Insurance Day is part of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC’s registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 8860726.

This copy is for your personal, non-commercial use. For high-quality copies or electronic reprints for distribution to colleagues or customers, please call UK support +44 (0)20 3377 3996 / APAC support at +65 6508 2430

Printed By

UsernamePublicRestriction

Stockwatch: Argo stock rallies as firm explores sale

Lloyd's insurers also had a strong week, gaining 5.8% on average

Investors lift share price although Bermudian firm still trades at a heavy discount

Shareholders in Argo Group got a welcome lift as the firm’s stock price jumped 13.9% in the week to Wednesday, September 14 after it emerged the Bermudian carrier is back up for sale.

Argo revealed it is again exploring a potential sale in its announcement it had sold Lloyd’s syndicate 1200 to Westfield for $125m. There is no denying Argo is attractively priced – despite its disappointing recent financial performance – as the firm’s stock price has been hammered over the past year, trading at a 60.5% discount on 12 months ago.

 

Lloyd’s insurers had a strong week, gaining 5.8% on average, well ahead of the FTSE 100 (+0.6%). Lancashire Holdings (+7.1%) was the top performer of the three, extending its run to 10 weekly gains in a row – or a rise of 37.7% since June 29.

Such was Lancashire’s poor start to the year, however, its year-to-date return has only just snuck back into positive territory (+1.1%), trailing Beazley (+33.9%) and Hiscox (+8.5%).

It was a very positive week for insurance stocks overall, with Insurance Day's European (+3.8%) and Bermudian (+3.2%) subgroups beating their respective indices.

 

Several European groups saw significant price jumps – none bigger than Germany’s Talanx, which rose 7.8% after it announced it had grown its first-half gross written premiums by 18% and achieved as small increase in net income.

Axa (+6.1%), Generali (+5.1%) and Hannover Re (+4.7%) were the next three biggest movers.

Most of Insurance Day’s selected US-listed stocks registered minimal movement, although this represented decent performance as the S&P 500 (-0.9%) faltered. Brokers (-2.9%) underperformed, however, with MMC sinking 4.3%.

 

Related Content

Topics

UsernamePublicRestriction

Register

ID1142186

Ask The Analyst

Ask The Analyst - Ask Your Question Send your question to our team of expert analysts. You can: • Ask for background information on/explanation of articles in Insurance Day * • Find out more about our views on industry developments • Ask for an interpretation of market trends • Source supplementary data relating to articles • Request explanations to further your understanding of current issues (* This relates to any Insurance Day that is included as part of your subscription) We will do the research and get back to you personally with the information you need.

Your question has been successfully sent to the email address below and we will get back as soon as possible. my@email.address.

All fields are required.

Please make sure all fields are completed.

Please make sure you have filled out all fields

Please make sure you have filled out all fields

Please enter a valid e-mail address

Please enter a valid Phone Number

Ask your question to our analysts

Cancel