09:05 AM EDT, 05/13/2026 (MT Newswires) -- RBC Capital Markets reduced its price target for Munich Re (MUV2.F), saying the German reinsurance group's full-year 2026 targets are now harder to achieve after first-quarter revenue and margins fell short of expectations.

The price target was revised to 490 euros from 560 euros on Wednesday, with a sector perform rating on the stock.

"Q1 results showed a tick up in strain in the core P&C Re division, which was not a complete surprise, although top-line and renewals were materially weaker than our forecasts. We lowered our underwriting margin out-year forecasts a month ago due to increasing competition, but make further cuts due to the impact of lower revenue. If macro worsens, relative defensiveness should become more appealing, but we think it is too early in the cycle to turn more positive,"the research firm said in a note.

Analysts also cut their EPS compound annual growth rate estimate for the 2026 to 2028 period to 4% from its previous expectation of 6%, with growth weighted toward 2028.