Why is the QBE (ASX:QBE) share price in the green this week?

QBE Insurance is having a bright start to the week. Here are the details.

| More on:
Man wearing green shirt and pink watch flexes his muscle. representing the strength in ASX shares at the moment

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points

  • The QBE share price is surging 8% this week
  • The company has joined the UN-convened Net-Zero Insurance Alliance this week
  • Brokers at Morgans named it one of the best financial shares to buy in February

The QBE Insurance Group Ltd (ASX: QBE) share price is rocketing ahead this week.

The company's shares have soared 8% since market close on 28 January. In today's trading, the QBE share price is up by 2.56% to $12.03. In contrast, the S&P/ASX 200 Index (ASX: XJO) is falling 0.39% today.

QBE Insurance was established in 1886 in Queensland but has now expanded to employ 11,000 workers in more than 25 countries worldwide.

Let's take a look at what might be impacting the company this week.

What's happening at QBE?

The QBE share price is not only up this week — it's surged 43% in the past year. This week, QBE was named by Morgans as one of the best financial shares to buy in February.

The broker has given QBE an "add" rating with a $14.32 price target on its share. That's 19% more than the current share price.

In other news this week, the company has become a member of the United Nations-convened Net Zero Insurance Alliance.

QBE has committed to transitioning its investment portfolio to net-zero by 2050.

In a news update from the company, QBE said:

As part of the UN-convened net zero insurance alliance, we'll work with the insurance industry to help define the methodology needed to assess the carbon intensity of underwriting portfolios and setting science-based intermediate targets.

We commit to the gradual transition of our underwriting portfolio to net zero greenhouse gas emissions by 2050, as we continue to also support our customers' transition to a net-zero economy.

Broker JP Morgan recently named QBE as part of a "Super 7" list, suggesting it could deliver returns of up to 30% this year.

Finally, QBE's European operations have recently launched a sustainable energies unit. Its European operations are part of the wider QBE Insurance Group.

The new unit will help QBE's customers transition to lower-carbon energy.

QBE share price snap shot

The QBE share price has climbed nearly 6% this year to date. In the last week alone, it's gained around 9%.

In contrast, the broader ASX 200 has returned just over 3% in the past 52 weeks.

QBE has a market capitalisation of $17.7 billion based on its current share price.

The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Gainers

Three girls compete in a race, running fast around an athletic track.
Share Gainers

Here's why ASX uranium shares like Deep Yellow are running hot today

ASX uranium stocks are on fire this Wednesday.

Read more »

A young woman holding her phone smiles broadly and looks excited, after receiving good news.
Share Gainers

Why Chrysos, Hansen Technologies, Pantoro, and WA1 Resources shares are pushing higher

These shares are having a good time on hump day. But why?

Read more »

piggy bank at end of winding road
Share Gainers

Here are the top 10 ASX 200 shares today

ASX investors enjoyed a lucrative Tuesday session today.

Read more »

A man sees some good news on his phone and gives a little cheer.
Share Gainers

Why Capitol Health, Infratil, Newmont, and Race Oncology shares are charging higher

These shares are having a good session. But why?

Read more »

Two happy excited friends in euphoria mood after winning in a bet with a smartphone in hand.
Share Gainers

Why Capitol Health, Capricorn Metals, Credit Clear, and Telix shares are storming higher

These shares are starting the week with a bang. But why?

Read more »

Three exuberant runners dash towards the camera. One raises her arms in triumph; another jumps in the air with arms raised. The third runner gives a satisfied smile.
Share Gainers

3 ASX 200 shares going gangbusters in June

ASX 200 investors have sent these three stocks soaring in June. But why?

Read more »

A young male ASX investor raises his clenched fists in excitement because of rising ASX share prices today
Share Gainers

Why Boss Energy, Judo Capital, Life360, and Paladin Energy shares are pushing higher

These shares are ending the week on a high. But why?

Read more »

Fancy font saying top ten surrounded by gold leaf set against a dark background of glittering stars.
Share Gainers

Here are the top 10 ASX 200 shares today

Today's trading gave ASX investors some much-needed relief.

Read more »