News, Price Analysis, Stocks

Aviva Stock Price Revives Ahead of Finance Earnings? Should You Buy?

Briefly –

  • Aviva stock price has seen a slight recovery within the last few weeks.
  • Meanwhile, it stays around 35% beneath its highest mark this year.
  • Focus remains on the firm’s first-half earnings.

Aviva had its share price crawling back over the last few weeks as market players wait for the coming half-year financial results. The stock climbed towards the 409p high – the highest mark since 30 June 2022. Nevertheless, it stays significantly beneath its 606p YTD high.

Aviva Earnings Impending

Aviva is among the leading British finance firms with a market capitalization above 11 billion pounds. The company offers its services via five divisions: International Investments, Aviva Investors, Canada General Insurance, UK and Ireland Insurance, and the UK and Ireland Life.

Aviva’s net adjusted operating returns stood beyond 2.2 billion pounds in 2021, lower than the 3.16 billion pounds of the prior year. Its total profit declined to 2.03 billion pounds following a 30% slump, whereas Aviva’s center liquidity increased to 6.6 billion pounds.

Also, the firm returned more than 4.75 billion pounds to stakeholders via share buybacks and dividends. It expects to increase the dividend share to 31.5p.

Aviva’s stock price underperformed in 2022 as market players worried about emerging claims in its primary industries. It lagged other firms such as abrdn and Legal& General. The financial earnings come when most analysts, including Deutsche Bank and Credit Suisse, trimmed their predictions.

Besides the headline & bottom line numbers, investors will consider other facets of the report. First and foremost, the company continues to reduce costs. Meanwhile, it plans to reduce costs by around 500 million by 2023.

Moreover, the Chief Executive Officer will likely comment on the latest acquisitions. The company confirmed acquiring Azur Underwriting, a managing agent concentrating on net-worth individuals. Also, it spent 385 million pounds on the Succession Wealth acquisition.

AV Share Price Prediction

The 4-hour chart shows AVE stock price saw intense pressure within the last few months. However, recent sessions saw the stock making a slight recovery. That saw it moving briefly beyond the 25- and 50-day Moving Averages as the MACD swayed into the neutral region.

Thus, the stock might keep climbing, with bulls targeting the resistance at 430p. This bounce back will likely progress after the firm announces its half-year outcomes on Wednesday. A decline beneath 400p support will cancel the bullish narrative.

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