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New China Life Insurance

SEHK:1336
Snowflake Description

Proven track record with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
1336
SEHK
CN¥125B
Market Cap
  1. Home
  2. HK
  3. Insurance
Company description

New China Life Insurance Company Ltd. provides life insurance products and services to individuals and institutions in the People’s Republic of China. The last earnings update was 22 days ago. More info.


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1336 Share Price and Events
7 Day Returns
-1.7%
SEHK:1336
-0%
HK Insurance
0.9%
HK Market
1 Year Returns
-11%
SEHK:1336
18.3%
HK Insurance
-0.3%
HK Market
1336 Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
New China Life Insurance (1336) -1.7% -3.3% -12.4% -11% -21.4% -11.6%
HK Insurance -0% 0.6% 4.7% 18.3% 46.2% 43.5%
HK Market 0.9% 0.7% 3.9% -0.3% 7.8% -2.3%
1 Year Return vs Industry and Market
  • 1336 underperformed the Insurance industry which returned 18.3% over the past year.
  • 1336 underperformed the Market in Hong Kong which returned -0.3% over the past year.
Price Volatility
1336
Industry
5yr Volatility vs Market
Related Companies

1336 Value

 Is New China Life Insurance undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of New China Life Insurance to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for New China Life Insurance.

SEHK:1336 Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 14 analysts.
= Stable Book Value * Return on Equity
= CN¥28.52 * 15.6%
CN¥4.45
Book Value of Equity per Share Weighted future Book Value estimates from 11 analysts. CN¥28.52
Discount Rate (Cost of Equity) See below 7.3%
Perpetual Growth Rate 10-Year HK Government Bond Rate 2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for SEHK:1336
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year HK Govt Bond Rate 2%
Equity Risk Premium S&P Global 6%
Insurance Unlevered Beta Simply Wall St/ S&P Global 0.66
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.665 (1 + (1- 25%) (31.49%))
0.881
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.88
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2% + (0.881 * 5.96%)
7.25%

Discounted Cash Flow Calculation for SEHK:1336 using Excess Returns Model Model

The calculations below outline how an intrinsic value for New China Life Insurance is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

SEHK:1336 Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (15.6% – 7.25%) * CN¥28.52)
CN¥2.39
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= CN¥2.39 / (7.25% - 2%)
CN¥45.46
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= CN¥28.52 + CN¥45.46
CN¥73.98
SEHK:1336 Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in SEHK:1336 represents 0.6783x of SHSE:601336
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.6783x
Value per Share
(Listing Adjusted, HKD)
= Value per Share (CNY) x Listing Adjustment Factor
= CN¥ 73.98 x 0.6783
HK$50.18
Value per share (HKD) From above. HK$50.18
Current discount Discount to share price of HK$31.10
= -1 x (HK$31.10 - HK$50.18) / HK$50.18
38%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price New China Life Insurance is available for.
Intrinsic value
38%
Share price is HK$31.1 vs Future cash flow value of HK$50.18
Current Discount Checks
For New China Life Insurance to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • New China Life Insurance's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • New China Life Insurance's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for New China Life Insurance's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are New China Life Insurance's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
SEHK:1336 PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-09-30) in CNY CN¥4.24
SHSE:601336 Share Price ** SHSE (2019-11-21) in CNY CN¥45.85
Hong Kong Insurance Industry PE Ratio Median Figure of 9 Publicly-Listed Insurance Companies 9.94x
Hong Kong Market PE Ratio Median Figure of 1,481 Publicly-Listed Companies 10.25x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of New China Life Insurance.

SEHK:1336 PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= SHSE:601336 Share Price ÷ EPS (both in CNY)

= 45.85 ÷ 4.24

10.82x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • New China Life Insurance is overvalued based on earnings compared to the HK Insurance industry average.
  • New China Life Insurance is overvalued based on earnings compared to the Hong Kong market.
Price based on expected Growth
Does New China Life Insurance's expected growth come at a high price?
Raw Data
SEHK:1336 PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 10.82x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 18 Analysts
1.5%per year
Hong Kong Insurance Industry PEG Ratio Median Figure of 7 Publicly-Listed Insurance Companies 1.06x
Hong Kong Market PEG Ratio Median Figure of 478 Publicly-Listed Companies 0.72x

*Line of best fit is calculated by linear regression .

