JPM initiates Talanx at 'overweight', citing undervalued core insurance arm

Talanx AG

25/03/2026 07:49

** J.P. Morgan starts Talanx TLXGn.DE at "overweight", saying the market undervalues the group's primary insurance arm relative to its 50.2% stake in Hannover Re

** Valuation of the primary business screens undemanding after stripping out Hannover Re, the broker says

** Buffer now well above 2 billion euros ($2.3 billion), nearing the upper end of comfort levels, which should lift reported underwriting profit as reserve‑building fades, JPM says

** The broker sees scope for further M&A in target markets to build scale and improve liquidity

** It notes a strong delivery record since 2021 and improving ROE, now close to the reinsurance arm

** Shares in Talanx seen up 2.5% in early Frankfurt trading

** Out of eight analysts that cover Talanx, five rate it "strong buy" or "buy" and ​three "hold" - LSEG data

($1 = 0.8622 euros)

(Reporting by Maria Rugamer)

((Maria.Rugamer@thomsonreuters.com))