HK Stock Market Move | Inner insurance stocks collectively fell back, investment income boosted insurance companies' performance in the first half of the year, Changxin's market valuation is lower than market expectations.

The insurance stocks collectively fell back. As of the time of writing, New China Life Insurance (01336) fell by 4.06% to HK$44.92; China Life Insurance (02628) fell by 3.9% to HK$26.62; China Pacific Insurance (02601) fell by 1.4% to HK$28.24; PICC P&C (02328) fell by 1.05% to HK$14.12. On the news front, New China Life Insurance and China Life Insurance successively issued performance forecast announcements for the first half of 2026, with a significant increase in their net profit attributable to shareholders in the first half of 2026 compared to the same period last year. Ping An Securities pointed out that the equity and stock investment ratios of listed insurance companies have reached a high point. Since April 2026, the market has shown a significant rebound, and the restoration of investment income for insurance companies has a strong certainty, which is expected to boost the high growth of net profit in the second quarter of 2026. Among them, China Life and New China Life have more resilient investment performance, and their net profit growth rate may lead the industry. It is worth noting that the final issue price of Changxin Technology has been determined to be HK$8.66 per share. Taking into account the total share capital after the company's listing, the market valuation of Changxin Technology is HK$579.188 billion, lower than the market's previous expectation of HK$1 trillion and far below the extreme market forecast of HK$3-5 trillion. EB SECURITIES pointed out that insurance funds hold 4.1% of Changxin Technology's shares before the issuance, with major participants in listed insurance companies being PICC and China Life. There are differences in the impact on financial statements under different measurement models.