VOYA - Life Insurers Better Positioned Heading Into 2024: Goldman Sachs | Benzinga
Goldman Sachs analyst Alex Scott changed the rating on several insurance stocks, expecting a mixed insurance industry environment in 2024, with potentially improving book value compounding.
The analyst is more positive about life insurers as he sees improved capital positions, stronger cash flow, and the lagged benefits of higher long-term interest rates.
MET: Scott upgraded MetLife Inc (NYSE: MET) to a Buy (from Neutral) rating at an increased price target of $80 (from $70).
The analyst writes that MET has already priced in pressure from CRE with its underperformance in 2023 and has a strong organic growth profile, a favorable capital position, and ample buyback capacity following the completion of the reinsurance transaction with Global Atlantic.
The analyst expects continued strength in Group Benefits, Asia, LatAm, and EMEA, with Group Benefits specifically running strong.
Scott estimates an adjusted EPS of $1.73 and an adjusted operating EPS of $2.13 in Q4, reflecting favorable equity market impacts, unfavorable alternative investment performance, and lowered interest rates from Q3.
VOYA: The analyst downgraded Voya Financial Inc (NYSE: ...