On March 14, Swiss Life, an insurer, reported a higher fee result for 2024, attributed to the robust performance of its asset management business. However, its shares declined in early trading due to their already elevated price.
Vontobel analysts acknowledged, "Swiss Life has delivered solid results," yet maintained a "hold" recommendation for the stock, citing its high valuation compared to European and Swiss peers.
Swiss Life's shares dropped by 5.8% by 0921 GMT, ranking among the poorest performers on Europe's STOXX 600 index and heading towards their most significant one-day decline since November 2023. Despite a 12.5% gain year-to-date until Thursday's close.
The Vontobel analysts expressed the opinion that "the company needs to exceed expectations more significantly."
The largest life insurance provider in Switzerland announced a net fee result of 875 million Swiss francs ($990.5 million) for the year, compared to 658 million francs in 2023.
Swiss Life, holding significant real estate assets in Europe, disclosed a fee income of 541 million francs in France and 821 million francs in Germany. These two countries collectively accounted for approximately 56% of its total fee income in 2024.
The company confirmed a dividend payout of 35 francs per share for the 2024 financial year, aligning with the LSEG consensus estimate.
($1=0.8834 Swiss francs)