SCOR Adjusting 2Q26 forecasts for the arbitration outcome

研报英文原文证据摘录

SCOR Adjusting 2Q26 forecasts for the arbitration outcome

Kamran M Hossain AC Europe Equity Research

(44-20) 3493-3780 02 July 2026 J P M O R G A N

kamran.hossain@jpmorgan.com

Price Performance Summary Investment Thesis and Valuation

Investment Thesis

With actions now taken in both the L&H and the P&C business,

we see management having a ‘clean’ business that it can drive

forward. While we can see the attraction of the company at its

current valuation, we expect that it will take some time for the

company to win back credibility in the market after a disruptive

past few years and we rate it Neutral.

• Business becoming a fresh canvas for management.

Since 2022, reserve charges have been taken in the P&C and

L&H business. New management has been quick to take

YTD 1m 3m 12m

action on the Life issue in particular and completed a full Abs 10.0% 4.4% 3.0% 14.0%

Rel 1.7% 1.2% -4.3% -4.6% 2024 L&H review.

Company Data • P&C turnaround is a positive signal for L&H. SCOR’s

Shares O/S (mn) 186 P&C business has shown promising progress since taking a

52-week range (€) 33.48-25.30 material reserve charge in 2022 and taking a more prudent

Market cap ($ mn) 6,701.17 reserving approach to build conservatism.

Exchange rate 0.88

Free float (%) 96.8% • Balance sheet should support near-term dividends.

3M ADV (mn) 0.52 There were concerns during 2024 that SCOR’s Solvency II

3M ADV ($ mn) 18.7

Volatility (90 Day) 27 ratio could fall below the 185% floor, and with the ratio back

Index MSCI Europe to >200%, we do not see risk to at least flat dividends.

BBG ANR (Buy | Hold | Sell) 10|8|0

Valuation

Key Metrics (FYE Dec)

We value SCOR by estimating its sustainable across-the-cycle

in FY25A FY26E FY27E FY28E

comprehensive ROE of ~7% and use this to derive a valuationFinancial Estimates