By Iain Gilbert
Date: Wednesday 08 Apr 2026
LONDON (ShareCast) - (Sharecast News) - Analysts at RBC Capital Markets nudged up their target price on global investment manager M&G from 260p to 285p on Wednesday following the group's full-year results.
RBC Capital updated its forecasts on the back of M&G's FY25 results, with its adjusted operating profit forecasts increasing by 4% on average over FY26-28 as earnings benefitted from upgrades to the firm's Life business,
The Canadian bank, which has a 'sector perform' rating on the stock, also enhanced its open business net flows assumptions after a strong FY25, and lifted the group's Solvency II ratio by five points to 238% - well above the firm's target operating range of 160-190%.
RBC pointed out that M&G initiated "a progressive dividend policy" at the time of its FY24 results in March 2025 and said it now expects to see a dividend per share growth rate of 2% per annum, down from 3% previously, as the FTSE 100-listed company focuses on Life new business investment, and leverage remains above target to FY28.
It also noted that its new target price reflected higher earnings and the one-year roll forward in its valuation model, partially offset by an increase in the risk-free rate in the UK year-to-date.
Reporting by Iain Gilbert at Sharecast.com
| Currency | UK Pounds |
| Price | 355.90p |
| Change Today | 2.50p |
| 52 Week High | 364.40p |
| 52 Week Low | 248.60p |
| Volume | 2,992,942 |
| Shares Issued | 2,410.03m |
| Market Cap | £8,577m |