Following an update by Suncorp Group on the impact of east coast floods, Morgans makes only minor FY22 EPS downgrades due to a slightly higher hazard budget. The target slips to $13.14 from $13.19.
The Add rating is kept as the broker sees upside on solid current underlying business momentum and the group’s cost-out plan into FY23.
Sector: Insurance.
Target price is $13.14.Current Price is $11.12. Difference: $2.02 – (brackets indicate current price is over target). If SUN meets the Morgans target it will return approximately 15% (excluding dividends, fees and charges – negative figures indicate an expected loss).
