DBS Raises ZhongAn Online Target Price to HKD 24, Optimistic About Potential Growth in Stablecoin Business
According to a report by Jinse Finance, DBS has released a research report stating that ZhongAn Online's underwriting profit further improved in the first half of the year, with premium growth of 9.3% in line with expectations, driven by medical and auto insurance. RD Tech, in which the group holds an 8.6% stake, is among the first institutions in Hong Kong to apply for a virtual asset issuer license and is expected to receive approval by the end of 2025. The bank believes that ZA Bank is likely to achieve breakeven in 2025, laying the foundation for a potential initial public offering. Given the potential growth in the stablecoin business, the bank has raised ZhongAn Online's target price from HKD 20 to HKD 24 and maintained a "Buy" rating.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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