Contact us Find us Register
Back to previous section

JPMorgan reiterates ‘overweight’ on Just Group, lifts price target.

JPMorgan Cazenove reiterated its ‘overweight’ rating on Just Group on Tuesday and lifted the price target to 200p from 190p after it completed a £1.8bn full buy-in with the Trustee of the G4S Pension Scheme, covering the benefits of around 22,500 members.

  • Just Group
  • 19 November 2024 11:25:15
Just Group

Source: Sharecast

JPM said the deal, announced last week, was "a milestone" for the company.

More than £1bn schemes account for the majority of Pension Risk Transfer deals in the UK by value, and Just has not competed in this segment before, it said.

"We believe it can now grow market share in this larger segment, capitalising on its reputation as a market leader in small- scheme deals," JPM said.

"We are also re-visiting our assumptions for the UK retail annuity market and raising our estimates for Just Group’s growth in this segment too."

JPM noted that Just Group only writes retail and bulk annuities, and trades at around 50% of tangible book value compared to UK life peers at closer to 1x, in spite of being up more than 60% this year.

"We think it has much further to go, and reiterate our OW rating."

FTSE 250 ( MCX )

ISIN: N/A
Exchange: London Stock Exchange
Sell:
0.00
Buy:
0.00
Change: 7.61 ( 0.04 %)
Date:
Prices delayed by at least 15 minutes

Compare our accounts

If you're looking to grow your money over the longer term (5+ years), we have a range of investment choices to help.

View our accounts

Halifax is not responsible for the content and accuracy of the Markets News articles. We may not share the views of the author. Understand the risks, please remember the value of your investment can go down as well as up and you may not get back the full amount you invest. We don't provide advice so if you are in any doubt about buying and selling shares or making your own investment decisions we recommend you seek advice from a suitably qualified Financial Advisor. Past performance is not a guide to future performance.