11:18 AM EST, 11/04/2024 (MT Newswires) -- RBC has raised its target on Fairfax Financial ( FRFHF ) to US$1,500 (from US$1,425) after the company reported a strong underwriting quarter. Fairfax delivered a core accident year combined ratio that was sub-90%. Cat losses were heavy as expected but manageable and in line with RBC estimate, notes analyst Scott Heleniak

Reserve releases were also solid with no notable weakness in any particular areas. Premium growth was in line with RBC forecast as Fairfax continues to find pockets of growth in areas like specialty and international, adds Heleniak. Investment income and dividends were up but lagged RBC forecast.

"We remain constructive on FFH shares and we continue to find the current valuation appealing."

Fairfax is rated Outperform.

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