Berenberg: Talanx 'Clearly Set' to Beat FY26 Targets; Price Target, Estimates Up

05:53 AM EDT, 07/23/2026 (MT Newswires) -- Berenberg said Talanx (TLX.F) is "clearly set" to surpass its full-year 2026 net profit outlook, as the research firm raised its price target and earnings expectations for the German insurer. "We believe that the combination of strong quarterly reported net profit and the build-up of claims and reserves buffers means that Talanx is likely to comfortably exceed its cEUR2.7bn FY 2026E net profit guidance," according to a Wednesday note. After Talanx reported first-quarter net income of 774 million euros, the research firm projects a second-quarter net income of 790 million euros, which annualizes to 3.1 billion euros as first-half net income is expected to reach 1.56 billion euros. The insurance company is scheduled to publish its interim results on Aug. 14. Analysts also view a "stabilizing" euro/US dollar currency rate as supporting revenue growth. The research firm added that the price decline in the company's commercial lines and non-life reinsurance at its 50.2%-owned German reinsurer Hannover Re (HNR1.F) is expected to be offset by low claims costs, allowing Talanx to bolster its "already very strong" buffers. Against this backdrop, Berenberg lifted the buy-rated stock's price target to 160 euros from 143 euros and upgraded its net income and adjusted EPS projections for 2026 and 2027.