UBS Lowers Price Target for Zurich Insurance Group
The Swiss banking giant UBS recently maintained its rating for Zurich Insurance Group at “Sell” while simultaneously lowering the price target from 535 to 515 Swiss francs. This indicates a rather negative expectation regarding the future price development of Zurich shares.
Reasons for the Downgrade
Will Hardcastle, an analyst at UBS, justifies the downgrade with significant risks in margin development over the next two years. In particular, a price decline in large corporate risks is expected, making it challenging to maintain current margins. These factors could negatively impact market expectations.
Comparison with Competitors
Within the industry, UBS analyst Hardcastle continues to prefer the shares of Axa and rates Zurich’s shares the weakest.
Impact on Investors
This downgrade is significant for investors as it could increase pressure on the stock price and weaken the company’s market performance. The new price target of 515 Swiss francs is below the current price of over 550 CHF, indicating potential downside.
| Rating | Previous Price Target | New Price Target | Justification |
|---|---|---|---|
| Sell | 535 CHF | 515 CHF | Risks in margin development, declining prices in large risks |
This analysis was published in mid-July 2025 and reflects UBS’s current assessment of the European insurance industry.