Earnings season: PING AN Q3 Report

Lets discuss the Financial report for Q3/ 9M 2021

$Ping An Insurance (Group) Company Of China, Ltd.(601318)$

$PING AN(02318)$

Here are my key takeaways from the report:

1. Operating Profit of the company is up 9.2% YOY and they company have achieved 20.3% ROE

2. PING AN retail customer grew 3.1% to 225 million. And 39% of the customers has contracts with multiple different subsidary.

3. Leta look at each business:

L&H insurance: Ping An life and health insurance contributed 61.2% of overall profit. It decreased 2.8% YOY, however it is still strong and their agent force is still stable. 

P&C Insurance: Ping An Property and Casualty Insurance rose 20.2% to 13.221 RMB million. 

Banking: Ping An bank profit grew 30.1% YOY. Non performing loan is lower at 1.05%. 

Technology business: Patent has increased by 5423 YTD to 36835. Ping An has cutting edge techs!

4. Overall combined ratio is lower by 1.8% at 97.3% this year, which is good. 

5. Ping An is also coming up with alot of different products mainly High End Eldercare and Health Management plans to sell to the aging population of  China. 

My Conclusion: 

-I will be adding more Ping An into my portfolio. This company is the white horse of China and it is doing very well. 

-My Free Cash Flow Valuation method for this company shows that the share price is worth 92. (50% discount to intrinsic value)

-This company is the next $Berkshire Hathaway(BRK.B)$. Although its main core business is insurance, it has so much of other business under it such as banking, technology business, smart city, and they have many listed companies under them. They are the main player in China's Financial Sector and Tech Sector. 

Time to buy Ping An? Yes! It is expected to continur soaring for the next many years to come!