DBS: Raises ZhongAn Online's target price to HKD 24, optimistic about the potential growth space of stablecoin business.

[DBS: Raises ZhongAn Online target price to HKD 24, optimistic about stablecoin business potential growth] DBS published a research report indicating that ZhongAn Online's underwriting profit further improved in the first half of the year, with a premium growth of 9.3% in line with expectations, driven by medical and auto insurance. The group holds an 8.6% stake in ZhongAn Technology RD Tech, one of the first applicants for virtual asset issuance licenses in Hong Kong, which is expected to be approved by the end of 2025. The bank believes that ZhongAn Bank (ZA Bank) is likely to achieve breakeven by 2025, laying the foundation for a potential initial public offering. Based on the potential growth space of the stablecoin business, the bank raised ZhongAn Online's target price from HKD 20 to HKD 24 and maintained a "buy" rating.