Allianz's Fund Arm Does the Heavy Lifting as DZ Bank Lifts Fair Value to €508
Published on 11/14/2026 at 16:21 | Editorial boerse-global.de
Allianz's asset management division has emerged as the group's earnings engine, and the DZ Bank has taken notice. On Thursday, following the insurer's quarterly figures, the analysis house raised its fair value estimate to €508 from €495 while reaffirming its buy recommendation. Analyst Thorsten Wenzel singled out the strength of the money-management business, which he said had paved the way for the upgraded profit guidance, and pointed to the company's solid solvency position as the foundation for continued generous payouts.
The capital backing is indeed substantial. Allianz reported a Solvency II ratio of 219%, and its share buyback of up to €2.5 billion — first announced on 25 February — was fully completed in September. That combination of balance-sheet strength and returning cash to shareholders sits alongside the operating story as a core part of the investment case.
A Tale of Two Divisions
The quarterly numbers lay out why the fund arm matters so much right now. In property and casualty insurance, operating profit fell 7.9% year on year to €2.20 billion in the third quarter of 2026, with natural catastrophes weighing on the business and pushing the combined ratio up to 93.8%. Asset management moved in the opposite direction: operating profit there jumped 35.1% to €1.12 billion, more than offsetting the damage in underwriting.
Client money followed the performance. Net inflows into the asset management business reached €47 billion, lifting externally managed assets to €2.15 trillion at the end of September — nearly 12% above the year-earlier level. That growing asset base gives the division a stronger platform, provided it can hold onto the flows and keep managing them profitably.
Should investors sell immediately? Or is it worth buying Allianz?
At group level, the first nine months of 2026 produced an operating result of €14.1 billion, an increase of 7.8% over the same period a year earlier. The third quarter alone contributed €4.7 billion, up 6.2% year on year. On Wednesday, Allianz had already lifted the top end of its full-year operating profit guidance to roughly €18.6 billion — a target that carries the usual caveat of major natural catastrophes or capital market upheaval.
Brokers Divided on the Shares
Not everyone on the sell side is cheering. JPMorgan confirmed a "Neutral" rating on Thursday after the results, while Jefferies stuck with "Hold" and a €440 price target. The DZ Bank's more bullish stance rests on the same set of facts the doubters see: the ability to absorb losses in one division through strength in another.
The stock itself gained 1.3% on Wednesday to close at €476.20, with European insurance shares continuing their upward march, according to dpa-AFX.
Allianz at a turning point? This analysis reveals what investors need to know now.
Whether the group's cushion holds depends on the interplay between fund inflows and claims experience. A broader improvement in earnings would require the insurance side's profitability to recover, rather than leaving asset management to carry the load alone.
Ad
Allianz Stock: New Analysis - 14 November
Fresh Allianz information released. What's the impact for investors? Our latest independent report examines recent figures and market trends.
