QBE Insurance has provided a performance update and Morgans has spotted both pros and cons, with the added observation that the balance is skewed towards the positive.
One of the positive take-aways is that QBE’s investment yield is rising with increasing interest rates. Estimates have been lifted; FY23 by 20%.
Target price rises to $14.45 from $13.50. Add retained as Morgans sees a positive trajectory over the years forthcoming.
Sector: Insurance.
Target price is $14.45.Current Price is $12.68. Difference: $1.77 – (brackets indicate current price is over target). If QBE meets the Morgans target it will return approximately 12% (excluding dividends, fees and charges – negative figures indicate an expected loss).
