Swiss Re (SSREY) AI Stock Analysis

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Swiss Re

(Other OTC:SSREY)

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Rating:85Outperform

Price Target:$54.00▲(18.29% Upside)

Action:reiterated

Date:11/08/26

The score is led by strong financial performance and a highly favorable earnings outlook, supported by robust profitability, capital strength, and underwriting results. Attractive valuation and constructive technical trends add support, while softer cash flow, declining new-business CSM, pricing pressure, and reserve-release dependence limit the upside.

Positive Factors

Strong capital and leverageSwiss Re’s materially lower leverage and very strong solvency position provide resilience through catastrophe and underwriting cycles. Strong capitalization also supports continued risk-taking, client confidence, capital returns, and investment in the business without placing excessive pressure on the balance sheet.

Negative Factors

Declining new-business CSMLower new-business CSM across all major segments signals weaker expected profitability from recently written business and a more challenging growth environment. If sustained, reduced value creation at inception could limit future CSM releases and weaken earnings momentum beyond the current period.

Swiss Re (SSREY) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $53.82B
Dividend Yield: 4.40%
Average Volume (3M): 24.54K
Price to Earnings (P/E): 11.0
Beta (1Y): 0.32
Revenue Growth: -3.85%
EPS Growth: 30.01%
Country: US
Employees: 14,893
Sector: Financial
Sector Strength: 68
Industry: Insurance - Reinsurance

Swiss Re Business Overview & Revenue Model

Company Description

Swiss Re AG, along with its various group entities, provides a comprehensive suite of services globally, including extensive wholesale reinsurance, direct insurance offerings, and other innovative methods for risk transfer, complemented by associated...

How the Company Makes Money

Swiss Re primarily makes money by taking on insurance risk from other insurers (and, in some businesses, directly from customers) in exchange for premiums, and by investing the assets it holds to pay future claims. A key revenue stream is reinsurance...

Swiss Re Earnings Call Summary

Earnings Call Date:Aug 06, 2026(Q2-2026)|% Change Since:8.13%|Next Earnings Date:Feb 26, 2027

Earnings Call SentimentPositive

The call presented a predominantly positive operational and financial picture: strong H1 net income (USD 2.8B), high ROE (23%), robust P&C combined ratio (76.7%), solid Life & Health Re results, healthy investment returns (4.0% ROI) and a very strong capital position (SST ~264%). Management also announced an increased cost-reduction target and continued active capital return (buyback). Offsetting risks include notable declines in new business CSM across segments, pricing pressure in specific lines (non-proportional property, parts of Specialty, Corporate rates), rising P&C expense ratio, and questions about the sustainability of large short-tail reserve releases. Overall, the positives (underwriting results, capital, investments, cost discipline) materially outweigh the headwinds related to new-business profitability and selective pricing pressure, but the latter warrant monitoring going into 2027.

Positive Updates

Strong Net Income and Capital Position

Reported net income of USD 2.8 billion for H1 2026 (more than 60% of the full-year target of USD 4.5 billion) and an estimated group SST ratio of 264% (up 14 percentage points since Jan 1, 2026), indicating a very strong capital position.

Negative Updates

Decline in New Business CSM Across Segments

New business CSM reductions year-on-year: P&C Re USD 1.6B vs USD 2.2B (down ~27%), Corporate Solutions USD 201M vs USD 262M (down ~23%), Life & Health Re USD 338M vs USD 569M (down ~41%), reflecting lower transaction activity and a more challenging new-business environment.

Company Guidance

Management reiterated a full‑year net income target of USD 4.5bn (H1 net income USD 2.8bn, >60% of target) and highlighted strong H1 metrics — group ROE 23% — while setting specific business targets and near‑term expectations: Life & Health H1 net income just over USD 1.0bn with a 2026 net income target of USD 1.7bn, an insurance service result of USD 1.2bn and a CSM release of USD 758m (annualized ~9%); P&C Re H1 insurance service result USD 1.8bn, combined ratio 76.7% (full‑year target <85%), new business CSM USD 1.6bn (vs USD 2.2bn prior) and USD 6–7bn of treaty renewals to end‑June; Corporate Solutions H1 combined ratio 86.1%, insurance service result USD 578m, CSM release ~USD 400m and new business CSM USD 201m (vs USD 262m prior); midyear renewals showed 11% volume growth and year‑to‑date premium volume +0.5% with nominal pricing broadly flat (casualty mid‑single‑digit increases, non‑prop property down high single digits), year‑to‑date loss assumptions +4.4% (explaining a ~4.6% risk‑adjusted price decline), investment ROI 4.0% with recurring income USD 2bn, estimated group SST 264% (up 14pp since Jan, ~5pp temporary benefit), ~60% of a USD 1.5bn buyback executed, an increased operating cost‑saving target of USD 500m by 2028 (run‑rate, reflected in FY2029), and management expects mid‑triple‑digit reserve releases to help offset renewal headwinds.

