Swiss Re AG (SREN) AI Stock Analysis

• Market Cap: CHF35.82B
• Dividend Yield: 4.52%
• Average Volume (3M): 909.34K
• Price to Earnings (P/E): 12.1
• Beta (1Y): 0.69
• Revenue Growth: -4.94%
• EPS Growth: -5.71%
• Country: CH
• Employees: 15,000
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Reinsurance
• EPS (TTM): 3.65
• Shares Outstanding: 298,761,720
• 10 Day Avg. Volume: 1,330,496
• 30 Day Avg. Volume: 909,335
• PEG Ratio: 3.92
• Price to Book (P/B): 1.83
• Price to Sales (P/S): 4.84
• P/FCF Ratio: 13.48
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: CHF137.20
• Price Target Upside: 3.39% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 10
• EPS Forecast (FY): 13.09
• Revenue Forecast (FY): CHF34.85B

• Rating: 73 Outperform
• Price Target: CHF165.00 ▲(24.34% Upside)

Swiss Re AG's strong financial performance, highlighted by robust profitability and a solid balance sheet, is the most significant factor in its stock score. The positive technical indicators and reasonable valuation further support the stock's attractiveness. The earnings call provided a balanced view with strong net income and ROE, though offset by some revenue challenges. Overall, the stock presents a stable investment opportunity with room for growth.

Positive Factors

Strong Net Income and ROE

A strong net income and high ROE indicate effective capital utilization and profitability, enhancing shareholder value and supporting long-term growth.

P&C Business Performance

Strong performance in P&C with a low combined ratio suggests effective risk management and underwriting, contributing to sustainable profitability.

Capital Strength

A high SST ratio reflects robust capital adequacy, ensuring financial stability and resilience against market fluctuations, supporting long-term operations.

Negative Factors

Decline in Group's Insurance Revenue

A decline in insurance revenue can signal challenges in market competitiveness and product demand, potentially impacting future growth prospects.

Life & Health Re Experience Variance

Negative experience variance in Life & Health Re suggests potential issues in risk assessment and pricing, which could affect profitability if not addressed.

Challenges in Casualty Volume

Reduced casualty volumes highlight difficulties in maintaining competitive pricing and risk assessment, which may hinder revenue growth in this segment.

Swiss Re AG Business Overview & Revenue Model

Company Description

Swiss Re AG, together with its subsidiaries, provides wholesale reinsurance, insurance, other insurance-based forms of risk transfer, and other insurance-related services worldwide. The company operates through Property & Casualty Reinsurance, Life & Health Reinsurance, and Corporate Solutions. The Property & Casualty Reinsurance segment underwrites property reinsurance, including property, credit and surety, engineering, aviation, marine, agriculture, retakaful, and facultative reinsurance solutions; and casualty reinsurance, such as liability, motor, worker's compensation, personal accident, management and professional liability, cyber, and facultative reinsurance solutions. The Life & Health Reinsurance segment underwrites life and health insurance products. The Corporate Solutions segment offers standard risk transfer covers and multi-line programs to customized solutions. It serves stock and mutual insurance companies, public sector and governmental entities, mid-sized and large corporations, and individuals. Swiss Re AG was founded in 1863 and is headquartered in Zurich, Switzerland.

How the Company Makes Money

Swiss Re AG primarily generates revenue through its reinsurance operations, which involve underwriting insurance policies for various risks and collecting premiums from ceding companies. The main revenue streams include premiums received from property and casualty reinsurance, life and health reinsurance, and the provision of insurance-based investment products. The company also earns investment income from the management of its substantial investment portfolio, which includes fixed-income securities, equities, and alternative investments. Additionally, Swiss Re engages in strategic partnerships and collaborations with other insurers and financial institutions, enhancing its market presence and enabling it to diversify its revenue sources. The company's strong capital position and risk management capabilities allow it to optimize underwriting performance, contributing further to its profitability.

Swiss Re AG Financial Statement Overview

Summary

Swiss Re AG demonstrates robust financial health with a solid balance sheet and improving profitability. While revenue growth has been inconsistent, the company has managed to enhance its profitability and leverage. Cash flow management is stable, though ensuring consistent revenue growth and efficient investment utilization will be key to future stability and growth.

