HSBC
HSBC Holdings plc ADR (NYSE: HSBC) agreed to sell its Singapore life and health insurance business HSBC...
Article Summary
HOLD- HSBC Holdings plc ADR (NYSE: HSBC) agreed to sell its Singapore life and health insurance business HSBC Life (Singapore) to Germany's Allianz for S$2.7bn ($2.09bn) Under the deal, HSBC Insurance (Asia-Pacific) Holdings will sell 100% of HSBC Life SG's issued share capital, with HSBC Bank and HSBC Life entering into an exclusive 15-year bancassurance distribution agreement on completion.
- HSBC will continue distributing the insurer's products to its retail banking and wealth customers in Singapore, receiving an initial lump sum payment of S$200m when the distribution agreement is entered into.
- The disposal is expected to generate a pre-tax gain of $1.8bn for HSBC, with the transaction also expected to add up to 15 basis points to the group's consolidated Common Equity Tier 1 ratio following upstreaming of the distributable gain.
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Growth Stock Scoring Breakdown
| METRIC | VALUE | WEIGHT | ANALYSIS |
|---|---|---|---|
| Sales Growth TTM ? | -6.1% | 25% | 0.0 ptsDeclining (-6.1%) - NOT a growth stock |
| EPS Growth Next 5Y ? | 10.3% | 25% | 35.0 ptsBelow Screener (10.3%) - Modest outlook |
| Target Price Upside ? | 1.5% | 20% | 20.0 ptsMinimal Upside (1.5%) - Target: $105.17 vs Current: $103.58 |
| Gross Margin % ? | — | 15% | 40.0 ptsNo Gross Margin Data |
| Drawdown from 52-Wk High ? | 0.1% | 15% | 20.0 ptsBarely a Dip (0.1%) - Near recent highs |
Disclaimer: This rating is for informational purposes only and is not financial advice.
All data sourced from Finviz.
Always conduct your own research and consult with a financial advisor before making investment decisions.
Past performance does not guarantee future results.
About HSBC
- HSBC Holdings plc engages in the provision of banking and financial products and services worldwide.
- It operates through four segments: Hong Kong, UK, Corporate and Institutional Banking, and International Wealth and Premier Banking.
- The Hong Kong segment is involved in the retail banking and wealth and commercial banking of HSBC Hong Kong and Hang Seng Bank.
- The UK segment engages in UK retail banking and wealth, as well as first direct and M&S Bank, UK Commercial Banking, and HSBC Innovation Bank.
- The Corporate and Institutional Banking segment is involved in transaction banking and capital markets.
- The International Wealth and Premier Banking segment is involved in the business comprising premier banking outside of Hong Kong and the UK, its private bank, asset management, and insurance businesses.
- The company was founded in 1865 and is headquartered in London, the United Kingdom.