Is it time to buy QBE? Not at current prices, in our view, but below $10 the stock would be interesting. The serial disappointer last week downgraded its earnings guidance for the fourth time in the last two years but our valuation was conservative, we don't need to downgrade and we see enough underlying progress that a valuation upgrade is probable at some stage. The big picture is this formerly acquisition-driven insurer is transitioning through a painful period of restoring appropriate provisioning in disparate insurance books worldwide, and is ceasing to underwrite unprofitable acquired business while seeking non-core asset sales. For a closer look at the stock, read the full report (VIEW LINK)
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