Swiss Re Financial Statement Overview

Summary

Strong profitability and balance-sheet quality, supported by an 88 income statement score and 92 balance-sheet score. Positive cash flow remains adequate but weakened, with a 72 cash-flow score.

Income Statement

88Very Positive

Balance Sheet

92Very Positive

Cash Flow

72Positive

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	47.22B	48.19B	46.76B	43.64B	46.04B	45.94B
Gross Profit	31.10B	48.19B	43.14B	40.32B	38.24B	37.70B
EBITDA	7.03B	6.59B	4.27B	4.26B	1.65B	3.07B
Net Income	5.01B	4.76B	3.24B	3.11B	472.00M	1.44B
Balance Sheet
Total Assets	132.85B	134.01B	127.23B	179.58B	170.68B	181.57B
Cash, Cash Equivalents and Short-Term Investments	3.93B	2.74B	88.64B	88.38B	85.61B	4.15B
Total Debt	9.45B	8.98B	7.26B	9.82B	11.04B	11.19B
Total Liabilities	108.33B	108.71B	103.99B	163.21B	157.87B	157.89B
Stockholders Equity	24.46B	25.11B	23.11B	22.31B	12.70B	23.57B
Cash Flow
Free Cash Flow	2.37B	3.04B	3.13B	4.09B	2.93B	4.10B
Operating Cash Flow	2.37B	3.04B	3.13B	4.09B	2.93B	4.10B
Investing Cash Flow	1.94B	-2.29B	-407.00M	-362.00M	-2.34B	-2.14B
Financing Cash Flow	-4.00B	-2.14B	-2.97B	-3.22B	-1.24B	-2.10B

Swiss Re Technical Analysis

Technical Analysis SentimentPositive

Last Price45.65

Price Trends

50DMA44.19Positive

100DMA43.09Positive

200DMA41.37Positive

Market Momentum

MACD0.43Positive

RSI50.81Neutral

STOCH7.12Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SSREY, the sentiment is Positive. The current price of 45.65 is below the 20-day moving average (MA) of 46.27, above the 50-day MA of 44.19, and above the 200-day MA of 41.37, indicating a neutral trend. The MACD of 0.43 indicates Positive momentum. The RSI at 50.81 is Neutral, neither overbought nor oversold. The STOCH value of 7.12 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SSREY.

Swiss Re Peers Comparison

Overall Rating

UnderperformOutperform

Sector (68)

Financial Indicators

SSREY against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SSREY	85Outperform	$49.57B	11.00	20.19%	4.40%	-3.85%	30.01%
ACGL	81Outperform	$35.68B	8.85	18.35%	―	-5.29%	14.08%
SPNT	80Outperform	$3.06B	6.39	21.64%	―	18.14%	163.19%
RGA	78Outperform	$17.90B	10.52	13.15%	1.37%	22.58%	99.93%
RNR	76Outperform	$14.29B	10.06	13.52%	0.46%	-21.18%	-3.27%
Sector *	68Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
EG	65Neutral	$15.82B	9.09	12.52%	1.87%	-8.72%	250.85%

* Financial Sector Average

Performance Comparison

SSREY and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
SSREY	Swiss Re AG	45.65	2.52	5.85%
ACGL	Arch Capital	109.61	17.80	19.39%
EG	Everest Group, Ltd.	427.19	114.46	36.60%
RGA	Reinsurance Group Of America	275.15	93.35	51.35%
RNR	Renaissancere	353.62	92.30	35.32%
SPNT	Siriuspoint Ltd	26.57	6.84	34.67%

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Nov 07, 2026

Swiss Re AI Stock Analysis