Investing in China Taiping Insurance Holdings (HKG:966) a year ago would have delivered you a 90% gain

Simply Wall St.12-05

Passive investing in index funds can generate returns that roughly match the overall market. But you can significantly boost your returns by picking above-average stocks. To wit, the China Taiping ...

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To wit, the China Taiping ...</p>\n\n<a href=\"https://simplywall.st/stocks/hk/insurance/hkg-966/china-taiping-insurance-holdings-shares/news/investing-in-china-taiping-insurance-holdings-hkg966-a-year\">Source Link</a>\n\n</div>\n","source":"simplywall_highlight","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Investing in China Taiping Insurance Holdings (HKG:966) a year ago would have delivered you a 90% gain</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nInvesting in China Taiping Insurance Holdings (HKG:966) a year ago would have delivered you a 90% gain\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-12-05 06:44 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://simplywall.st/stocks/hk/insurance/hkg-966/china-taiping-insurance-holdings-shares/news/investing-in-china-taiping-insurance-holdings-hkg966-a-year><strong>Simply Wall St.</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>Passive investing in index funds can generate returns that roughly match the overall market.  But you can significantly boost your returns by picking above-average stocks.  To wit, the China Taiping ...</p>\n\n<a href=\"https://simplywall.st/stocks/hk/insurance/hkg-966/china-taiping-insurance-holdings-shares/news/investing-in-china-taiping-insurance-holdings-hkg966-a-year\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK1184","symbol_name":"人寿与健康保险","start_time":0,"source_url":"https://simplywall.st/stocks/hk/insurance/hkg-966/china-taiping-insurance-holdings-shares/news/investing-in-china-taiping-insurance-holdings-hkg966-a-year","article_id":"2489714291","we_media_id":null,"thumbnails":["https://images.simplywall.st/asset/industry/7212000-choice1-main-header/1585186806799"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2489714291","pubTimestamp":1733352258,"columns":[],"sourceInfo":{"source_id":"simplywall_highlight","name":"Simply Wall St."},"weMediaInfo":null,"summary":"Passive investing in index funds can generate returns that roughly match the overall market. But you can significantly...","collect":0,"end_time":0,"defaultTopTitle":"simplywall.st","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK1184":"人寿与健康保险","00966":"中国太平","BK1550":"内险股"},"translate_title":"一年前投资中国太平保险控股(HKG：966)将为您带来90%的收益","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"00966":1},"content_text":"Passive investing in index funds can generate returns that roughly match the overall market.  But you can significantly boost your returns by picking above-average stocks.  To wit, the China Taiping Insurance Holdings Company Limited (HKG:966) share price is 83% higher than it was a year ago, much better than the market return of around 18% (not including dividends) in the same period.  If it can keep that out-performance up over the long term, investors will do very well!    Having said that, the longer term returns aren't so impressive, with stock gaining just 13% in three years.      Let's take a look at the underlying fundamentals over the longer term, and see if they've been consistent with shareholders returns.    See our latest analysis for China Taiping Insurance Holdings   While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance.  One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement.   China Taiping Insurance Holdings was able to grow EPS by 23% in the last twelve months.   This EPS growth is significantly lower than the 83% increase in the share price.  So it's fair to assume the market has a higher opinion of the business than it a year ago.   You can see how EPS has changed over time in the image below (click on the chart to see the exact values). SEHK:966 Earnings Per Share Growth December 4th 2024 It's probably worth noting that the CEO is paid less than the median at similar sized companies.  But while CEO remuneration is always worth checking, the really important question is whether the company can grow earnings going forward.  Before buying or selling a stock, we always recommend a close examination of historic growth trends, available here..  What About Dividends? It is important to consider the total shareholder return, as well as the share price return, for any given stock.  The TSR incorporates the value of any spin-offs or discounted capital raisings, along with any dividends, based on the assumption that the dividends are reinvested.  Arguably, the TSR gives a more comprehensive picture of the return generated by a stock.  As it happens, China Taiping Insurance Holdings' TSR for the last 1 year was 90%, which exceeds the share price return mentioned earlier.  The dividends paid by the company have thusly boosted the total shareholder return.  A Different Perspective We're pleased to report that China Taiping Insurance Holdings shareholders have received a total shareholder return of 90% over one year.   And that does include the dividend.     There's no doubt those recent returns are much better than the TSR loss of 4% per year over five years.  We generally put more weight on the long term performance over the short term, but the recent improvement could hint at a (positive) inflection point within the business.        Before deciding if you like the current share price, check how China Taiping Insurance Holdings scores on these 3 valuation metrics.  If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Hong Kong exchanges.New: AI Stock Screener & AlertsOur new AI Stock Screener scans the market every day to uncover opportunities.• Dividend Powerhouses (3%+ Yield)• Undervalued Small Caps with Insider Buying• High growth Tech and AI CompaniesOr build your own from over 50 metrics.Explore Now for FreeHave feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"dataReport","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2489714291"}