Hannover Rueck SE
Hannover Rück SE, together with its subsidiaries, provides reinsurance products and services in Germany, the United Kingdom, France, Europe, the United States, Asia, Australia, Africa, and internationally. It operates through Property & Casualty Reinsurance; and Life & Health Reinsurance segments. …
Hannover Rück SE, together with its subsidiaries, provides reinsurance products and services in Germany, the United Kingdom, France, Europe, the United States, Asia, Australia, Africa, and internationally. It operates through Property & Casualty Reinsurance; and Life & Health Reinsurance segments. The company provides property and casualty reinsurance solutions for agricultural, livestock, and bloodstock; aviation and space; natural catastrophe; credit, surety, and political risks; cyber; digital; marine and upstream energy; natural catastrophes; advanced and facultative business, insurance-linked securities and structured reinsurance; and parametric solutions. It also offers risk solutions in the areas of critical illness, disability, health, longevity, long term care, and mortality. In addition, the company offers group life, retirement, lifestyle, credit life, and Takaful reinsurance products. Further, the company provides various financial solutions, including new-business financing; monetization of embedded value; reserve and solvency relief; and reinsurance and solvency II businesses. The company was formerly known as Hannover Rückversicherung AG and changed its name to Hannover Rück SE in March 2013. Hannover Rück SE was founded in 1966 and is based in Hanover, Germany. Hannover Rück SE operates as a subsidiary of Talanx AG.Looks overvalued
Other models: EUR 311.52–2641.10 (median 645.04). The recommended value is in line with them.
Why: Banks, insurers and other financials are valued on the dividends they pay, not on free cash flow.
Details and the full model are below.
Market price above modeled range
Uses reported dividends of EUR 9.2996 per share from Fiscal year 2025, with 2.4% perpetual growth (base growth capped at the terminal rate) and 9.6% discount rates. The range varies growth and discount assumptions by 1 percentage point; it is illustrative, not a statistical confidence interval or investment advice.
Assumptions: growth 2.53%, discount rate 9.60%, terminal growth 2.40% (sector defaults). See a worked example.
Blended growth assumption: 2.5% (sector default 5.4%, own revenue history -2.2%, analyst revenue consensus 3.5%).
5-year outlook: relative outlook of about 4.6% a year (Medium confidence), anchored to a 7% market return and adjusted for how this company ranks against others. A ranking aid, not a prediction. See the full forecast.
Analyst consensus expects revenue growth of 3.5% a year; the growth assumption used is 2.5%.
Adjust assumptions
Why this model: Banks, insurers and other financials are valued on the dividends they pay, not on free cash flow.
Compare models- Recommended: Dividend discount model — EUR 132.26 (-55.3%)
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EPS-based Gordon proxy
— EUR 311.52 (+5.3%)
Not used: Treats all earnings as if paid out and ignores the cash kept for reinvestment, so it overstates value for companies that retain most profit.
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DCF (trailing free cash flow)
— EUR 648.78 (+119.3%)
Not used: Cash-flow models do not suit banks and insurers, whose cash flow is mostly funding and deposits.
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FCFF (steady state)
— EUR 645.04 (+118.1%)
Not used: Cash-flow models do not suit banks and insurers, whose cash flow is mostly funding and deposits.
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EV/EBITDA (12x)
— EUR 2641.10 (+792.9%)
Not used: Used only when free cash flow is far below earnings even after averaging three years; a fixed 12x multiple also ignores sector differences.
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Fade DCF (10-year growth fade)
— EUR 648.64 (+119.3%)
Not used: Cash-flow models do not suit banks and insurers, whose cash flow is mostly funding and deposits.
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EV/Sales (Rule of 40)
— EUR 2961.73 (+901.3%)
Not used: Used only for technology and communication companies whose cash-flow value is far below the price.
| Bear EUR 102.50 | -188.6% |
| Base EUR 132.26 | -123.6% |
| Bull EUR 184.92 | -60.0% |
Margin = (value − price) / value, so it is measured against the value and reads lower than the upside to value, which is measured against the price. Positive means the price is below that case.