SEHK:1336 PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 10.82x ÷ 1.5%

7.3x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • New China Life Insurance is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on New China Life Insurance's assets?
Raw Data
SEHK:1336 PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-09-30) in CNY CN¥25.58
SHSE:601336 Share Price * SHSE (2019-11-21) in CNY CN¥45.85
Hong Kong Insurance Industry PB Ratio Median Figure of 12 Publicly-Listed Insurance Companies 1.04x
Hong Kong Market PB Ratio Median Figure of 2,197 Publicly-Listed Companies 0.85x
SEHK:1336 PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= SHSE:601336 Share Price ÷ Book Value per Share (both in CNY)

= 45.85 ÷ 25.58

1.79x

* Primary Listing of New China Life Insurance.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • New China Life Insurance is overvalued based on assets compared to the HK Insurance industry average.
X
Value checks
We assess New China Life Insurance's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check)
  5. New China Life Insurance has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

1336 Future Performance

 How is New China Life Insurance expected to perform in the next 1 to 3 years based on estimates from 18 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
1.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is New China Life Insurance expected to grow at an attractive rate?
  • New China Life Insurance's earnings growth is positive but not above the low risk savings rate of 2%.
Growth vs Market Checks
  • New China Life Insurance's earnings growth is positive but not above the Hong Kong market average.
  • New China Life Insurance's revenue growth is positive but not above the Hong Kong market average.
Annual Growth Rates Comparison
Raw Data
SEHK:1336 Future Growth Rates Data Sources
Data Point Source Value (per year)
SEHK:1336 Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 18 Analysts 1.5%
SEHK:1336 Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 18 Analysts 9.5%
Hong Kong Insurance Industry Earnings Growth Rate Market Cap Weighted Average 6.1%
Hong Kong Insurance Industry Revenue Growth Rate Market Cap Weighted Average 13.7%
Hong Kong Market Earnings Growth Rate Market Cap Weighted Average 11.5%
Hong Kong Market Revenue Growth Rate Market Cap Weighted Average 10.7%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
SEHK:1336 Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 18 Analyst Estimates (S&P Global) See Below
All numbers in CNY Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
SEHK:1336 Future Estimates Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 201,580 40,590 13,797 13
2020-12-31 183,864 35,399 12,138 14
2019-12-31 167,854 40,070 13,358 14
2019-11-21
SEHK:1336 Past Financials Data
Date (Data in CNY Millions) Revenue Cash Flow Net Income *
2019-09-30 161,542 31,144 13,223
2019-06-30 158,780 27,171 12,668
2019-03-31 170,614 24,046 8,680
2018-12-31 152,169 13,768 7,922
2018-09-30 150,786 14,243 8,043
2018-06-30 149,656 16,207 7,945
2018-03-31 125,991 12,276 6,155
2017-12-31 143,262 7,865 5,383
2017-09-30 142,560 1,845 5,198
2017-06-30 134,244 -5,720 4,846
2017-03-31 133,632 -2,395 4,785
2016-12-31 144,342 7,330 4,942

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • New China Life Insurance's earnings are expected to grow by 1.5% yearly, however this is not considered high growth (20% yearly).
  • New China Life Insurance's revenue is expected to grow by 9.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
SEHK:1336 Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 18 Analyst Estimates (S&P Global) See Below

All data from New China Life Insurance Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1336 Future Estimates Data
Date (Data in CNY Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 4.47 5.74 3.07 16.00
2020-12-31 4.00 4.91 3.03 19.00
2019-12-31 4.38 4.85 3.96 15.00
2019-11-21
SEHK:1336 Past Financials Data
Date (Data in CNY Millions) EPS *
2019-09-30 4.24
2019-06-30 4.06
2019-03-31 2.78
2018-12-31 2.54
2018-09-30 2.57
2018-06-30 2.54
2018-03-31 1.97
2017-12-31 1.73
2017-09-30 1.67
2017-06-30 1.55
2017-03-31 1.53
2016-12-31 1.58

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • New China Life Insurance is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess New China Life Insurance's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Hong Kong market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Hong Kong market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
New China Life Insurance has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

1336 Past Performance

  How has New China Life Insurance performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare New China Life Insurance's growth in the last year to its industry (Insurance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • New China Life Insurance's year on year earnings growth rate has been positive over the past 5 years.
  • New China Life Insurance's 1-year earnings growth exceeds its 5-year average (64.4% vs 7.2%)
  • New China Life Insurance's earnings growth has exceeded the HK Insurance industry average in the past year (64.4% vs 4.6%).
Earnings and Revenue History
New China Life Insurance's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from New China Life Insurance Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

