Munich Re Reducing estimates following Q1 - Plan B remains available

Research evidence excerpt

Munich Re Reducing estimates following Q1 - Plan B remains available

J P M O R G A N Europe Equity Research

18 May 2026

Munich Re Overweight

MUVGn.DE, MUV2 GR

Reducing estimates following Q1 - Plan B remains Price (15 May 26):€474.80

available ▼Price Target (Dec-27):€590.00 Prior (Dec-27):€655.00

Following Munich Re’s 1Q 26 results, we reduce our 2026/27/28E EPS estimates

by 3%/3%/5% and lower our PT to €590 (previously €655). European Insurance

Kamran M Hossain AC

• Q1 results showed a number of headwinds. Munich Re’s results showed a (44-20) 3493-3780

larger decline in P&C Re revenues than anticipated. FX was a material kamran.hossain@jpmorgan.com

headwind in Q1, but even taking this into account, revenues still came under Nadia Claressa

material pressure (-13% YoY). The other element that management (44-20) 7134-7613

highlighted was that the normalised combined ratio could potentially come in nadia.claressa@jpmorgan.com

above the ~80% guidance for 2026 vs the 80.3% at 1Q26. The April renewals Farooq Hanif

saw Munich Re seek to defend its margins. Prices were down 3.1% with (44 207) 742-8091

volumes down 18.5%. While management explained that the dynamics farooq.hanif@jpmorgan.com

surrounding the mid-year renewals were likely to be different from April, we Bingdi Fan, CFA

remain cautious on the outcome. There is plentiful capacity in the market, with (44-20) 7742-5336

bingdi.fan@jpmorgan.com

some still looking to grow their businesses in what are still expected to be J.P. Morgan Securities plc

adequate pricing levels.

Specialist Sales contact details:

• 8% EPS CAGR assumed that markets remain firmer in the near term.

Munich Re announced its strategic plan in December 2025 with an ambition Gigi Sparling - Specialist Sales -

European Financials