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Ping An Insurance (Group) Company of China logo

Ping An Insurance (Group) Company of China

PNGAY
62
Insurance - Diversified · Financial Services
Price
$13.98
+0.07 (+0.50%)
Market Cap
$126.57B
Exchange
Other OTC
Winston Score
62
Winston is curious
A decent business — some strong pillars, some weaker.

Share count rising — dilution

+1.9% over 4y

The company has issued more shares over this period, which dilutes each existing shareholder’s stake.

Diluted shares outstanding: 8.89B (2021) → 9.05B (2025)

Ping An Insurance (Group) Company of China, Ltd., established in 1988 and headquartered in Shenzhen, China, offers a comprehensive range of financial and technological solutions across the People's Republic of China. Its core operations span insurance, banking, and asset management, complemented by its expanding presence in fintech and healthtech ventures. The company's Life and Health Insurance division serves both individual and corporate clients, providing diverse policies such as term, whole-life, endowment, annuity, investment-linked, universal life, and extensive healthcare and medical coverage. In parallel, the Property and Casualty Insurance unit furnishes protection for automotive and non-automotive assets, along with accident and health plans for a broad customer base. Through its Banking segment, Ping An engages in lending and financial intermediary activities for corporate and retail customers, additionally offering wealth management and credit card services to individuals. The Trust division provides specialized trust services and manages various investment undertakings. Its Securities segment delivers expertise in brokerage, trading, investment banking, and asset management. Separately, the Other Asset Management segment encompasses investment management, finance leasing, and other bespoke asset management provisions. A key aspect of its business is the Technology segment, which leverages internet platforms to deliver both financial transaction information and daily-life healthcare services. Beyond these primary business lines, Ping An provides a vast array of supplementary services. These include various forms of investment management (such as annuity insurance, real estate investment, futures brokerage, equity investment, and private equity financing), alongside IT and business process outsourcing, financial advisory, and consulting services. The company also handles currency and property brokerage, fund raising and distribution, real estate development and leasing, and insurance agency services. Its offerings further extend to factoring, financing guarantees, logistics, management consulting, e-commerce, and credit information. Notably, Ping An's diverse portfolio even includes the operation of an expressway and the manufacturing and sale of consumer chemical products.

Winston Score History

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

-13.4% YoY

YoY Growth Rate

Revenue declining

EPS Growth

-7.1% YoY

YoY Growth Rate

Earnings declining

R&D Spend

$0/ year

0.0% of revenue

Below sector average (7%)

Research and development spending

Cash Position

Cash flow positive

$1.1T cash & investments

Quarterly Free Cash Flow

↑ Burn rate improving

Company generates more cash than it spends — no dilution risk from fundraising

Revenue declining

Ping An Insurance (Group) Company of China's revenue is actually shrinking. In a growth stock, that removes the core investment thesis. The low Winston Score here may be warranted — unless there's a turnaround story.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Gross Margin
98.6%
Premium pricing power — 98.6% gross margin
Operating Margin
18.8%
Healthy — 18.8% operating margin
ROCE
1.5%
Weak — 1.5% return on capital

ROIC between 0% and 5%. They earn a few cents back per dollar invested in the business.

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Growth

Sales YoY
+2.9%
Nearly flat sales (2.9% YoY)
EPS YoY
+13.8%
Earnings growing (13.8% YoY)

Healthy double-digit earnings growth — what compounders look like.

EPS Consistency
4/8 quarters
Earnings inconsistent quarter-to-quarter

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Cash Flow

Cash Conversion
261%
Turns 261% of profit into real cash
FCF Margin
34.8%
Converts sales into free cash efficiently (34.8%)

Free cash flow margin above 20%. Out of every $100 in sales, more than $20 is real cash they keep.

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Stability

Debt / Equity
1.31
Elevated debt (1.31)
Interest Cover
16.95x
Comfortably covers interest (16.9x)

Interest coverage above 8. Profits cover interest many times over.

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Valuation

P/E Ratio (TTM)
0.9x
Attractive valuation — P/E 0.9

P/E under 10. The price tag is small relative to last year's profit.

P/E vs Forward
+0.1
GROWING
Earnings roughly flat

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Dividends

Dividend Yield
5.33%
Healthy income — 5.33% yield

Generous yield. Worth checking whether the payout is sustainable.

Dividend Growth
+7.8%
Dividend growing modestly (7.8% YoY)

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