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Investing.com - CFRA upgraded NN Group NV (AS:NN) (OTC:NNGPF) from Hold to Buy and raised its price target to EUR74.00 from EUR53.00, citing the company’s improving earnings outlook.
The upgrade follows NN Group’s first-half 2025 core net result, which remained flat year-over-year at EUR1.16 million compared to a reported net result of EUR391 million. This performance exceeded expectations, accounting for 59% of both CFRA’s 2025 forecast and consensus estimates.
NN Group’s management reaffirmed its medium-term targets, including EUR1.9 billion operating capital generation and EUR1.6 billion free cash flow. CFRA noted that key business segments showed encouraging operational metrics, suggesting healthy underlying business fundamentals.
CFRA raised its earnings per share forecasts for NN Group to EUR8.50 from EUR7.10 for 2025 and to EUR8.84 from EUR7.59 for 2026, based on lower loss assumptions and stronger margins for the Insurance Europe and Netherlands Non-life divisions.
The research firm switched from a price-to-book value benchmark to a 2026 price-to-earnings target of 8.4x, which is 0.25 standard deviation below the 10-year average of 8.9x, reflecting the group’s improved earnings outlook.
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