Ord Minnett maintains its Overweight rating and $5.35 target price for Insurance Australia Group after a trading update at its AGM. Guidance for the gross written premium (GWP) and underlying margin were reaffirmed.

The analyst's forecast earnings do not reflect any benefit from the unwinding of business interruption (BI) insurance. It's estimated this could approach nearly $1bn, if the current second test case findings are upheld.

Sector: Insurance.

Target price is $5.35.Current Price is $5.08. Difference: $0.27 - (brackets indicate current price is over target). If IAG meets the Ord Minnett target it will return approximately 5% (excluding dividends, fees and charges - negative figures indicate an expected loss).

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