Munich Re (AO) | Buy | Conference call feedback: guidance reiterated, narrative softer

Research evidence excerpt

Munich Re (AO) | Buy | Conference call feedback: guidance reiterated, narrative softer

News comment

Release date: 12 May 2026

Tommaso Nieddu

Equity Research Analyst

Buy +39 02 85 50 72 18Munich Re tnieddu@keplercheuvreux.com

Germany | Insurance Beta Profile: MCap: EUR63.2bn

Target Price: EUR600.00 Bloomberg: MUV2 GR Reuters: MUVGn.DE

Current Price: EUR499.30 Free float 100%

Up/downside: 20.2% Avg. daily volume (EURm) 295.1

YTD abs performance -11.2% Market data: 11 May 2026

52-week high/low (EUR) 607.80/499.30

Conference call feedback: guidance reiterated, narrative softer

Key points:

Stock reacting negatively during the call. The print itself was fine (net broadly in line, technical beat), but the call delivered three

incremental negatives the buyside can lean on: (i) softer tone on the EUR40bn reinsurance revenue guidance, (ii) explicit

acknowledgement that the normalised P&C COR is skewed above 80% for the year, and (iii) a more U-shaped path to the 8% EPS

CAGR than the linear narrative communicated in December.

April renewals discipline confirmed, read-across to July more limited than feared. The -18.5% volume reduction was framed as a

deliberate walk-away from non-economic business, particularly in casualty proportional and property XL, while T&Cs and

wordings were preserved. Management said it is not too despondent about July volumes.

EUR40bn revenue guidance more stretched, 8% EPS CAGR path more U-shaped, with potential modest (c.1%) consensus

downgrades. The wording on the revenue guidance was cautious, but still within reach, with confidence resting on a back-end

loaded L&H deal pipeline plus some P&C structured quota shares.

Some upward pressure on future technical profitability from renewals