Australia's nib Holdings falls as Citi cuts TP, estimates

NIB Holdings

13/11/2024 24:03

** Shares of nib Holdings  NHF.AX  down 4% to A$5.72, on
track for a third consecutive session of losses
    ** Analysts at Citi cut target price for the insurance
provider to A$6.45 from A$6.55, retain "neutral" rating
    ** "nib's new guidance for FY25 UOP of A$235 mln to A$250
mln is lower than both our and VA consensus prior forecasts," 
says Citi referring to underlying operating profit
    ** Brokerage revises FY25 UOP forecast to A$247 mln 
($161.27 mln)
    ** Lowers EPS estimates by 6% for FY25 and 0.2% each for
FY26 and 27
    ** Brokerage says nib is confident about reversing its
forecast loss of A$10 mln in 1H25 for its New Zealand division
through a combination of higher pricing, cost savings and
moderation in claims inflation
    ** Five of 10 analysts rate the stock "buy" and five "hold";
their median PT is A$6.80 – LSEG data
    ** Stock had fallen 19.4% this year, as of last close


($1 = 1.5316 Australian dollars)

 (Reporting by Sherin Sunny in Bengaluru)
 ((Sherin.Sunny@thomsonreuters.com))