Fitch raise your grades at Generali, explaining that the Italian insurance company deserved the upgrades due to the increasingly incisive action of management (which aims to preserve capital and reduce the financial leverage) and for the growth forecasts of income performance. In detail, the rating agency revised its assessments of the Lion as follows:
- salt BBB+ to A- the rating of Generali senior bonds;
- salt from BBB to BBB+ the rating of the one billion euro subordinated bond with a rate of 4,125%;
- salt from BBB- to BBB the rating of all other subordinated bonds of the company;
- confirmed to A- the Ifs (Insurer financial strength) rating, i.e. the overall opinion on the financial solidity of the group;
- salt from A- to A the Ifs unconstrained rating, which does not consider the limitations associated with the Italian sovereign rating, but the application of a sovereign constraint (which limits the rating to a maximum of one notch higher than that of Italy) binds the final rating to A-.
Outlooks are confirmed stable. In the note, Fitch analysts also underline Generali's vulnerabilities, such as the strong exposure to Italian sovereign debt, equal to 58 billion. At the same time, however, according to the agency, the Italian group has high financial flexibility, as demonstrated by the pre-financing activities carried out in the last two years.
Opening today the stock market share of Generali earns 1,54%, a 16,50 euro.
