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Sunshine Insurance Group (6963) Fair Value & Analysis

Financial Services · HK · Market cap HK$39.1B

SI Sunshine Insurance Group 6963 · HK
PriceHK$3.49
Fair ValueHK$7.20
Upside+106.3%
Quality54/100
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Weak Growth
Thin margins · 8.1% net margin
Low debt · generates free cash flow
5.59% dividend yield
Mixed vs. peers (7/14)
Narrow moat 41/100
Evidence: High Range HK$5.40 – HK$9.00 Share as image

Fair value as of: Aug 6, 2026

From 6 valuation models · updated 4 days ago

Fair value updated Aug 6, 2026, revised from HK$6.74 to HK$7.20 (+6.8%) since Jul 2, 2026. Share price −0.9% over the past month.

A solid business, screening 106% undervalued on our models.

What matters now

  • The price is below even our cautious bear case (HK$5.40). The market is more pessimistic than our downside scenario.
  • Solid quality (54/100) at a price below fair value, the discount is the argument here, not the business quality.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (4 years)

HK$4.51 HK$1.82 Fair Value HK$7.20 Dec 2022 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 6, 2026.

How to read this chart

44‑month range HK$1.82 – HK$4.51 · fair‑value band HK$5.40 – HK$9.00 · the HK$3.49 price screens below the HK$7.20 fair value. Dashed = 300-day average. As of Aug 6, 2026.

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Analysis

Sunshine Insurance Group (6963) currently trades at HK$3.49, while our model-based Fair Value estimate is HK$7.20, implying the stock looks roughly 106.3% undervalued today. The Quality Score stands at 54/100 (solid quality), in the Financial Services sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: high), always confirm before acting.

Over the trailing twelve months, Sunshine Insurance Group generated revenue of HK$78.3B at a net margin of 8.1%. Revenue declined 1.3% year over year. It earns a return on equity of 10.3%. Net debt stands at HK$26.0B. Fundamentals as of Aug 6, 2026

Our scenario range runs from HK$5.40 (bear case) to HK$9.00 (bull case); at HK$3.49, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 18% below its 52-week high and 18% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 8% fair-value upside, at 106%, 6963 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Residual Income HK$4.52 HK$5.08 HK$8.59 76
Gordon GGM HK$1.55 HK$2.63 HK$3.93 70
P/E Multiple HK$5.21 HK$6.94 HK$8.68 63
All 6 models by family
Dividend Discount
Gordon GGM HK$1.55 HK$2.63 HK$3.93 70
DDM Multi-Stage HK$1.55 HK$2.29 HK$3.10 61
Multiples
P/E Multiple HK$5.21 HK$6.94 HK$8.68 63
P/B Multiple HK$5.32 HK$7.09 HK$8.86 55
Asset-Based
NCAV (Graham) HK$2.53 HK$3.39 HK$5.06 50
Economic Profit
Residual Income HK$4.52 HK$5.08 HK$8.59 76

Widest divergence: Multiples (HK$6.94) versus Dividend Discount (HK$2.29). Highest evidence: Residual Income (76).

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Key figures & financial health

Revenue (TTM) HK$78.3B
Revenue growth (YoY) -1.3%
Net margin 8.1%
Return on equity 10.3%
Free cash flow HK$80.6B FY2025
P/E ratio 5.4
More key figures
Operating margin 6.4%
EPS (TTM) HK$0.2900
Dividend yield 5.6%
EPS growth (YoY) +26.8%
Net debt HK$26.0B FY2025

Figures from reported company fundamentals · as of Aug 6, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 54/100

Of which business quality 50 · Market factors (momentum, volatility) 48

Profitability 26
Margins and returns on capital today
Quality Growth 38
Are margins and returns improving?
Cashflow 100
Earnings quality: real cash, not paper profit
Fin. Strength 11
Balance sheet, leverage, solvency risk
Investment 76
Disciplined investing over empire-building
Low Volatility 74
Calm price path (market factor)
Momentum 38
Price trend over the last 3–12 months (market factor)
52W Momentum 36
Distance to the 52-week high (market factor)
Net Issuance 64
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Sunshine Insurance Group Company Limited provides various insurance products and related services in the People's Republic of China. It operates through three segments: Life Insurance, Property and Casualty Insurance, and Other Businesses segments.

