Munich Re: 2018 guidance and buybacks reassure

(CercleFinance.com) - Shares in Munich Re are up 1.
5% on Thursday morning, after the German reinsurer provided a profit guidance of 2.1-2.5 billion euros for 2018 and that it expects to continue its share buy-backs.

The outlook slightly exceeds the guidance that had been projected for the previous year, with initial earnings guidance for 2017 of between 2 billion and 2.4 billion euros, the group said.

UBS said the guidance was "good enough."

"2018 net income guidance shows small improvement versus 2017, largely in-line with expectations," the broker said.

UBS also noted that buy-backs were "as expected".

Munich Re also announced today that it would buy back another 1 billion euros worth of shares before its AGM in 2019.

As a result, the Xetra-listed shares were up 1.5% at 184.6 euros.

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