Hannover Rück Valuation

Is HNR1 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of HNR1 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: HNR1 (€239.3) is trading below our estimate of fair value (€543.38)

Significantly Below Fair Value: HNR1 is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for HNR1?

Other financial metrics that can be useful for relative valuation.

HNR1 key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.3x
Enterprise Value/EBITDA16.7x
PEG Ratio1.6x

Price to Earnings Ratio vs Peers

How does HNR1's PE Ratio compare to its peers?

The above table shows the PE ratio for HNR1 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average10.9x
MUV2 Münchener Rückversicherungs-Gesellschaft in München
11.3x2.7%€61.8b
TLX Talanx
10.8x4.2%€18.6b
ALV Allianz
11.7x7.0%€103.4b
SREN Swiss Re
9.8x6.9%CHF 32.2b
HNR1 Hannover Rück
15.2x9.3%€28.9b

Price-To-Earnings vs Peers: HNR1 is expensive based on its Price-To-Earnings Ratio (15.2x) compared to the peer average (10.9x).


Price to Earnings Ratio vs Industry

How does HNR1's PE Ratio compare vs other companies in the European Insurance Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a5.9%
n/an/an/a
No. of CompaniesPE048121620

Fetching data

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
Industry Avg.n/a5.9%
n/an/an/a
No more companies

Price-To-Earnings vs Industry: HNR1 is expensive based on its Price-To-Earnings Ratio (15.2x) compared to the European Insurance industry average (10.8x).


Price to Earnings Ratio vs Fair Ratio

What is HNR1's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

HNR1 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio15.2x
Fair PE Ratio12.3x

Price-To-Earnings vs Fair Ratio: HNR1 is expensive based on its Price-To-Earnings Ratio (15.2x) compared to the estimated Fair Price-To-Earnings Ratio (12.3x).


Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst HNR1 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€239.30
€242.53
+1.4%
13.3%€290.00€160.00n/a15
Jul ’25€240.90
€242.53
+0.7%
13.3%€290.00€160.00n/a15
Jun ’25€228.20
€240.93
+5.6%
13.2%€290.00€160.00n/a15
May ’25€232.40
€239.47
+3.0%
14.4%€290.00€160.00n/a15
Apr ’25€253.70
€238.40
-6.0%
14.4%€290.00€160.00n/a15
Mar ’25€236.90
€220.17
-7.1%
11.6%€260.00€160.00n/a16
Feb ’25€220.60
€219.23
-0.6%
11.3%€255.00€160.00n/a16
Jan ’25€216.30
€213.79
-1.2%
11.8%€255.00€160.00n/a16
Dec ’24€219.00
€209.85
-4.2%
11.9%€255.00€160.00n/a16
Nov ’24€214.60
€200.03
-6.8%
12.1%€255.00€145.00n/a16
Oct ’24€207.90
€198.78
-4.4%
11.7%€255.00€145.00n/a16
Sep ’24€196.20
€197.40
+0.6%
10.8%€240.00€145.00n/a16
Aug ’24€195.15
€192.96
-1.1%
10.9%€235.00€145.00n/a15
Jul ’24€194.35
€193.54
-0.4%
9.9%€220.00€145.00€240.9017
Jun ’24€205.40
€191.18
-6.9%
9.5%€220.00€145.00€228.2017
May ’24€193.60
€190.12
-1.8%
9.6%€220.00€145.00€232.4017
Apr ’24€180.35
€189.74
+5.2%
9.8%€220.00€145.00€253.7017
Mar ’24€183.90
€190.93
+3.8%
10.6%€220.00€145.00€236.9017
Feb ’24€176.85
€192.16
+8.7%
10.7%€225.00€145.00€220.6017
Jan ’24€185.50
€183.14
-1.3%
11.6%€210.00€131.00€216.3017
Dec ’23€183.65
€178.91
-2.6%
11.2%€210.00€131.00€219.0017
Nov ’23€165.20
€169.17
+2.4%
10.4%€195.00€131.00€214.6018
Oct ’23€154.20
€168.98
+9.6%
10.6%€205.00€131.00€207.9018
Sep ’23€147.45
€168.06
+14.0%
10.5%€205.00€131.00€196.2018
Aug ’23€138.50
€169.04
+22.0%
9.1%€195.00€138.20€195.1517
Jul ’23€140.15
€170.84
+21.9%
10.3%€205.00€144.00€194.3516

Analyst Forecast: Target price is less than 20% higher than the current share price.


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