Generali: Oddo BHF still a buyer

(CercleFinance.com) - Oddo BHF reiterates its "buy" recommendation, maintaining its target price of 16 euros (21% upside potential) for the Generali share, following the group's announcement of an investment in Cattolica which "remains limited at the group level (around 1.
5% of Generali's market capitalisation)".

The broker believes that Generali's acquisition of 24.4% of Cattolica's capital, which is a major insurer in Italy that has over 3.5 million clients, is strategically interesting for Generali, which thus further strengthens its position in Italy.

Generali has limited direct exposure to the Covid-19 crisis and maintains a strong balance sheet. In particular, it still has leeway to ùale acquisitions and follow external growth opportunities, such as the Cattolica deal, the analyst adds.


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