UBS on Property Casualty Insurance: Q4 Earnings Wrap - Stocks Underperform on Weak 2012 Earnings Outlook
UBS on Property Casualty Insurance: Q4 Earnings Wrap - Week 2
Analyst, Brian Meredith, said, "So far, 10 of 13 companies have reported upside earnings surprises. However, more than half of the P/C stocks underperformed on the day of the earnings announcement and, for our EPS estimates of the companies we follow, the bulk of the revisions have been downward (four down, one up, and three unchanged). We see 2012 as a transition year for earnings, with 2013 looking much better."
"...we are decreasing our 2012 and 2013 EPS estimates for AON and VR and are decreasing our 2013 EPS estimate for WRB. So far this earnings season, the only upward revision to our 2012 or 2013 EPS estimates has been for ACE in 2013. Our 2012 and 2013 EPS estimates for ALL and 2012 estimate for ACE remain unchanged. ACE announced better-than-expected 2012 guidance for underlying profitability, offset by higher guided catastrophe losses."
"We favor AXS into this week’s results. Our 4Q11 EPS estimate for AXS is above consensus, and we think we could see an upward revision of the consensus EPS estimate for 2012."
Discover Wall Street's best ratings calls with the pros - Ratings Insider Elite. Free Trial!
Analyst, Brian Meredith, said, "So far, 10 of 13 companies have reported upside earnings surprises. However, more than half of the P/C stocks underperformed on the day of the earnings announcement and, for our EPS estimates of the companies we follow, the bulk of the revisions have been downward (four down, one up, and three unchanged). We see 2012 as a transition year for earnings, with 2013 looking much better."
"...we are decreasing our 2012 and 2013 EPS estimates for AON and VR and are decreasing our 2013 EPS estimate for WRB. So far this earnings season, the only upward revision to our 2012 or 2013 EPS estimates has been for ACE in 2013. Our 2012 and 2013 EPS estimates for ALL and 2012 estimate for ACE remain unchanged. ACE announced better-than-expected 2012 guidance for underlying profitability, offset by higher guided catastrophe losses."
"We favor AXS into this week’s results. Our 4Q11 EPS estimate for AXS is above consensus, and we think we could see an upward revision of the consensus EPS estimate for 2012."
Discover Wall Street's best ratings calls with the pros - Ratings Insider Elite. Free Trial!
You May Also Be Interested In
- Needham & Company Reiterates a 'Buy' on NetApp (NTAP); Solid 4Q Overshadowed by Conservative 1Q
- UBS Maintains a 'Buy' on Express Inc. (EXPR); A Misstep, But Still A Consistent Performer
- UPDATE: Bristow Group (BRS) Reports Better-Than-Expected Q4 Results; Offers FY13 Outlook
Create E-mail Alert Related Categories
Analyst CommentsRelated Entities
UBS, EarningsSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
