FRANKFURT (AFX) - Shares in Munich Re advanced in morning trade after peer Allianz SE released positive third-quarter results Thursday evening that led to a string of price target increases from major brokerages today, dealers said.
At 11.13 am, shares in Munich Re were 2.60 eur or 2.05 higher at 129.30, while the DAX had risen 40.73 or 0.65 pct to 6,281.88.
Allianz reported an increase of 100.4 pct in net profit in the third quarter to 1.6 bln, well above the market consensus of 1.292 bln.
The insurer's property and casualty segment (P/C), which earns the bulk of the company's profits, contributed 1.089 bln eur to the bottom line, after it reported no major claims from natural catastrophes.
Munich Re, the world's second largest reinsurer, will likewise benefit from a quarter that has not been affected by major disasters, including hurricanes, like those which hurt its bottom line during the same period last year.
2005 was the most severe year for hurricanes on record, with a large portion of total insurance claims coming in the third quarter.
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