There’s No Escaping China Reinsurance (Group) Corporation’s (HKG:1508) Muted Earnings Despite A 26% Share Price Rise
Despite an already strong run, China Reinsurance (Group) Corporation (HKG:1508) shares have been powering on, with a gain of 26% in the last thirty days. The last month tops off a massive increase of 170% in the last year.
In spite of the firm bounce in price, China Reinsurance (Group) may still be sending bullish signals at the moment with its price-to-earnings (or “P/E”) ratio of 6.6x, since almost half of all companies in Hong Kong have P/E ratios greater than 13x and even P/E’s higher than 28x are not unusual. However, the P/E might be low for a reason and it requires further investigation to determine if it’s justified.
