DnB Markets - Gjensidige Forsikring ASA (GJF) Gjensidige Forsikring (Buy, TP: NOK190.00) - Strong price hikes in 2024e

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DnB Markets

Håkon Astrup

EUR 92.90 For Business Accounts Only

Gjensidige Forsikring (Buy, TP: NOK190.00) - Strong price hikes in 2024e

A harsh winter offset solid investments as Q4 pre-tax profit was 4% lower YOY. The underlying claims ratio increased 5.1%-points YOY following difficult weather conditions and higher underlying claims frequency. On strong 1 January renewals and announced price hikes of 10% for Motor, we believe claims inflation and frequency will be managed as price hikes are set to take effect through 2024. We have cut our 2024–2025e EPS by 0–4%, and reiterate our BUY and NOK190 target price.

24/01/2024 1 EN

Underlying

Gjensidige Forsikring ASA

Gjensidige Forskring provides insurance products to private and commercial customers in Norway, Denmark, Sweden and the Baltic states. Co.'s activities are divided into six segments in addition to the asset management unit which manages Co.'s investment portfolio. The Private segment provides a range of general insurance products besides banking, savings and investment products. The Commercial segment provides a range of general insurance products to the commercial and municipality markets. Co.'s investment portfolio includes all investment funds in Co. except for investment funds in the Pension and Savings and Retail Bank segments. Co.'s other segments include Nordic and Baltics.

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NO0010582521 Oslo Bors Norway

Provider

DnB Markets

DNB Markets is the investment banking arm of DNB Bank ASA and is focused primarily on the Nordic region, as well as internationally on niches such as global shipping, energy and related services, and seafood. DNB Markets offers services in FICC, Equities and Investment Banking advisory from offices in Oslo, Stockholm, London, Singapore and New York. Equity research coverage is offered on c250 Nordic companies. DNB was ranked no.2 in Extel Nordic Research 2017. The DNB Markets’ Credit and FICC Macro & FX Research teams are repeatedly highly rated by Prospera Nordic Institutional Investor Surveys.

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Analysts

Håkon Astrup

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Gjensidige Forsikring (Buy, TP: NOK190.00) - Strong price hikes in 2024e

Striving to improve margins - up to BUY

Gjensidige Forsikring (Buy, TP: NOK197.00) - Turning point in sight

Weather weighs on underwriting; life beat (corrected)

Nokian Tyres (Hold, TP: EUR9.00) - Soft Q1, with or without setbacks

Lyko Group (Sell, TP: SEK95.00) - Stretched balance sheet

Resurs Holding (Buy, TP: SEK18.00) - Resur-recting the case

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