Swiss Re AG Beat Analyst Estimates: See What The Consensus Is Forecasting For This Year
Investors in Swiss Re AG (VTX:SREN) had a good week, as its shares rose 2.7% to close at CHF139 following the release of its half-yearly results. The result was positive overall - although revenues of US$10b were in line with what the analysts predicted, Swiss Re surprised by delivering a statutory profit of US$4.40 per share, modestly greater than expected. The analysts typically update their forecasts at each earnings report, and we can judge from their estimates whether their view of the company has changed or if there are any new concerns to be aware of. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.
Taking into account the latest results, the consensus forecast from Swiss Re's ten analysts is for revenues of US$43.0b in 2026. This reflects an okay 2.7% improvement in revenue compared to the last 12 months. Statutory per share are forecast to be US$16.27, approximately in line with the last 12 months. Before this earnings report, the analysts had been forecasting revenues of US$42.7b and earnings per share (EPS) of US$16.02 in 2026. The consensus analysts don't seem to have seen anything in these results that would have changed their view on the business, given there's been no major change to their estimates.
View our latest analysis for Swiss Re
It will come as no surprise then, to learn that the consensus price target is largely unchanged at CHF126. That's not the only conclusion we can draw from this data however, as some investors also like to consider the spread in estimates when evaluating analyst price targets. Currently, the most bullish analyst values Swiss Re at CHF144 per share, while the most bearish prices it at CHF114. Still, with such a tight range of estimates, it suggeststhe analysts have a pretty good idea of what they think the company is worth.
Of course, another way to look at these forecasts is to place them into context against the industry itself. One thing stands out from these estimates, which is that Swiss Re is forecast to grow faster in the future than it has in the past, with revenues expected to display 5.5% annualised growth until the end of 2026. If achieved, this would be a much better result than the 2.2% annual decline over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to see their revenue grow 4.8% per year. So while Swiss Re's revenues are expected to improve, it seems that it is expected to grow at about the same rate as the overall industry.
The Bottom Line
The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Happily, there were no real changes to revenue forecasts, with the business still expected to grow in line with the overall industry. The consensus price target held steady at CHF126, with the latest estimates not enough to have an impact on their price targets.
With that in mind, we wouldn't be too quick to come to a conclusion on Swiss Re. Long-term earnings power is much more important than next year's profits. We have forecasts for Swiss Re going out to 2028, and you can see them free on our platform here.
That said, it's still necessary to consider the ever-present spectre of investment risk. We've identified 2 warning signs with Swiss Re (at least 1 which is a bit unpleasant) , and understanding these should be part of your investment process.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.