I can't say my bullish call on British insurance company Aviva plc (NYSE:AV) has been a good one, as the shares are down about 15% from my June 2015 article
and only about half of that decline can be attributed to currency.
While premium growth in the non-life business has been a little pokey,
the life business has grown pretty nicely and the company surprised
everybody with a stronger capital position vis-a-vis Solvency II.
Looking ahead, management still has to prove that Aviva can wring
operational synergies from the Friends acquisition and take advantage of
what management believes will be a growth market in UK savers and a
significant cross-selling opportunity. At the same time, delivering on
the growth potential of markets like Poland and Turkey is important. I
continue to believe that Aviva is a significantly underrated company,
and with worries about its capital position likely to diminish, a fair
value of nearly $18 makes this a stock to consider.
Continue here:
With Demonstrated Execution, Will Aviva Finally Get Some Love?
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