This post was originally published on this site
https://i-invdn-com.investing.com/news/LYNXMPEDAT22C_M.jpg
The downgrade came in response to Brighthouse’s recent disclosure of its multi-year cash flow information, which analysts noted indicated a slower than expected increase in free cash flow. Despite this, the data also showed increased stability across various scenarios.
Analysts have further expressed concerns over Brighthouse Financial’s cash flow projections not factoring in potential impacts from changes in economic regulations. This has been highlighted as a risk, given the significant reserve charges observed in the industry and the substantial soft capital that Brighthouse Financial has used to capitalize its legal entity.
In addition to the downgrade, Goldman Sachs also revised its target price for Brighthouse Financial’s shares, lowering it from $47 to $43. The financial institution’s actions and recommendations have had a direct impact on the insurer’s stock performance and market standing.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.
