QBE rallied strongly yesterday after beating market expectations with 1H NPAT almost 50% above market calls aided by rising premiums. As we said yesterday this is a volatile / leveraged business which we can easily see trading back to the top of its last few years trading range i.e. $15-17 or at least 20% higher. However history does tell us this stock doesn’t come without risks but this is one of the reasons it can perform so well because most fund managers are likely to be underweight!
MM is bullish QBE targeting a test of $15
Add To Hit List
