UBS points to 'attractive' market mix for Austrian insurers
** UBS highlightsAustrian insurers' "attractive combination" ofexposure to a developed home market and the growing Central and Eastern European market
** It starts coverage of Vienna Insurance VIGR.VI and UNIQA UNIQ.VI with respectively "buy" and "neutral" ratings
** Owing to the exposure, both companies can offer attractive dividend yields, whiletheir top-line growth could outpacemany European peers, UBS notes
** The broker prefers Vienna Insurance over UNIQA due to lower leverage and market sensitivity
** It says Vienna Insurance is in a position to increase its revenue by around 8% over the next three years, against around 6% it estimates for UNIQA
** Vienna Insurance's excess capital could lift its EPS by 16-23% in case of M&A, or 24% of market cap could be distributed to shareholders
** UNIQA is more sensitive to market developments, more concentrated in lower-growth Austria, has higher leverage and a lower growth outlook, UBS says
Reporting by Amir Orusov and Anastasiia Kozlova
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