Axa: Oddo confirms rating before Q1 results

(CercleFinance.com) - AXA will publish its Q1 2021 numbers after trading on Tuesday 4 May.


Oddo expects total revenues of 31,182 million euros (-1.5%), in line with the consensus (31,183 million euros).

The broker expects AXA XL's premiums to decline slightly (-1.4%) in Q1 2021, as we believe that AXA XL will remain selective in its underwriting, as the group already was last year, it notes.

We expect a slight increase in health insurance premiums (+1.9%) while a maintained new business margin in life insurance (46.3%).

Oddo confirms its Outperform recommendation on the stock with a target price of 27 euros at end-2021 (after distribution of the 2019 dividend).

Analysts still believe that the recovery in AXA XL's profitability, driven by price increases and the gradual improvement in the group's financial strength should help reduce the stock's sharp discount relative to its sector and its major competitors, the broker added.

The share is currently down 1% in late morning trading on Tuesday... as is the market as a whole.



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