Generali Raised to Outperform at Mediobanca; Zurich Cut
Source: BFW (Bloomberg First Word)
Tickers
G IM (Assicurazioni Generali SpA)
ZURN VX (Zurich Insurance Group AG)
CS FP (AXA SA)
AGN NA (Aegon NV)
ALV GR (Allianz SE)
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UUID: 7947283
(Bloomberg) -- European insurance sector still offering opportunities though facing lower interest rates, Mediobanca says in note.
Alert: HALISTER- Expects stronger compression in running income in its 2017 ests. after U.K. referendum
- Lifts cost of equity largely for life exposed/AM businesses (AXA up by 140bps, Generali by 100bps, NN/Aegon by 100bps, Allianz by 40bps)
- Generali raised to outperform vs neutral
- Upgraded after recent underperformance leading to a risk premium (CoE-risk free) significantly higher than previous two crises (360bps higher than 2012 sovereign crisis, 640bps higher than post Lehman)
- Also mentions div. yield
- Also
- Zurich cut to neutral vs outperform
- Downgraded after strong outperformance
- Munich Re, Aegon raised to neutral vs underperform
- Cites balanced risk/reward for Munich Re
- Cites safe dividends for Aegon
- Allianz, AXA, Scor, NN, Tryg kept at outperform
- Generali is trading on 6.2x next year’s earnings vs 8.5x for Stoxx 600 Insurance index according to Bloomberg data
Source: BFW (Bloomberg First Word)
Tickers
G IM (Assicurazioni Generali SpA)
ZURN VX (Zurich Insurance Group AG)
CS FP (AXA SA)
AGN NA (Aegon NV)
ALV GR (Allianz SE)
To de-activate this alert, click here
UUID: 7947283