CICC said in a research report that it maintained the "outperform industry" rating of AIA (01299), updated the impact of the buyback plan on financial indicators, and raised the value forecast for new business in Hong Kong, China, with a target price of HK $74.
AIA announces 1Q24 results: new Business value (VONB) year on year + 27% Universe 31% at real / fixed exchange rates, better than bank / market expectations 7Sicbocasinogame.1% / 8.1%, mainly due to better-than-expected year-on-year VONB growth in mainland China and Hong KongSicbocasinogameAnnualized new premium (ANP) year-on-year + 23% mark 26% at real / fixed exchange rate, year-on-year + 1.9ppt/+2.1ppt to 54.2% at real / fixed exchange rate.
The company optimizes its capital management policy, according to the report. 1) starting from 2024, the annual performance will target 75% of the annual net free surplus as the dividend payout rate, and return the rest except the regular dividend through buybacks; 2) regularly review the capital position and return capital to shareholders. The company's board of directors has approved an additional $2 billion buyback, which is expected to be completed in about 12 months. Under the new policy, the bank expects a dividend yield of about 3.1 per cent on 2024e, and the remaining repurchase amount increased to $3.83 billion as of April 28th, accounting for 4.7 per cent of the current market capitalization.