Income Statement

Swiss Re AG has shown a stable revenue base with some fluctuations over the years. The net profit margin improved to 37.14% in 2024 from 6.46% in 2023, indicating enhanced profitability. However, revenue decreased significantly from 2023 to 2024. EBIT margins have been inconsistent, with EBIT in 2024 being zero. The overall trend shows recovery from previous losses, yet maintaining consistent revenue growth remains a challenge.

Balance Sheet

The company's debt-to-equity ratio has improved over time, showing better leverage management, with a ratio of 0.31 in 2024. The equity ratio has remained stable, indicating a strong balance sheet. Return on Equity (ROE) increased significantly to 14.03% in 2024, highlighting improved shareholder returns. The financial stability is evident, but attention to asset management is needed due to fluctuating total assets.

Cash Flow

Operating cash flow showed a decline from 2023 to 2024, but free cash flow remained positive. The free cash flow to net income ratio improved, indicating better cash generation relative to profit. However, negative investing cash flow suggests a need for careful investment management. The cash flow situation is stable, but there is room for improvement in operational efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	21.96B	8.72B	49.73B	46.04B	46.74B	43.34B
Gross Profit	21.96B	12.37B	49.46B	46.04B	46.74B	43.34B
EBITDA	0.00	4.27B	-23.00M	1.64B	-573.00M	115.00M
Net Income	2.38B	3.24B	3.21B	472.00M	1.44B	-878.00M
Balance Sheet
Total Assets	135.34B	127.23B	179.58B	170.68B	181.57B	182.62B
Cash, Cash Equivalents and Short-Term Investments	0.00	88.64B	88.38B	85.61B	4.15B	4.70B
Total Debt	8.47B	7.26B	9.82B	11.04B	11.19B	11.74B
Total Liabilities	111.27B	103.99B	163.21B	157.87B	10.32B	11.58B
Stockholders Equity	23.93B	23.11B	16.15B	12.70B	23.57B	27.14B
Cash Flow
Free Cash Flow	0.00	3.13B	4.09B	2.93B	4.10B	5.39B
Operating Cash Flow	0.00	3.13B	4.09B	2.93B	4.10B	5.39B
Investing Cash Flow	0.00	-407.00M	-362.00M	-2.34B	-2.14B	-7.72B
Financing Cash Flow	0.00	-2.97B	-3.22B	-1.24B	-2.10B	-2.50B

Swiss Re AG Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 132.70
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For CH:SREN, the sentiment is Negative. The current price of 132.7 is below the 20-day moving average (MA) of 133.73, below the 50-day MA of 141.38, and below the 200-day MA of 143.01, indicating a bearish trend. The MACD of -3.10 indicates Negative momentum. The RSI at 43.02 is Neutral, neither overbought nor oversold. The STOCH value of 89.24 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for CH:SREN.

Swiss Re AG Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ZURN	78 Outperform	CHF85.12B	16.92	23.97%	4.66%	-7.33%	17.93%
SREN	73 Outperform	CHF35.82B	12.15	17.22%	4.52%	-4.94%	-5.71%
VAHN	70 Outperform	CHF2.06B	13.75	6.06%	3.38%	-1.58%	4.07%
BALN	68 Neutral	CHF8.94B	20.39	―	4.09%	-9.11%	73.67%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
SLHN	68 Neutral	CHF25.87B	22.02	17.11%	3.83%	-1.65%	10.05%
HELN	59 Neutral	CHF10.64B	19.44	―	3.40%	-1.57%	95.56%

Swiss Re AG Corporate Events

Swiss Re Targets USD 4.5 Billion Profit in 2026 with Strategic Enhancements

Swiss Re has announced its strategic goals for 2026, aiming for a group profit of USD 4.5 billion, supported by a renewed strategy that emphasizes disciplined execution and leveraging AI to enhance productivity and decision-making. The company plans to introduce a sustainable annual share buyback program starting in 2026, contingent on achieving a group profit of more than USD 4.4 billion in 2025. Swiss Re has largely completed its review of underperforming portfolios in Life & Health Reinsurance, with an estimated impact on IFRS pre-tax profit of USD 250 million in the fourth quarter. The group maintains its targets for return on equity and dividend growth, while also focusing on reducing operating expenses by USD 300 million by 2027.

