Ping An Insurance Breaks Neckline ResistancePing An Insurance's price is rising along with the Hang Seng Index, and the recent Chinese government meeting has introduced policies that benefit insurance companies.
Let's see how it goes!
2318 trade ideas
Ping An Insurance - getting closer to another breakoutThe support at 29.85 was fairly strong and the price point proven itself to a minor rally but ain't strong enough to break out from the bearish trend line.
We are at this juncture once more where it could either break out soon and continues rally or revisit the support line at 29.85 , consolidate for a while more before the breakout, hopefully not a breakdown.
It pays a good stable dividend of over 7% and is pretty diversified in tech, insurance both online and offline and secure businesses from the government as well. At its peak, it was well over 100 and now at 35, it is almost a 70% fall from its glorious days.
Good to accumulate and wait out for the tide to turn around..........
Ping An Insurance UpdateI am not so concerned about its property exposure since all big local banks in China have loans with the property developers. It is negligible at 1 over % compared to its insurance, tech, etc businesses.
As a corporate, while its dividend of 8.8% may seems attractive, there will be a capital withholding tax of 17% compared to 8% net from LINK REITS. Of course buying in SG dollars , one will have to incur the foreign exchange loss (roughly around 2-3% ) after conversion.
LINK Reit has wider geographical coverage compared to pure Singapore play which is what I like for diversification.
I have a small position in PING AN but am monitoring its share price to catch a better price. No hurry to DCA.
Please DYODD
Morgan Stanley rated A the Ping An Insurance for secong year
Revenue: $156.2 billion
Net Income: $14.7 billion
Market Cap: $114.8 billion
1-Year Trailing Total Return: ~7.5%
Exchange: OTC Markets
According to Investopedia, it is the 3rd biggest Chinese company and in the top 5 insurance companies in the world
Ping An Insurance provides insurance, financial services, and banking. It is one of the top 50 companies on the Shanghai Stock Exchange.
Founded in 1988, it was China's first joint-stock insurance company.
Its subsidiaries include Ping An Life, Ping An Property & Casualty, Ping An Annuity, and Ping An Health.
Hong Kong and Shanghai, Nov. 29, 2023 /PRNewswire/ -- Ping An Insurance (Group) Company of China, a powerhouse in the insurance sector, proudly declares its stellar achievement in the latest Environmental, Social, and Governance (ESG) Ratings by Morgan Stanley Capital Investment (MSCI). Securing an A rating for the second consecutive year, Ping An reaffirms its commitment to sustainable practices. Notably, the Group maintains its top-tier position in the multi-line insurance & brokerage industry in the Asia-Pacific (APAC) region. This accolade underscores Ping An's unwavering dedication to excellence and responsible corporate citizenship. Investors take note of Ping An's remarkable ESG track record as it continues to lead the way in the industry.
Ping An takes proactive steps in addressing climate change challenges, utilizing its integrated finance capabilities to advance green finance initiatives and support China's ambitious targets of achieving "carbon peak and neutrality in 2030 and 2060 respectively." In responsible investment, Ping An implements the active ownership principle, integrating Environmental, Social, and Governance (ESG) factors into research, analysis, and investment decisions. The company actively oversees and participates in ESG management for portfolio companies, ensuring their healthy development. By June 2023, Ping An's green investments in insurance assets reached an impressive RMB140.929 billion.
The current entry-level is looking promising being close to the all-time lows with much higher upside potential than the downward one.
2318.hk is showing a solid price actionAfter 2318.hk reaches its low at 15 March 2022, it exhibits strong breakaway gaps with strong volume on 17 March 2022. From 18 March 2022 to 1 April 2022, it exhibits the pennats pattern, and finally breaks through and reaches a closing price 59.25 on 4 April 2022. Moreover, the 100-day MA changes from decreasing to flatten now. We will see if it continues exhibit a rising trend.
Ping An (2318.HK) - Buy at minor correction Since the breaking out of the descending triangle on 6th Jan 2022, the up trend is confirmed with the Ichimoku heading for a three bullish crossover. However, some weakness is observed at HK$60.90 immediate resistance thus we can take this opportunity to buy at support. DM+ is seen sloping upwards while DM- is seen sloping down below the Average directional index. As such, we believe overall trend is tilting towards the bullish side.
Ping An Bank broken downward trendPrice has long consolidated between $70 - $100. Which dipped to $50 recently. With a breaking of the downward trending, Ping An is most probably reversing from current area with the upward trend line to be the support where we should see price to go above 70 and fall back down shortly to $62.50 before the next wave up for share price to go back into the long consolidated zone.
TP1 : 70
TP2: 95.9
Final Target : 125
Ping An Insurance - A fintech Playwww.businesstimes.com.sg
This is what I would be watching closely as well.
If you understand how insurance works, it is a fantastic business model of risk and rewards.
By collecting regular premium from life insurance products and reinvesting to make greater profits, the risks of payout is smaller over a long period of time is smaller compared to what is collected.
Despite the good profits declared, the share price dropped , creating a good buying opportunity for us. See chart for explanation.
Buy Ping An at HKD 52.90Experience has taught me that when solid companies are on discount.... buy them and don't let go! A solid 5% + Dividend... Cost barely above book value, Insider purchases, company buybacks... are some of the reasons this looks like its time to buy.
This is a great set up for a trade and for a buy-and-hold
Double bottom as the stop loss
Entry: HKD 52.90
Target: Over HKD 100
Stop loss: HKD 48.50
Time Frame: 1 Year.
Ping An (2318): At Key SupportPING AN (2318)
Analysis Forecast:
Expect price to stablise and retest HK$79-80.00 area
Analysis is For:
Single Stock Tactical Allocation (Greater China Market)
Swing Trading - Generate Portfolio Alpha
Supporting Technical Observations:
1. Trading at Resistance-turned-Support and High Volume Node Levels
2. Hammer Pattern
3. Fund Flow Index (FFI), Positive Divergence
3. Relative Strength, Positive Divergence
Stop Loss
HK$60.80
2318.HK PingAn (Rebounce Suspecting for short-run)1. Uptrend line (Long-run): Lining up bottoms of 2016 and 2020.
2. Fibonacci retracement: 61.8% of latest uptrend (Mar 2020 - Jan 2021)
3. Former tops: In monthly chart, ~79.50 was the top of consolidation area in 2H2020.
Trades:
A) BUY - hold and wait for actual buy signals (above 9EMA, MACD cross, ROCxSROC)
B) SELL - short it when price touch 9EMA
