Metzler: Allianz to Raise FY26 Profit Outlook to Top End of Target Range at Upcoming Q3 Results

05:47 AM EST, 11/06/2026 (MT Newswires) -- Metzler Capital Markets expects Allianz (ALV.F) to lift its full-year 2026 operating profit guidance to the upper end of its target range, between 16.4 billion euros and 18.4 billion euros, at its upcoming third-quarter earnings report on Nov. 12. Amid expectations that the German insurer is "well on track" to hit its goal, the research firm said Friday it projects a 3% year-on-year decline in third-quarter operating profit to 4.31 billion euros. Meanwhile, analysts raised their EPS assumptions for 2027 and 2028 by 3% and 4%, respectively, and lifted their insurance revenue estimates for 2026 through 2028. Accordingly, Metzler raised the buy-rated stock's price target to 490 euros from 454 euros. "We believe that Allianz has profound underwriting expertise, strong IT skills and the ability to transfer a renowned brand name into the digital age. In the non-life insurance segment, we expect Allianz to surpass its target of improving the cost ratio by 30 bps annually in the medium term, partly due to efficiency gains on AI. In the current insurance pricing environment, we consider its greater focus on retail non-life insurance (c60% of segmental business volume) rather than commercial non-life insurance (c40%) to be an advantage," the note said.