BKGR raises its target price

BKGR highlights very interesting target P/E levels (16.2x in 2022e and 14.8x in 2023e), prompting it to recommend accumulating the ATLANTASANAD share given the expected improvement in its sector positioning thanks to its aggressive commercial strategy, its financial solidity resulting in a very comfortable solvency margin of 220% in 2021, better financial management that should lead to good growth in financial income and a generous policy in terms of distribution dividends (a 2021 D/Y of 4.3%).

According to analysts, ATLANTASANAD has a good sector positioning, mainly indebted to its aggressive commercial strategy and reflected in a leader status in Workplace Accidents and Occupational Diseases, General Liability, Technical Risks and Transport in 2020.

This position should be strengthened by the implementation of a new 2022-2024 strategic plan as well as the upcoming launch of Unit-Linked Products.

A generous distribution policy

ATLANTASANAD offers a very attractive dividend distribution policy in the opinion of analysts (an average D/Y of 4.7% against an average D/Y for the market of 3.5% over the period 2016-2020), making it an attractive value in terms of return for investors.

Finally, the possibility of a realization of the project of acquisition by HOLMARCOM of the shares of CREDIT AGRICOLE SA in CREDIT DU MAROC could constitute an important development opportunity for the insurer, in particular on the activity of Bancassurance. However, several questions remain unanswered regarding this operation, in particular the level of participation that may be acquired by ATLANTASANAD or the possibility of termination by CDM of its exclusive partnership in Bancassurance with SAHAM ASSURANCE.

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