Jefferies sees solid upside at Admiral, valuation at trough levels.


Jefferies has kept a 'buy' rating on Admiral after the car insurer's full-year results last week, hailing the company's strong performance and relatively cheap valuation.

  • Admiral Group
  • 09 March 2026 15:01:30
Admiral Group

Source: Sharecast

"There was plenty to like in a more comprehensive FY update than we anticipated," said analyst Teik Derald Goh, after Admiral said pre-tax profit jumped 16% to a record £957.9m in 2025, with the customer base up 7%.

Group turnover nudged down 1% to £5.9bn as continued growth in UK Other Personal lines was offset by lower UK Motor turnover as average premiums reduced.

"An imminent inflection in Motor pricing and greater operating momentum in other segments underpin a high-single digit earnings growth outlook, while terminal value risk from autonomous vehicle (AV) disruption feels incrementally lower," the analyst said.

Meanwhile, in valuation terms, the stock – priced at 13 times earnings – is "still trading at trough levels on absolute and relative bases", the broker added.

Jefferies kept a 3,770p target price on the stock, which was up 1.6% at 3,130p by 1459 GMT, indicating 17% upside.


Exchange: London Stock Exchange
Sell:
0.00
Buy:
0.00
Change: 32.28 ( 0.31 %)
Date:
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