Insurance Australia Group Ltd
IAG: XASX (AUS)
Morningstar Rating for Stocks | Fair Value | Economic Moat | Capital Allocation |
---|---|---|---|
A$5.90 | Gydh | Zjfndhxd |
Insurance Australia Group: Premium Rate Increases to Moderate as Industry Profitability Improves
Earnings tailwinds from premium rate increases and higher investment income on shareholder and policyholder funds underpin our forecast that no-moat Insurance Australia Group roughly doubles EPS in fiscal 2024. Management maintained fiscal 2024 guidance, including low-double-digit premium growth and an insurance margin between 13.5% and 15.5%, equating to an insurance profit in the range of AUD 1.20 billion to AUD 1.45 billion. This is a notable increase from the AUD 803 million reported in fiscal 2023 on an insurance margin of 9.6%.