Helia Group Third Quarter Shows 'Resilient' Performance, Says Jefferies

MT Newswires Live10-30

Helia Group (ASX:HLI) third quarter shows a resilient performance, despite structural issues within the lenders' mortgage insurance market in Australia, said Jefferies in a Wednesday note.

The company on Wednesday said gross written premium came in at AU$66.1 million in the quarter ended Sept. 30, compared with AU$50.4 million a year ago.

The investment firm believes that Helia may require a more aggressive pricing model to defend its remaining customer base, given that a new overseas rival may have won on price.

Jefferies has maintained an underperform rating on Helia and increased its price target to AU$3.96, from AU$3.60.

The company's shares fell 2% in recent Thursday trade.

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