SEHK:1336 Past Revenue, Cash Flow and Net Income Data
Date (Data in CNY Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-09-30 161,542.00 13,223.00 12,097.00
2019-06-30 158,780.00 12,668.00 12,180.00
2019-03-31 170,614.00 8,680.00 12,156.00
2018-12-31 152,169.00 7,922.00 11,968.00
2018-09-30 150,786.00 8,043.00 12,058.00
2018-06-30 149,656.00 7,945.00 12,128.00
2018-03-31 125,991.00 6,155.00 12,718.00
2017-12-31 143,262.00 5,383.00 13,777.00
2017-09-30 142,560.00 5,198.00 13,648.00
2017-06-30 134,244.00 4,846.00 13,711.00
2017-03-31 133,632.00 4,785.00 13,532.00
2016-12-31 144,342.00 4,942.00 13,081.00
2016-09-30 141,305.00 4,743.00 13,238.00
2016-06-30 140,841.00 5,182.00 13,224.00
2016-03-31 146,624.00 6,971.00 12,975.00
2015-12-31 157,538.00 8,601.00 12,655.00
2015-09-30 166,115.00 8,725.00 12,299.00
2015-06-30 164,940.00 9,410.00 11,904.00
2015-03-31 153,210.00 8,470.00 11,594.00
2014-12-31 142,134.00 6,406.00 11,335.00
2014-09-30 147,702.00 6,797.00 11,060.00
2014-06-30 146,917.00 5,983.00 10,666.00
2014-03-31 146,438.00 4,517.00 10,411.00
2013-12-31 128,575.00 4,422.00 9,977.00
2013-09-30 110,504.00 4,559.00 9,734.00
2013-06-30 109,212.00 3,216.00 9,760.00
2013-03-31 110,159.00 3,630.00 9,733.00
2012-12-31 111,677.00 2,933.00 9,785.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • New China Life Insurance has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • New China Life Insurance used its assets less efficiently than the HK Insurance industry average last year based on Return on Assets.
  • New China Life Insurance has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess New China Life Insurance's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
New China Life Insurance has a total score of 4/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

1336 Health

 How is New China Life Insurance's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up New China Life Insurance's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • New China Life Insurance's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • New China Life Insurance's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of New China Life Insurance's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 1.3x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from New China Life Insurance Company Filings, last reported 1 month ago.

SEHK:1336 Past Debt and Equity Data
Date (Data in CNY Millions) Total Equity Total Debt Cash & Short Term Investments
2019-09-30 79,808.00 38,381.00 29,613.00
2019-06-30 76,600.00 44,951.00 31,302.00
2019-03-31 73,205.00 20,243.00 25,084.00
2018-12-31 65,596.00 16,959.00 30,181.00
2018-09-30 66,620.00 37,314.00 32,158.00
2018-06-30 65,787.00 52,187.00 51,994.00
2018-03-31 65,501.00 29,929.00 21,896.00
2017-12-31 63,723.00 23,925.00 20,195.00
2017-09-30 63,618.00 36,776.00 27,156.00
2017-06-30 61,729.00 43,757.00 42,596.00
2017-03-31 61,608.00 55,870.00 32,765.00
2016-12-31 59,125.00 53,246.00 70,580.00
2016-09-30 59,764.00 42,350.00 30,210.00
2016-06-30 57,718.00 47,831.00 84,618.00
2016-03-31 57,247.00 38,090.00 35,806.00
2015-12-31 57,841.00 38,816.00 94,374.00
2015-09-30 54,088.00 28,542.00 26,859.00
2015-06-30 56,935.00 49,745.00 92,397.00
2015-03-31 53,946.00 57,769.00 24,402.00
2014-12-31 48,364.00 78,234.00 65,887.00
2014-09-30 46,821.00 53,393.00 18,342.00
2014-06-30 43,296.00 67,117.00 58,395.00
2014-03-31 40,877.00 57,861.00 39,173.00
2013-12-31 39,318.00 67,211.00 30,042.00
2013-09-30 39,800.00 67,950.00 18,031.00
2013-06-30 37,691.00 67,484.00 44,875.00
2013-03-31 37,416.00 62,282.00 29,227.00
2012-12-31 35,878.00 70,437.00 47,937.00
  • New China Life Insurance's level of debt (48.1%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (114.6% vs 48.1% today).
  • Debt is well covered by operating cash flow (81.1%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 13.2x coverage).
X
Financial health checks
We assess New China Life Insurance's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. New China Life Insurance has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

