GAH.L Share News (GAH)

Shares in UK and European insurer Gable Holdings shot higher on Thursday after a strong set of interim results that saw profit before tax jump 68% and earning per share rise 57% from a year earlier.The figures gave heart to house broker Arden Partners, which has projected strong growth for the company in 2010 and 2011. "We view our 26p price target (50% above yesterday's closing price of 17.5p) as undemanding," the broker said in a note that reiterated its "buy" recommendation.The broker said that after the half year results it is confident Gable will generate at least £15m in gross written premiums (up 44% from 2009), £2.50m in profit before tax (+63%) and 2.01p in earnings per share (+59%)."Further, we continue to forecast strong growth in 2011, with the following predicted: gross written premium +25%, profit before tax +40% and earnings per share +37%," Arden analyst Peter Lenardos."In terms of growth going forward, the Norwegian tenant deposit guarantee scheme has made a solid start and Gable is developing opportunities for this product in other European markets," Lenardos said. "With robust earnings momentum and strong growth projected, new products and geographic expansion, the shares remain cheap," the broker concluded.