Goldman Sachs analyst Thomas Wang has upgraded China Life Insurance Co. Ltd.'s H shares to "neutral" from "sell," as he views near-term growth worries as priced into the stock.

Wang, in a note to clients, said new savings products that have a high cost of liability are "unlikely to be welcomed by investors." But he believes the company is better positioned in that segment than its peers. Hitting new business sales targets early could help China Life shift its focus to higher-margin products, he added.

The analyst raised his price target on China Life to HK$21.50 from HK$21.00. The A shares of the insurer were maintained at "sell."