Bank of America Securities: Maintains "Buy" rating on AIA (01299) with a target price of 100 Hong Kong dollars.

Bank of America Securities released a research report stating that it maintains a "buy" rating on AIA (01299) with a target price of 100 Hong Kong dollars. Prudential has launched a $1.7 billion share buyback plan at the end of March, expected to be completed within four months. The report stated that driven by the mainland China and Hong Kong markets, AIA's first quarter new business value growth exceeded expectations, increasing by 13% year-on-year to $1.76 billion when calculated at fixed exchange rates, and by 17% when calculated at actual exchange rates, outperforming its peer PRU. Excluding the Thailand market, the group's new business value growth reached 22%. The new business value profit margin slightly decreased from 57.5% to 56%, mainly due to a decrease in contributions from Thailand; annualized new premiums increased by 16% year-on-year. In mainland China, new business value increased by 26% year-on-year, with contributions from both agency and bancassurance channels, and a 17% increase in new business value for protection-type products. The number of new agents recruited increased by over 20%, with strong growth in agent productivity in new provinces and new business value. In Hong Kong, new business value increased by 21% year-on-year, with growth in both local and mainland visitor client segments, and strong growth in independent financial advisors and brokerage channels.