AUB Group most preferred Australian insurance broker for UBS ahead of results

Steadfast

20/02/2023 03:39

** Australian insurance brokers have enjoyed strong
operating conditions, helping AUB Group  AUB.AX  and Steadfast
Group  SDF.AX  upgrade FY23 guidance ahead of 1H23 results -
analysts at UBS  
    ** UBS keeps "buy" rating for AUB and SDF; says AUB most
preferred ahead of results
    ** Brokerage says organic growth robust during November and
December and expects firming premium rates to continue into 2H23
    ** UBS lifts FY23 and FY24 EPS forecasts for AUB by 4% and
7%, respectively, and upgrades price target to A$29.0 from
A$27.0 on the stronger first half
    ** Brokerage notes commercial premium rates ticking up from
recent results of insurers like Insurance Australia Group
 IAG.AX , Suncorp  SUN.AX  and QBE Insurance  QBE.AX  
    ** Higher commercial premium rates look good for broking and
agency organic trends; adds sticky inflation to help companies
 (Reporting by Rishav Chatterjee in Bengaluru)
 ((Rishav.Chatterjee@thomsonreuters.com;))