RBC Ups Price Target, Forecasts for Allianz on Q2 Beat, Recent Acquisitions

06:03 AM EDT, 08/10/2026 (MT Newswires) -- RBC Capital Markets lifted its price target and earnings estimates for Allianz (ALV.F), accounting for second-quarter divisional beats and the integration of recent bolt-on acquisitions. "The 2% share price decline on Friday after what we would [characterize] as stronger results than peers strikes us as somewhat churlish, albeit follows a recent period of marked outperformance. We have been conservative in not taking the full benefit of the 20% return on restructuring set out with the Q2 results, but still raise core EPS estimates 2-4%, primarily for the Q2 beat in [life and health and asset management] and recently announced bolt-on M&A," the research firm said Monday. As a result of its higher core EPS forecast, RBC's price target for the German insurer rose to 450 euros from 440 euros, with the research firm affirming its view that Allianz is "a core holding in the European insurance sector." Analysts also increased their dividend per share projections by 4% to 5%. "Management quantified a 20% [return on investment] from recycling of Bajaj stake sale gains through bond sales, reinvestments, and software write-offs. We think this provides strong underpinnings for [property and casualty] expense ratio improvements and rising investment income, but we have been cautious in putting through the full benefits on top of improvements already [modeled]. We note no change to targets now but think these gains will help sustain EPS growth at least at the top of 6-9% range. We now model 10% EPS growth through 2027," the note said. RBC rates the stock at sector perform.