Equitable rises after preliminary results of AllianceBernstein tender offer; UBS upgrades to 'buy'

Alliancebernstein Holding LP

02/04/2025 18:54

** Shares of financial services firm Equitable Holdings EQH.N rise 5.6% to $55.2 after company boosts stake in investment management firm AllianceBernstein AB.N to 68.6%

** Brokerage UBS upgrades co to "buy" from "neutral"; raises PT to $77 from $49

** Cites EQH's annuity sales, higher stake in AB and de-risking via reinsurance as growth drivers

** "The recently announced life de-risking w/ Reinsurance Group of America is the latest of EQH's mix optimization efforts, freeing up $2b+ of deployable capital w/ minimal earnings disruption," says brokerage

** Adds that the current environment bodes well for registered index-linked annuity demand as it's less sensitive to interest rates and benefits from volatility

** Nine of 13 brokerages rate stock "buy" or higher, and 4 "hold"; median PT is $66, per  data compiled by LSEG

** Including session moves, EQH stock up ~17.3% YTD compared to a 4.2% decline in the S&P 500  .SPX

(Reporting by Ateev Bhandari in Bengaluru)

((Ateev.Bhandari@thomsonreuters.com))