IAG – UBS rates the stock as Upgrade to Buy from Neutral

General insurer share prices have underperformed, UBS observes, with average 2020 price declines of -30% in the year to date.

The broker attributes this to de-risked investment exposures, lower running yields and an overhang of claims risk.

Rating is upgraded to Buy from Neutral and the target is reduced to $6.45 from $6.55.

Sector: Insurance.

Target price is $6.45.Current Price is $5.59. Difference: $0.86 – (brackets indicate current price is over target). If IAG meets the UBS target it will return approximately 13% (excluding dividends, fees and charges – negative figures indicate an expected loss).

Broker News

About Broker News

FNArena's Australian Broker Call, is your daily news report on the latest recommendation, valuation, forecast and opinions recently published by Stockbrokers.

View more articles by Broker News →