Zurich: Credit Suisse raises target price

(CercleFinance.com) - Credit Suisse has raised its EPS estimate by about 2% to 4% over 2021-25, following Zurich's Q1 2021 trading update.

The analyst reiterates an Outperform rating on the stock and has increasing its corresponding target price to 445 Swiss francs (from 430 Swiss francs previously).

"1Q21 saw stronger premium growth in the P&C division than we expected, with premiums up 14% (5% better than our forecast). Commentary on net earned premium growth suggests this could be stronger in 2021E than previous guidance (high single-digit)," Credit Suisse said.

"P&C earnings could be stronger than we previously expected. Therefore we anticipate an improvement in underlying loss ratio of ~1-1.5ppts in 2021E," the broker adds.


Copyright (c) 2021 CercleFinance.com. All rights reserved.
The information and analyses distributed by Cercle Finance are only intended as decision-making support for investors. Cercle Finance's responsibility may not be entailed, either directly or indirectly following the use of such information and analyses by readers. Any non-professional investor is recommended to consult a professional advisor before making any investment decision. This indicative information in no way constitutes any invitation to sell or buy securities.