1336 Dividends

 What is New China Life Insurance's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
1.68%
Current annual income from New China Life Insurance dividends. Estimated to be 2.43% next year.
If you bought HK$2,000 of New China Life Insurance shares you are expected to receive HK$34 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • New China Life Insurance's pays a lower dividend yield than the bottom 25% of dividend payers in Hong Kong (2.24%).
  • New China Life Insurance's dividend is below the markets top 25% of dividend payers in Hong Kong (6.34%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
SEHK:1336 Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 18 Analyst Estimates (S&P Global) See Below
Hong Kong Insurance Industry Average Dividend Yield Market Cap Weighted Average of 8 Stocks 1.8%
Hong Kong Market Average Dividend Yield Market Cap Weighted Average of 970 Stocks 3.7%
Hong Kong Minimum Threshold Dividend Yield 10th Percentile 1.3%
Hong Kong Bottom 25% Dividend Yield 25th Percentile 2.2%
Hong Kong Top 25% Dividend Yield 75th Percentile 6.3%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

SEHK:1336 Future Dividends Estimate Data
Date (Data in CN¥) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 1.18 12.00
2020-12-31 1.08 14.00
2019-12-31 1.09 14.00
2019-11-21
SEHK:1336 Past Annualized Dividends Data
Date (Data in CN¥) Dividend per share (annual) Avg. Yield (%)
2019-08-01 0.770 1.540
2018-08-02 0.520 1.077
2017-08-04 0.480 0.895
2016-06-27 0.280 0.619
2015-08-25 0.210 0.514
2015-06-11 0.210 0.432
2014-08-26 0.150 0.392
2014-05-09 0.150 0.685
2013-10-30 0.000 0.000
2013-08-27 0.000 0.000
2013-04-26 0.000 0.000
2013-04-15 0.000 0.000
2013-03-26 0.000 0.000
2012-08-29 0.090 0.369
2012-03-29 0.090 0.284

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • New China Life Insurance has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).
  • Dividend payments have increased, but New China Life Insurance only paid a dividend in the past 8 years.
Current Payout to shareholders
What portion of New China Life Insurance's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (5.5x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.4x coverage).
X
Income/ dividend checks
We assess New China Life Insurance's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1.3%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can New China Life Insurance afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. New China Life Insurance has a total score of 2/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

1336 Management

 What is the CEO of New China Life Insurance's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Quan Li
AGE 55
TENURE AS CEO 0.3 years
CEO Bio

Mr. Quan Li has been the President and Chief Executive Officer of New China Life Ins Co. Ltd. since August 07, 2019 and serves as Executive Director. Mr. Li serves as the President and Chief Executive Officer of New China Asset Management since August 07, 2019. Mr. Li joined New China Asset Management Co., Ltd in March 2010 as its President. He has been Vice Chairman of New China Asset Management Co., Ltd since December 2016. He is a Secretary of the CPC Branch at New China Asset Management Co., Ltd. He has experience in finance and investment. Mr. Li served as President and Deputy Chairman of New China Life Insurance's asset management business. He has also served as the Chairman of New China Asset Management (Hong Kong) Co., Ltd. since April 2013. He is also the independent non-executive director of Masterwork Group Co., Ltd. He served as an independent director of UEC Group Ltd. from May 2017 to July 2019. He successively served as inspector general, deputy general manager and executive deputy general manager of Bosera Asset Management Co., Ltd. from May 1998 to March 2010, and he also successively worked as general manager of the capital department as well as assistant to the general manager in Chia Tai International Finance Company Limited from January 1991 to April 1998. From July 1988 to December 1990, he served as the business manager of the banking department of China Rural Trust and Investment Corporation. He obtained a master’s degree in economics from Graduate School of People’s Bank of China with a major in money and banking in 1988.

CEO Compensation
  • Insufficient data for Quan to compare compensation growth.
  • Insufficient data for Quan to establish whether their remuneration is reasonable compared to companies of similar size in Hong Kong.
Management Team Tenure

Average tenure and age of the New China Life Insurance management team in years:

2.8
Average Tenure
55
Average Age
  • The tenure for the New China Life Insurance management team is about average.
Management Team

