Beazley (BEZ)

Sector:

Insurance

Index:

FTSE 250

384.10p
   
  • Change Today:
    -5.80p
  • 52 Week High: 421.60
  • 52 Week Low: 293.40
  • Currency: UK Pounds
  • Shares Issued: 609.23m
  • Volume: 93,931
  • Market Cap: £2,340.07m
  • RiskGrade: 236

Berenberg upgrades Beazley to 'buy'

By Iain Gilbert

Date: Monday 26 Jul 2021

LONDON (ShareCast) - (Sharecast News) - Analysts at Berenberg upgraded insurance firm Beazley from 'hold' to 'buy' on Monday, highlighting a "rare opportunity" for profitable growth.
After it outlined two reasons why it had chosen to remain neutral on Beazley at the time it initiated coverage on the stock in June, Berenberg said it now believes the company has addressed its concerns.

Berenberg stated one such worry was that Beazley had more work to do to convince the market that its profitable growth in cyber insurance could be restored, while the other was an ongoing "element of uncertainty" in regards to a potential $50.0m of additional losses from Covid-19.

As far as the cyber element was concerned, the analysts said management had done "an impressive job" of updating the market on the progress it has made on its cyber re-underwriting and risk management strategy, with strong signs emerging from claims experience year-to-date that it would most likely pay off, which in their view will be "a source of competitive advantage" in the medium term.

"Beazley is clearly ahead of peers in the fastest growing, increasingly complex and non-commoditised product line in insurance; we think this presents a rare opportunity for profitable and sustainable growth," said Berenberg, which also raised its target price on the stock from 410.0p to 460.0p.

The German bank added that Beazley also confirmed in its interim results that not only had its $340.0m Covid-19 loss estimate for 2020-21 remained "robust", but also that it had not incurred the additional $50.0m expected loss related to events in the second half, as US and European economies have largely opened up.

"In our view, this removes a source of EPS downgrade for FY21E," said Berenberg.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Beazley Market Data

Currency UK Pounds
Share Price 384.10p
Change Today -5.80p
% Change -1.49 %
52 Week High 421.60
52 Week Low 293.40
Volume 93,931
Shares Issued 609.23m
Market Cap £2,340.07m
RiskGrade 236

Beazley Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
46.51% above the market average46.51% above the market average46.51% above the market average46.51% above the market average46.51% above the market average
16.67% above the sector average16.67% above the sector average16.67% above the sector average16.67% above the sector average16.67% above the sector average
Price Trend
16.63% below the market average16.63% below the market average16.63% below the market average16.63% below the market average16.63% below the market average
33.33% above the sector average33.33% above the sector average33.33% above the sector average33.33% above the sector average33.33% above the sector average
Income
31.55% above the market average31.55% above the market average31.55% above the market average31.55% above the market average31.55% above the market average
45.45% below the sector average45.45% below the sector average45.45% below the sector average45.45% below the sector average45.45% below the sector average
Growth
84.68% above the market average84.68% above the market average84.68% above the market average84.68% above the market average84.68% above the market average
81.82% above the sector average81.82% above the sector average81.82% above the sector average81.82% above the sector average81.82% above the sector average

What The Brokers Say

Strong Buy 13
Buy 1
Neutral 2
Sell 0
Strong Sell 1
Total 17
buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Beazley Dividends

  Latest Previous
  2nd Interim 1st Interim
Ex-Div 27-Feb-20 01-Aug-19
Paid 30-Mar-20 29-Aug-19
Amount 8.20p 4.10p

Trades for 28-Sep-2021

Time Volume / Share Price
10:58 558 @ 384.10p
10:58 534 @ 384.00p
10:58 146 @ 383.80p
10:57 58 @ 383.70p
10:57 6 @ 383.60p

Beazley Key Personnel

CEO Adrian Cox

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