Goldman Sachs: China Life is expected to increase its dividend by 23% year-on-year in 2021, exceeding expectations. The rating remains "neutral".

Goldman Sachs released a research report stating that based on the performance of China Life in the third quarter, it has adjusted its future profit forecasts. It pointed out that investment income in the previous quarter exceeded expectations, leading to a 69% increase in full-year net profit forecast. It also raised the first-year premium forecast for 2025 to 2027 by 7%, reflecting improvement in the bank insurance sales channels in the third quarter and positive outlook from management for 2026. Due to the expansion of the investment portfolio and increased premium inflows, the bank also raised China Life's 2026 and 2027 net profit forecasts by 7%, 2025 to 2027 book value forecast by 5% to 7%, and dividend per share forecast by 10%. This year's dividend forecast is expected to grow by 23% year-on-year, higher than the previous forecast of 12%. The target price has been raised from HK$22.5 to HK$24.5, maintaining a "neutral" rating.