Zheng Yang

TITLE
VP & CFO
AGE
49
TENURE
2.8 yrs

Zongjian Li

TITLE
Executive Director & VP
AGE
59
TENURE
2.8 yrs

Xingfeng Gong

TITLE
VP, Chief Actuary
AGE
49
TENURE
2.7 yrs

Yigong Liu

TITLE
Vice President
AGE
60
TENURE
14.7 yrs

Yuan Li

TITLE
Vice President
AGE
57
TENURE
6.8 yrs

Quan Li

TITLE
CEO, President & Executive Director
AGE
55
TENURE
0.3 yrs

Kenneth Lee

TITLE
Joint Company Secretary
TENURE
1.3 yrs

Zhongzhu Wang

TITLE
GM of Discipline Inspection & Supervision Office and Employee Representative Supervisor
AGE
52
TENURE
8.8 yrs
Board of Directors Tenure

Average tenure and age of the New China Life Insurance board of directors in years:

3.7
Average Tenure
53.5
Average Age
  • The tenure for the New China Life Insurance board of directors is about average.
Board of Directors

Haoling Liu

TITLE
Chairman of the Board
AGE
47
TENURE
0.2 yrs

Zongjian Li

TITLE
Executive Director & VP
AGE
59
TENURE
3.7 yrs

Quan Li

TITLE
CEO, President & Executive Director
AGE
55

Zhongzhu Wang

TITLE
GM of Discipline Inspection & Supervision Office and Employee Representative Supervisor
AGE
52
TENURE
3.7 yrs

Chengran Wang

TITLE
Chairman of Supervisory Board
AGE
60
TENURE
5.3 yrs

Wei Zheng

TITLE
Independent Non-Executive Director
AGE
45
TENURE
3.7 yrs

Xianglu Li

TITLE
Independent Non-Executive Director
AGE
70
TENURE
3.7 yrs

Aimin Hu

TITLE
Non-Executive Director
AGE
46
TENURE
3.4 yrs

Lie Cheng

TITLE
Independent Non-Executive Director
AGE
64
TENURE
3.3 yrs

Lianhua Xiong

TITLE
Non-Executive Director
AGE
52
TENURE
2.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month open market individual insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (HK$) Value (HK$)
09. Apr 19 Buy Goldman Sachs Group, Investment Banking and Securities Investments Company 04. Apr 19 04. Apr 19 1,380,000 HK$42.75 HK$58,994,997
15. Jan 19 Buy BlackRock, Inc. Company 10. Jan 19 10. Jan 19 206,200 HK$27.66 HK$5,702,915
X
Management checks
We assess New China Life Insurance's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. New China Life Insurance has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

1336 News

Simply Wall St News

1336 Company Info

Description

New China Life Insurance Company Ltd. provides life insurance products and services to individuals and institutions in the People’s Republic of China. It operates through three segments: Individual Insurance Business, Group Insurance Business, and Other Business. The company also offers asset management, training, electronic commerce, and medical services; and invests in, develops, leases, and manages real estate properties. In addition, it is involved in the technological development and project investment activities. New China Life Insurance Company Ltd. was founded in 1996 and is headquartered in Beijing, the People’s Republic of China.

Details
Name: New China Life Insurance Company Ltd.
1336
Exchange: SEHK
Founded: 1996
CN¥138,894,195,023
3,119,546,600
Website: http://www.newchinalife.com
Address: New China Life Insurance Company Ltd.
New China Insurance Tower,
A12 Jianguomenwai Avenue,
Beijing,
100022,
China
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
SHSE 601336 Domestic Shares Shanghai Stock Exchange CN CNY 16. Dec 2011
XSSC 601336 Domestic Shares Shanghai Stock Exchange - Shanghai - Hong Kong Stock Connect CN CNY 16. Dec 2011
SEHK 1336 Foreign Shares-Foreign Listed The Stock Exchange of Hong Kong Ltd. HK HKD 15. Dec 2011
DB NCL Foreign Shares-Foreign Listed Deutsche Boerse AG DE EUR 15. Dec 2011
SHSC 1336 Foreign Shares-Foreign Listed Stock Exchange of Hong Kong Limited - Shanghai - Hong Kong Stock Connect HK HKD 15. Dec 2011
SZSC 1336 Foreign Shares-Foreign Listed The Stock Exchange of Hong Kong - Shenzhen - Hong Kong Stock Connect HK HKD 15. Dec 2011
Number of employees
Current staff
Staff numbers
38,542
New China Life Insurance employees.
Industry
Life and Health Insurance
Insurance
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/11/21 12:48
End of day share price update: 2019/11/21 00:00
Last estimates confirmation: 2019/11/17
Last earnings filing: 2019/10/30
Last earnings reported: 2019/09/30
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.