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The Swiss stock exchange closed lower, with the SMI down 0.26% at 11,384.92 points, marking a 3% loss over the week and reducing year-to-date gains to just 2%. Investor uncertainty stems from the Federal Reserve's cautious approach to interest rate cuts and concerns over a potential U.S. government shutdown. Notable declines were seen in UBS, Partners Group, and various insurance companies, while Idorsia plummeted 50.35% due to delays in drug negotiations.
Bitcoin's price dropped to $92,118, marking its lowest since early December, following a record high of $108,364 earlier in the week. The decline is attributed to investor concerns over inflation and interest rate signals from the US Federal Reserve, prompting a shift towards safer investments. Meanwhile, the Swiss bond market remains stable as traders prepare for the new year, with minimal activity noted ahead of key US economic data releases.
Zurich Insurance Group's shares declined after UBS downgraded the stock from "neutral" to "sell," citing concerns over valuation, debt leverage, and interest rate sensitivity. The stock is trading at a 30% premium to its five-year average P/E ratio, limiting further appreciation potential. UBS also reduced its price target by 3% to CHF 515, highlighting risks associated with the company's reliance on commercial lines and projected earnings growth that may not materialize.
Zurich Insurance Group's shares declined after UBS downgraded the stock from "neutral" to "sell," citing concerns over overvaluation, debt leverage, and interest rate sensitivity. The stock is trading at a 30% premium to its five-year average P/E ratio, with UBS reducing its price target by 3% to CHF 515. Analysts highlighted the company's heavy reliance on commercial lines, which may struggle to keep pace with inflation, potentially impacting profitability.
UBS has reiterated its Buy recommendation for Swiss Re, setting a target price of 150 Swiss francs, supported by a net profit forecast exceeding $4.4 billion, which surpasses Bloomberg consensus. The company anticipates reducing operating expenses by approximately $300 million by 2027, reflecting a conservative outlook in the property-casualty insurance sector.
UBS has reiterated its Buy recommendation for Swiss Re, setting a target price of 150 Swiss francs, supported by a net profit forecast exceeding $4.4 billion, which surpasses Bloomberg consensus. The company anticipates reducing operating expenses by approximately $300 million by 2027, reflecting a conservative approach in the property-casualty insurance sector.
UBS has reiterated its Buy recommendation on Swiss Re, setting a target price of 150 Swiss francs, supported by a net profit forecast exceeding $4.4 billion, which surpasses Bloomberg consensus. The company anticipates reducing operating expenses by approximately $300 million by 2027, reflecting a disciplined approach in the property-casualty insurance sector.
UBS has reiterated its recommendation on Swiss Re stock, as reported by Cercle Finance and published by BOURSORAMA. The analysis is provided for informational purposes only, with BOURSORAMA disclaiming any responsibility for its content and ensuring no conflicts of interest affect its objectivity. The institution operates under the supervision of the ACPR and AMF, maintaining a conflict of interest management policy.
UBS has reiterated its "Buy" recommendation for Swiss Re, setting a target price of 150 Swiss francs, supported by the Group's net income and EPS performance. The company's net profit forecast of over $4.4 billion exceeds Bloomberg consensus, reflecting a conservative outlook in the property-casualty insurance sector. Additionally, Swiss Re anticipates reducing operating expenses by approximately $300 million by 2027.
Andreas Berger, the new CEO of Swiss Re, is shifting the company's culture by enforcing a strict in-office attendance policy, signaling the end of remote work. In contrast, Google Switzerland maintains a flexible work environment, with employees often absent from the office. This highlights a growing divide in corporate work practices.
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