Swiss Life: shares up as broker raises price target
(CercleFinance.com) - Swiss Life shares were up almost 1% on Friday, one of the biggest gainers on Zurich's SMI index, after Berenberg raised its target price for the stock.
The German broker has raised this from 450.5 Swiss francs to 501.8 Swiss francs, rating the stock at "buy."
While Berenberg expects that Swiss Life's profit will fall this year, mainly due to lower investment income from bond and equity investments, the broker says Switzerland's largest life insurer is "building on growth."
In its note to clients, analysts said that (1) real estate indicators are all positive, (2) fee income is expected to rise by 10% in local currency in 2020, and (3) cash flow should be strong at 780 million Swiss francs, up from 752 million Swiss francs in 2019.
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