Swiss Re Appoints Nicole Pieterse as Chief People Officer

Swiss Re has announced the appointment of Nicole Pieterse as the new Chief People Officer, effective January 1, 2026, succeeding Cathy Desquesses. Pieterse, who has been with Swiss Re since 2015 and currently serves as Head of Human Resources at Property & Casualty Reinsurance, is recognized for her extensive leadership experience in HR within the financial services industry. This leadership change is seen as a strategic move to continue advancing Swiss Re’s personnel strategy, with the company’s executives expressing confidence in Pieterse’s ability to contribute to its ongoing transformation and success.

Swiss Re Institute Reports on Global Economic Shifts and Insurance Industry Outlook

Swiss Re Institute’s latest report highlights significant structural changes in the global economy driven by increased government spending, industrial policy, aging populations, and artificial intelligence. These factors are reshaping the risk landscape and impacting global GDP growth, which is expected to stabilize at around 2.5% in the coming years. The insurance industry is poised to benefit from these changes, with global insurance premiums projected to grow by 2.3% annually. However, challenges such as high inflation, fiscal dominance, and potential inefficiencies in industrial policy pose risks. The aging population is shifting demand towards longevity and health coverage, while AI is transforming insurance workflows. Despite these challenges, the insurance market remains robust, with strong profitability and high solvency ratios.

Swiss Re Reports Strong Nine-Month Profit Growth in 2025

Swiss Re reported a significant profit increase to USD 4.0 billion for the first nine months of 2025, driven by strong underwriting results and solid investment returns. The Property & Casualty Reinsurance division notably improved its combined ratio, benefiting from lower natural catastrophe losses, while Corporate Solutions and Life & Health Reinsurance also contributed positively, despite some challenges. The company’s robust financial performance underscores its strategic focus on underwriting quality and resilience, positioning it well to achieve its full-year profit target.

Swiss Re: Energy Transition to Reshape Global Risk Markets

Swiss Re’s latest report highlights the significant impact of the global energy transition on risk markets, with investments in energy transition, climate mitigation, and adaptation expected to exceed USD 80 trillion by 2040. The report projects that renewable energy capacity will nearly double by 2030, generating substantial insurance premiums, particularly in Asia-Pacific and Europe. As renewable portfolios mature, insurance needs are shifting towards long-term operational resilience, with new claims trends necessitating closer integration between underwriting and real-world data.

Swiss Re’s Sigma Report: Silver Economy’s Impact on Life Insurance

Swiss Re’s latest sigma report highlights the transformative impact of the ‘Silver Economy’ on the life insurance industry, driven by an aging population, declining birth rates, and wealth concentration among seniors. By 2050, a significant portion of the population in industrialized countries will be over 65, necessitating a shift in life insurers’ focus from income replacement to wealth planning and personal care financing. This demographic shift presents opportunities for insurers to innovate in product design and delivery, addressing the needs of retirees who face the risk of outliving their savings. The report emphasizes the importance of developing new financial products, such as longevity risk distribution pools and cancer-specific insurance, to meet the evolving demands of an aging population, while also highlighting the growing pressure on long-term care services.

Swiss Re Study: GLP-1 Medications Could Significantly Reduce Mortality by 2045

Swiss Re’s recent study highlights the potential impact of GLP-1 medications on reducing mortality rates in the USA and UK by 2045, assuming widespread use and lifestyle changes. The study emphasizes the importance of lifestyle modifications alongside medication use to achieve significant mortality reductions, with implications for insurers in risk assessment and benefit claims development.

Swiss Re Highlights Resilience Amid Global Risks at Monte Carlo Meeting

Swiss Re emphasizes the importance of a holistic approach to maintaining resilience amid complex risks, highlighting the role of AI in improving risk assessment and underwriting quality. The company underscores the urgency of preventive measures against natural disasters and stresses the need for collaboration between public and private sectors to mitigate risks. Geopolitical uncertainties and fragmentation pose challenges to the re/insurance market, affecting risk assessment and causing volatility. Swiss Re views re/insurance as a stabilizing force during global upheavals, supporting economic recovery and resilience.