Gjensidige Forsikring (Hold, TP: NOK210.00) - Home run quarter
Gjensidige delivered a broad-based beat in Q2, with 8.6% underlying premium growth, a superior 78.7% combined ratio and a 2.3%-point YOY improvement in the underlying claims ratio. Additionally, the 18.4% EPS beat versus consensus was helped by investment income (a solid NOK0.8bn). We reiterate our HOLD as we continue to find the valuation fair at a 2022e P/E of 20x, while acknowledging Gjensidige is likely to maintain its unparalleled competitive position. However, we have nudged up our target price to NOK210 (208) after lifting our 2022–2023e EPS by 3–2% following our raised premiums and underwriting results.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.
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.
Unfortunately, this report is not available for the investor type or country you selected.
Browse all ResearchPool reportsReport is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.