Full company description

Sunshine Insurance Group Company Limited provides various insurance products and related services in the People's Republic of China. It operates through three segments: Life Insurance, Property and Casualty Insurance, and Other Businesses segments. The company offers life, health, and accident insurance products; property and casualty insurance products comprising automobile, accident, short-term health, guarantee, liability, agriculture, cargo, and commercial property insurance products. It also provides credit and guarantee insurance, and asset management services. The company distributes through individual insurance, bancassurance, group insurance, telemarketing, online sales, and insurance brokers. The company was formerly known as Sunshine Insurance Holdings Co., Ltd. and changed its name to Sunshine Insurance Group Company Limited in 2007. Sunshine Insurance Group Company Limited was founded in 2005 and is based in Wan Chai, Hong Kong.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

Sunshine Insurance Group reported revenue of HK$88.3B in FY2025 versus HK$120B in FY2021, a compound −7.3%/yr. Reported net income was HK$6.1B in FY2025, compounding +1.1%/yr from FY2021.

Growth Quality 40/100
Revenue growth is weak, negative or inconsistent.
Latest Revenue (FY 2025)
HK$88.3B
Latest YoY
+17.4%
Avg. growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+9.8%
Avg. growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−5.2%
Avg. growth/yr (6Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
−0.1%
Revenue −7.3%/yr
FY21 HK$120B
FY22 HK$66.6B
FY23 HK$72.0B
FY24 HK$75.2B
FY25 HK$88.3B
Net income +1.1%/yr
FY21 HK$5.9B
FY22 HK$4.5B
FY23 HK$3.7B
FY24 HK$5.4B
FY25 HK$6.1B

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Cite: Fair Value Calculator (2026). "Sunshine Insurance Group Fair Value". https://www.fairvalue-calculator.com/stock/6963

Peer Group

Insurance - Property & Casualty · 120 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 51 · Below median
Fair Value upside +106% · Top 25%
Return on equity (TTM) 10% · Below median
Return on assets 1% · Bottom 25%
Net margin (TTM) 8% · Below median
Operating margin (TTM) 6% · Below median
Revenue growth -1% · Bottom 25%
Dividend yield (TTM) 5.6% · Top 25%
Debt / equity 0.34× · Higher than 75% of peers

Valuation Multiples vs Insurance - Property & Casualty median · lower = cheaper

P/E (TTM) 5.4× · Cheaper than 75% of peers
P/B 0.67× · Cheaper than 75% of peers
P/S (TTM) 0.50× · Cheaper than median
P/FCF 0.1× · Cheaper than 75% of peers
EV/EBITDA 3.9× · Cheaper than 75% of peers

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 100 · sector 42
FUTURE 0 · sector 31
PAST 41 · sector 56
HEALTH 83 · sector 92
DIVIDEND 100 · sector 48

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Insurance - Property & Casualty stocks, each showing price versus our Fair Value estimate (as of Aug 6, 2026).

Stock Price Fair Value vs Fair Value
The Progressive Corporation PGR $234.48 $252.50 +8%
Chubb Limited CB $337.44 $345.56 +2%
The Travelers Companies, Inc TRV $368.98 $384.42 +4%
The Allstate Corporation ALL $251.61 $503.22 +100%
The People's Insurance Company 601319 ¥7.06 ¥13.71 +94%
Intact Financial Corporation IFC C$294.02 C$247.44 -16%
Fairfax Financial Holdings FFH C$2,327 C$3,252 +40%
QBE Insurance Group QBE A$25.47 A$19.42 -24%
Samsung Fire & Marine Insurance Co 000810 648,000 KRW 658,771 KRW +2%
Powszechny Zaklad Ubezpieczen SA PZU 69.80 PLN 100.85 PLN +44%

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Frequently asked questions

Is Sunshine Insurance Group (6963) overvalued or undervalued?
As of Aug 6, 2026, our model estimates a fair value of HK$7.20 versus a price of HK$3.49, about +106% (undervalued).
What is the fair value of 6963?
Our model-based fair value for Sunshine Insurance Group is HK$7.20 (as of Aug 6, 2026), built from audited fundamentals. The current price is HK$3.49.
What is the quality score of 6963?
Sunshine Insurance Group has a Quality Score of 54/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Sunshine Insurance Group (6963)?
Sunshine Insurance Group reported trailing-twelve-month revenue of about HK$78.3B (latest available figure, as of Aug 6, 2026).
What is the net profit margin of 6963?
The net profit margin of Sunshine Insurance Group is about 8.1%, meaning it keeps roughly 8.1% of revenue as net income. Based on the latest reported figures.
Does Sunshine Insurance Group pay a dividend?
Sunshine Insurance Group currently shows a dividend yield of about 5.59% relative to its recent price (as of Aug 6, 2026).

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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