.40B137.86B147.91B108.41B
Investing Cash Flow-213.94B-251.64B-209.90B-161.36B-168.98B-66.09B
Financing Cash Flow-17.76B35.74B61.34B3.29B28.48B-31.37B

China Pacific Insurance (Group) Co Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price29.86
Price Trends
50DMA
29.24
Positive
100DMA
30.19
Positive
200DMA
31.98
Negative
Market Momentum
MACD
0.41
Negative
RSI
53.53
Neutral
STOCH
67.87
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HK:2601, the sentiment is Neutral. The current price of 29.86 is above the 20-day moving average (MA) of 29.57, above the 50-day MA of 29.24, and below the 200-day MA of 31.98, indicating a neutral trend. The MACD of 0.41 indicates Negative momentum. The RSI at 53.53 is Neutral, neither overbought nor oversold. The STOCH value of 67.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for HK:2601.

China Pacific Insurance (Group) Co Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
79
Outperform
HK$204.01B4.3938.57%6.32%44.36%53.14%
78
Outperform
HK$1.18T4.4739.88%3.18%38.17%134.02%
78
Outperform
HK$390.36B7.0216.11%3.83%9.17%31.94%
77
Outperform
HK$360.97B5.8418.41%5.97%11.90%22.71%
77
Outperform
HK$81.44B2.5333.37%5.63%18.51%293.61%
73
Outperform
HK$1.15T6.6015.80%5.61%10.72%38.29%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HK:2601
China Pacific Insurance (Group) Co
30.28
0.25
0.84%
HK:2318
Ping An Insurance Company of China
56.25
3.06
5.75%
HK:2628
China Life Insurance Co
30.56
8.71
39.85%
HK:0966
China Taiping Insurance Holdings Co
21.86
6.75
44.72%
HK:2328
PICC Property & Casualty Co
17.23
-0.20
-1.16%
HK:1336
New China Life Insurance Co., Ltd. Class H
49.10
5.40
12.37%

China Pacific Insurance (Group) Co Corporate Events

China Pacific Insurance Publishes Q2 2026 Solvency Summary for Health Unit
Aug 27, 2026
China Pacific Insurance (Group) Co., Ltd. issued an overseas regulatory announcement in Hong Kong to release an excerpted summary of the second-quarter 2026 solvency report for its health insurance arm, Pacific Health Insurance Co., Ltd. The discl...
China Pacific Insurance Issues Hong Kong Regulatory Solvency Update
Aug 27, 2026
China Pacific Insurance (Group) Co., Ltd. has issued an overseas regulatory announcement in Hong Kong, citing the disclosure and inside information provisions of the local listing and securities rules. The notice indicates that an attached announc...
China Pacific Insurance Publishes Q2 2026 Solvency Disclosure for Property Unit
Aug 27, 2026
China Pacific Insurance (Group) Co., Ltd. issued an overseas regulatory announcement in Hong Kong to release excerpts of the second‑quarter 2026 solvency report for its subsidiary China Pacific Property Insurance Co., Ltd. The disclosure, ma...
China Pacific Insurance Issues Hong Kong Regulatory Notice on Interim Solvency Report
Aug 27, 2026
China Pacific Insurance (Group) Co., Ltd. has issued an overseas regulatory announcement in Hong Kong, in line with local listing and securities rules governing disclosure of inside information. The filing signals the release of excerpts from the ...
China Pacific Insurance Issues Hong Kong Notice on 2026 Interim Results
Aug 27, 2026
China Pacific Insurance (Group) Co., Ltd. has issued an overseas regulatory announcement in Hong Kong in connection with the release of its 2026 interim results, in accordance with local listing rules. The company noted that the Hong Kong Exchange...
China Pacific Insurance Declares Interim Dividend for First Half of 2026
Aug 27, 2026
China Pacific Insurance (Group) Co., Ltd. has declared an interim ordinary dividend of RMB 0.42 per share for the six months ended 30 June 2026, for the financial year ending 31 December 2026. For H shareholders, the payout will be in Hong Kong do...
China Pacific Insurance Announces 2026 Interim Dividend and Tax Withholding Details
Aug 27, 2026
China Pacific Insurance (Group) Co., Ltd. has approved an interim dividend for the first half of 2026, declaring a payout of RMB0.42 per share, or HK$0.485444 per H share based on the specified exchange rate. The interim dividend will be distribut...
China Pacific Insurance posts higher interim profit as health and P&C businesses strengthen
Aug 27, 2026
China Pacific Insurance reported steady growth for the six months to 30 June 2026, with group operating income rising 5.8% to RMB212.136 billion and net profit up 10.4% to RMB30.775 billion, supported by higher OPAT and a 5.6% increase in net asse...
China Pacific Insurance Sets Interactive Briefing for 2026 Interim Results
Aug 19, 2026
China Pacific Insurance (Group) Co., Ltd. will publish its interim results for the first half of 2026 on the Hong Kong Stock Exchange’s news website on 27 August 2026. To deepen investor understanding of its performance and operating positio...
China Pacific Insurance Sets August 2026 Board Meeting to Review Interim Results and Dividend
Aug 13, 2026
China Pacific Insurance (Group) Co., Ltd. has scheduled a board meeting for 27 August 2026 to review and approve its interim results for the six months ended 30 June 2026. The board will also consider the potential payment of an interim dividend a...
China Pacific Insurance announces routine board reshuffle as vice chairman steps down
Aug 11, 2026
China Pacific Insurance (Group) Co., Ltd. announced that vice chairman and non-executive director Lu Qiaoling has resigned from the board and from the Strategic and Investment Decision-Making ESG Committee due to age, effective 11 August 2026. Th...
China Pacific Insurance Clarifies Board and Committee Roles
Aug 11, 2026
China Pacific Insurance (Group) Co., Ltd., a leading Chinese insurance group listed in Hong Kong, has outlined the composition and functional roles of its board of directors and key governance committees. The Board includes executive, non-executiv...
China Pacific Insurance Gains Regulatory Approval for New Vice President
Jul 3, 2026
China Pacific Insurance (Group) Co., Ltd. has secured regulatory approval from the National Financial Regulatory Administration for the appointment of Wang Mingchao as vice president. His term of office became effective on 30 June 2026, aligning w...
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...
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.Date of analysis: Aug 28, 2026