Aviva plc, one of the United Kingdom’s oldest and most respected insurance companies, has demonstrated remarkable resilience and adaptability in a rapidly changing global financial environment. The company’s strong fundamentals, consistent profitability, and aggressive operational restructuring under CEO Amanda Blanc have positioned it as an attractive investment prospect for long-term investors. This article presents a comprehensive analysis of Aviva’s performance, exploring financial reports, expert forecasts, and stock trends through 2035 — all based on verified October 2025 data.
Overview of Aviva
Aviva plc is a leading British multinational insurance and asset management firm headquartered in London. Established in 2000 through the merger of CGU plc and Norwich Union, Aviva now operates across 16 countries, focusing primarily on life insurance, general insurance, and investment management services. With a strong presence in the UK, Canada, and Ireland, Aviva manages over £350 billion in assets and serves approximately 18 million customers worldwide.
The company is listed on the London Stock Exchange under the ticker AV., and on the U.S. markets via its ADR as AVVIY. As of October 16, 2025, Aviva’s stock on the London Stock Exchange traded at approximately 682.00 pence, maintaining steady momentum despite broader market volatility.
Fundamental Analysis of Aviva
Aviva’s strong financial health is evident from its consistent profit margins, strategic divestments, and impressive solvency ratio improvements. The company’s half-year 2025 report revealed a 22% increase in operating profit, reaching £1.068 billion, signaling exceptional management execution and operational efficiency. Its Solvency II cover ratio of 206% further highlights financial strength well above regulatory requirements.
Key financial metrics based on the 2024 full-year and 2025 half-year reports are summarized below:
| Metric | FY2024 | HY2025 | YoY Change |
| Operating Profit | £1.75 billion | £1.07 billion (H1) | +22% |
| Solvency II Ratio | 203% | 206% | +3pp |
| Dividend per Share | 33.4p | Interim: 13.1p | +10% |
| Net Asset Value | £22.6 billion | £23.2 billion | +2.7% |
| Earnings per Share (EPS) | 41.2p | 21.6p (H1) | +19% |
Aviva’s focus on product diversification — spanning life insurance, health, pension funds, and wealth management — provides resilience against cyclical downturns. Its acquisition of Direct Line Group in early 2025 has further expanded its customer base and enhanced profitability.
Last Few Years’ Performance of Aviva
In the last five years, Aviva’s share price and earnings have reflected steady improvement due to restructuring, cost optimization, and shareholder-friendly policies such as increased dividends and share buybacks. The company exited less profitable markets like Italy and Turkey to focus on core regions, resulting in higher returns on equity and stronger financial ratios.
| Fiscal Year | Revenue (£ bn) | Net Income (£ bn) | EPS (pence) | Dividend (pence) |
| FY2020 | 29.6 | 2.38 | 30.1 | 14.3 |
| FY2021 | 30.8 | 2.64 | 34.7 | 22.1 |
| FY2022 | 31.8 | 2.89 | 36.5 | 31.0 |
| FY2023 | 32.2 | 3.01 | 39.9 | 33.4 |
| FY2024 | 33.4 | 3.34 | 41.2 | 33.4 |
Profit Growth
From 2020 to 2025, Aviva’s profit has grown at a compounded annual growth rate (CAGR) of approximately 7.2%. The firm’s operating profit surged by 22% in the first half of 2025 compared to H1 2024, underscoring strong execution and premium growth across the UK Life, General Insurance, and Canada segments.
Sales Growth
Aviva’s total revenue has shown sustained growth due to expansions in insurance and asset management divisions. The most recent half-year report indicated that Life Insurance sales rose by 11%, driven by higher pension fund inflows and demand for protection plans, while General Insurance premiums increased 8% YoY.
ROE and ROCE Percentage
Return on Equity (ROE) remains robust at 14.7%, reflecting efficient capital utilization, while the Return on Capital Employed (ROCE) stands at 12.2%, above the industry average of 9.8%. Strong asset management performance and reduced legacy liabilities contributed to these gains.
Total Expenditure and Net Cash Flow
Aviva’s total expenditure for FY2024 was £30.2 billion, reflecting efficient expense management compared to prior years, where restructuring costs had weighed heavier. The company reported a positive net cash flow of £1.85 billion in FY2024, providing adequate liquidity for dividends and capital reinvestment.
Total Assets
The total asset base of Aviva plc stood at approximately £470 billion as of FY2024, marking a 5% YoY growth. This includes substantial holdings across investment-grade securities, real estate, and pension management portfolios.
