Prudential - DBS Research 2025-03-28: Inflection Points Likely Seen In FY25F

• Raise Prudential's target price to HKD105 as we roll forward valuation base to average of 2H25F and 1H26F embedded value (EV) forecast. Maintain BUY

Remains on track to achieve 2027 objectives.

• - Read this at SGinvestors.io -
• FY25F marks an inflection point for OFSG, with positive growth expected in the year, and accelerating in FY26-27F, driven by previous business investments.

Growth in agent activities and new recruits.

• Enhancing its agent channel remains Prudential’s priority, with growth seen in active agents and new recruits in 2H24 – a positive sign. Drivers for agent growth include
  1. - Read this at SGinvestors.io -
  2. launch of MDRT (million-dollar round table) training programme, and
  3. increase technology-empowerment to agents.
• In China, the shift toward participating products continues, accounting for 40% of the product mix in 4Q24 and projected to increase further in FY25F. The company maintains strong cooperation with CITIC Bank (998 HK), with CITIC-Prudential Life (CPL) partnering with SCB (2888 HK) and other Chinese banks for bancassurance.
• Management reaffirmed that no further capital injection would be required in China for FY25F, which we view as positive.

Corporate actions to deliver stronger shareholder value.

• Read more at SGinvestors.io.

Above is an excerpt from a report by DBS Group Research.
Clients of DBS may access the full PDF report @ https://www.dbs.com/insightsdirect/.

Read also DBS's most recent report:
2025-04-16 Prudential - Cautiously Optimistic Start To The Year..

Price targets by other brokers at Prudential Target Prices.

Listing of research reports at Prudential Analyst Reports.

Relevant links:
Prudential Share Price History,
Prudential Announcements,
Prudential Dividend Payout Dates & Corporate Actions,
Prudential News