At EUR 295.80 the market implies perpetual dividend growth of about this rate (discount rate 9.6%).
Compare: the market implies 6.3% a year, this model assumes 2.4%. The market expects more than this model does, which is why it reads as overvalued.
How the Dividend discount model value changes with growth (rows) and discount rate (columns). Green cells are above the current price. Dividend growth cannot exceed the long-run rate, so duplicate capped scenarios are omitted.
| Growth \ Discount | 7.6% | 8.6% | 9.6% | 10.6% | 11.6% |
|---|---|---|---|---|---|
| -1.6% | 99.47 | 89.71 | 81.70 | 75.01 | 69.32 |
| 0.4% | 129.68 | 113.86 | 101.49 | 91.54 | 83.36 |
| 2.4% | 183.13 | 153.59 | 132.26 | 116.13 | 103.51 |
Track record: see the methodology page for how this model has performed historically, including its limits. Treat it as a screen, not a forecast.
Price history and fair value
No chartable saved daily price history is available for this range. The chart uses stored EODHD prices only and will appear after history is saved.
More detail: quality, peers, price history, dividends and financials
Quality score: 100 / 100
Five equal checks on reported history: profitability, cash generation, revenue growth, balance sheet and margins. It describes business quality, not whether the price is attractive.
| Profitability | 5 of 5 years profitable | 20 / 20 |
| Cash generation | free cash flow positive in 5 of 5 years | 20 / 20 |
| Growth | revenue +39.9% a year | 20 / 20 |
Peers in Financials
Same-sector companies with a valuation, most undervalued first. Compare the margin of safety, yield and quality score side by side.
| Company | Price | Margin of safety | P/E | P/B | Yield | Quality |
|---|---|---|---|---|---|---|
| HNR1.DE (this company) | EUR 295.80 | -123.6% | 13.5 | 2.8 | 3.1% | 84 |
| PSH.L Pershing Square Holdings, Ltd. | GBP 38.88 | 68.2% | 3.7 | 0.6 | 1.3% | 76 |
| LRE.L Lancashire Holdings Limited | GBP 6.89 | 45.5% | 7.1 | 1.6 | 3.3% | 76 |
| ACA.PA Credit Agricole S.A. | EUR 15.88 | 36.0% | 6.8 | 0.7 | 6.9% | 78 |
| PRU.L Prudential plc | GBP 9.29 | 34.0% | 8.0 | 1.6 | 1.9% | 78 |
| V Visa Inc. | USD 422.59 | 33.3% | 8.9 | – | 0.2% | 100 |
| AGS.BR ageas SA/NV | EUR 77.60 | 32.5% | 8.2 | 1.5 | 5.0% | 76 |
| SYF Synchrony Financial | USD 74.07 | 29.9% | 7.2 | 1.4 | 2.1% | 100 |
| NWG.L NatWest Group plc | GBP 5.92 | 29.6% | 8.3 | 1.3 | 4.9% | 88 |
| Peer median | 7.6 | 1.4 | ||||
Dividends
Paid in the last 12 months: EUR 12.50 per share · yield 4.23% at the current price.
| Year | Dividends per share |
|---|---|
| 2026 (so far) | 12.500 |
| 2025 | 9.000 |
| 2024 | 7.200 |
| 2023 | 6.000 |
| 2022 | 5.750 |
| 2021 | 4.500 |
Annual financial statement
Saved annual report · Fiscal year 2025 · EODHD annual statements · period ended 31 Dec 2025
| Revenue | EUR 24,017,800,000 |
|---|---|
| EBITDA | EUR 26,800,000,000 |
| EBIT | EUR 3,546,400,000 |
| Net income | EUR 2,641,500,000 |
| Free cash flow | EUR 5,686,900,000 |
| Capital expenditures | EUR 5,686,900,000 |
| Debt | EUR 4,142,300,000 |
| Cash | EUR 1,051,500,000 |
| Working capital | EUR 7,352,100,000 |
| Shares outstanding | 120,597,000 |
| Reported dividends per share | EUR 9.2996 |