|Bid||184.698 x 26000|
|Ask||184.702 x 26000|
|Day's Range||183.652 - 184.652|
|52 Week Range||166.592 - 198.950|
|PE Ratio (TTM)||11.76|
|Forward Dividend & Yield||9.38 (4.64%)|
|1y Target Est||N/A|
Munich Re's Ergo unit has dropped plans to sell run-off life insurance policies, saying non-binding offers received by the company were too low. "In Ergo's view, the current value of the portfolios and its potential appreciation is not adequately reflected in the offers submitted," Ergo Chief Executive Markus Riess said late Tuesday. Ergo and rivals are struggling to pay guaranteed returns to clients because of record-low interest rates.
Its estimate for industry-wide losses from the three hurricanes is higher than Swiss Re's estimate of $95 billion in total market losses from the hurricanes and earthquakes in Mexico. A series of hurricanes as well earthquakes have rocked the insurance industry after years of muted losses. Munich Re finance chief Joerg Schneider said he expected reinsurance rates to rise, especially in areas hit by disasters.
Investors should see Munich Re’s profit warning after Hurricanes Harvey and Irma as a buying opportunity.
BERLIN/FRANKFURT, Sept 14 (Reuters) - Germany's Munich Re warned it could miss its profit target this year, the first major reinsurer to flag a hit to earnings from damage caused by hurricanes Harvey and Irma. Irma, one of the most powerful Atlantic Ocean storms on record, ravaged several islands in the northern Caribbean, killing at least 60 people, before barrelling into Florida's Gulf Coast on Sunday, causing further destruction. Munich Re had earlier this week estimated losses for the global insurance industry from Harvey, which struck Texas two weeks ago and caused massive flooding, of between $20 billion and $30 billion, putting the storm on the scale of Hurricane Sandy in 2012.
Munich Re, the world’s largest reinsurer, said storms led by Hurricanes Harvey and Irma will probably wipe out third-quarter profit and threaten the company’s ability to meet its full-year earnings target....
Joachim Wenning admitted he would not be to everyone's liking long before taking the helm of Germany's Munich Re. Wenning, who has spent his entire career at Munich Re, took over as CEO on Thursday, more than a year after he was tapped to succeed Nikolaus von Bomhard, who retired after 13 years. Investors are also impatient about other issues, including Munich Re's unprofitable primary insurance unit Ergo, which they argue distracts from its reinsurance business, and numerous digital initiatives which they say have yet to pay off.