Aviva Share Price Targets
Aviva’s share price targets have been updated using the latest October 2025 analyst estimates and projections from StockScan and AI-based models.
| Year | Average Target (USD) | High | Low | Growth vs 2025 Price |
| 2025 | $12.34 | $14.26 | $10.41 | +34.9% |
| 2026 | $15.17 | $17.21 | $13.13 | +65.9% |
| 2028 | $20.84 | $23.10 | $18.58 | +127.9% |
| 2030 | $26.51 | $29.00 | $24.02 | +189.9% |
| 2035 | $39.60 | $39.61 | $38.16 | +332.9% |
Aviva Share Price Target 2025
Analysts expect Aviva Plc (AIVAF) to trade between $10.41 to $14.26, averaging $12.34 by year-end 2025. The bullish momentum stems from robust half-year profits and the success of the Direct Line acquisition.
Aviva Share Price Target 2026
For 2026, the predicted average is $15.17, with a high forecast of $17.21. This represents a potential 66% upside from October 2025 levels, supported by increased shareholder returns and cost synergies.
Aviva Share Price Target 2028
The 2028 projection assumes an average of $20.84, reflecting strong long-term revenue flows from the UK pension and life segments. This corresponds to a 127.89% increase from 2025.
Aviva Share Price Target 2030
By 2030, the forecast stands at $26.51, with optimistic analysts targeting up to $29. The company’s growing footprint in digital insurance and AI-driven underwriting is expected to add long-term scalability.
Aviva Share Price Target 2035
By 2035, Aviva could reach $39.60, suggesting a rise of over 332% from its 2025 valuation. Continued expansion in asset management and decarbonization-linked investment products could be key growth drivers.
Peer Companies of Aviva
| Company | Market Cap (GBP bn) | Dividend Yield | ROE | P/B Ratio |
| Aviva plc | £22.5 | 7.2% | 14.7% | 1.12 |
| Prudential plc | £27.3 | 4.9% | 11.5% | 1.09 |
| Legal & General | £24.6 | 8.4% | 15.2% | 1.04 |
| AXA SA | £54.2 | 6.0% | 12.9% | 1.15 |
| Allianz SE | £78.1 | 5.8% | 14.0% | 1.20 |
Shareholding Pattern
Aviva’s shareholding is well-diversified:
| Investor Type | Holding % |
| Institutional Investors | 75.3% |
| Retail & Individual | 18.6% |
| Mutual Funds | 4.1% |
| Employee Funds & Insiders | 2.0% |
Major institutional holders include BlackRock, Vanguard, and Norges Bank Investment Management.
Expert Opinions
Market experts remain optimistic about Aviva’s trajectory. According to The Motley Fool UK, sustained cost discipline and dividend growth make Aviva a compelling long-term hold. Analysts at Hargreaves Lansdown classify it as a “Moderate Buy”.
Positive Sides
- Consistent profit and dividend growth
- High solvency ratio and low debt leverage
- Strong brand presence and customer base in Europe and Canada
- Expanding asset management business with green investment focus
Negative Sides
- Exposure to interest rate fluctuations affecting pension revenues
- Competitive insurance market pressures margins
- Slower growth in continental European operations due to regulatory constraints
Risk Factors
- Operational risk from integration of the Direct Line acquisition
- Market volatility impacting investment portfolio returns
- Inflation and geopolitical tensions influencing insurance demand
- Climate change-related underwriting risks
FAQs
What is Aviva Share Price Target for 2025?
Aviva’s projected target for 2025 is between $10.41 – $14.26 with an average forecast of $12.34.
What is Aviva Share Price Target for 2026?
Expected to trade between $13.13 – $17.21 with an average of $15.17 by 2026.
What is Aviva Share Price Target for 2028?
Analysts forecast a range of $18.58 – $23.10, averaging $20.84.
What is Aviva Share Price Target for 2030?
By 2030, Aviva could reach between $24.02 – $29.00 with a mean of $26.51.
What is Aviva Share Price Target for 2035?
The long-term forecast suggests an average of $39.60, marking strong multi-year potential.
Conclusion
Aviva plc stands out as a financially stable, dividend-paying insurer with a promising growth outlook through 2035. Fueled by disciplined management, improved operational efficiency, and digital strategy execution, it remains one of the strongest income-focused investments in the European insurance market.
