Swiss Re cut to Underperform at RBC Capital Markets on valuation, performance

[Swiss Re Still Under Pressure]
Sean Gallup/Getty Images News

Swiss Re (OTCPK:SSREF [https://seekingalpha.com/symbol/SSREF]) (OTCPK:SSREY [https://seekingalpha.com/symbol/SSREY]) was downgraded to Underperform from Sector Perform at RBC Capital Markets on valuation and performance.

SSREF was -2.88% to $184.33 during Monday noon trading.

"The shares have staged a strong recovery on the back of kitchen sinking for Casualty reserves in 2024 and L&H reserves in 2023, giving a total return in line with Munich Re since 2021 on a constant FX basis," said analysts Ben Cohen and Mandeep Jagpal.

"Given the long-term track record of both divisions and group returns, we are puzzled as to why the stock has re-rated so close to Hannover Re and Munich Re on both earnings and price to book bases, and see a discount as more appropriate," said the analysts in a research note.

The price target was lowered to $125.00 from $143.00.

Meanwhile, Seeking Alpha analysts [https://seekingalpha.com/symbol/SSREF/ratings/author-ratings] grade the stock as Buy.

MORE ON SWISS RE

* Swiss Re: Strong Results And Buyback Potential Keep Us Positive [https://seekingalpha.com/article/4813983-swiss-re-strong-results-and-buyback-potential-keep-us-positive]
* Swiss RE: Revising Upside And Taking Profits (Rating Downgrade) [https://seekingalpha.com/article/4813750-swiss-re-revising-upside-and-taking-profits-rating-downgrade]
* Swiss Re AG 2025 Q2 - Results - Earnings Call Presentation [https://seekingalpha.com/article/4813745-swiss-re-ag-2025-q2-results-earnings-call-presentation]
* Swiss Re reports 1H results [https://seekingalpha.com/news/4485188-swiss-re-reports-1h-results]
* Seeking Alpha’s Quant Rating on Swiss Re [https://seekingalpha.com/symbol/SSREY/ratings/quant-ratings]