Hulk Hogan, wrestling icon, dies at 71 in Florida home
RBC Capital initiated coverage on Intact Financial Corp (TSX:IFC:CN) (OTC:IFCZF) with a Sector Perform rating and a price target of C$329.00 on Wednesday.
The financial services firm cited Intact’s "solid long-term track record of strong execution, and defensive attributes" as factors driving the company’s currently elevated valuation, which RBC believes is warranted.
RBC Capital noted that Intact is a core holding for many investors and will likely remain so, but the firm is "waiting for a better entry point" before recommending the stock more aggressively.
The research firm highlighted Intact’s strong position for potential acquisitions, pointing to approximately $3 billion in excess capital, a 20% leverage ratio, and a track record of achieving roughly 20% internal rate of return on prior underwriting acquisitions.
RBC also mentioned that Definity’s recently announced acquisition of Travelers (NYSE:TRV) could serve as "a catalyst for continued underwriter consolidation," with Intact well positioned to be "on the offensive" in this consolidation trend.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.