Morgan Stanley: Ping An Insurance (02318) is expected to report a tax-adjusted operating profit growth of 8.1% year-on-year in the third quarter.

Morgan Stanley released a research report stating that overall, it is expected that Ping An Insurance's third quarter performance will be stable, especially with the continuous improvement in new business value and after-tax operating surplus, as well as strong performance in net profit due to high growth in life insurance business. The bank has given Ping An Insurance a "hold" rating with a target price of 70 Hong Kong dollars. The bank expects Ping An Insurance's after-tax operating surplus to increase by 8.1% year-on-year in the third quarter, and under the same basis, the growth rate for the first nine months of the year will increase to 5%. In addition, due to positive market conditions and higher allocations, net profit in the third quarter is expected to increase by 31% year-on-year, driving a 6% year-on-year increase for the first nine months of the year. Furthermore, Morgan Stanley expects higher FYP growth and moderate improvement in profit margins, leading to a 45% growth in new business value in the third quarter and a 42% increase for the first nine months of the year.