Update shared on04 Sep 2025
Analysts remain positive on Aviva due to its growing capital-light earnings streams and solid operating momentum, though neutral ratings and sector valuation considerations have kept the consensus price target unchanged at £6.64.
Analyst Commentary
- Bullish analysts are raising price targets on expectations that over 70% of Aviva’s earnings will be from capital-light streams, improving the company’s quality and growth potential.
- JPMorgan cites continued earnings momentum and capital-light business mix as reasons for its higher target and positive outlook.
- Improvements in projected operating performance across the UK insurance space contribute to a more favorable view among several analysts.
- Neutral ratings persist where current valuation appears fair relative to peers and recent performance, limiting room for significant upside.
- Aviva is viewed as a top pick for some analysts within the UK insurance sector due to its enhanced earnings predictability and strong capital position.
What's in the News
- Aviva announced an interim dividend of 13.1 pence per share, a 10% increase compared to the previous year.
Valuation Changes
Summary of Valuation Changes for Aviva
- The Consensus Analyst Price Target remained effectively unchanged, at £6.64.
- The Future P/E for Aviva has significantly fallen from 14.15x to 12.41x.
- The Net Profit Margin for Aviva remained effectively unchanged, at 4.09%.
Disclaimer
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