Berenberg Expects AXA to Achieve Top End of 2027-2029 EPS Growth Target

12:04 PM EDT, 09/23/2026 (MT Newswires) -- Berenberg expects AXA (CS.PA) to achieve the top end of its recently upgraded underlying EPS compound annual growth rate target of between 7% and 9% for the 2027 to 2029 period. "The new higher underlying EPS growth target is driven by higher targeted top-line growth, which we think is credible for three reasons: 1) in non-life, it leverages AXA's strong achieved growth in its international (Egypt, Colombia and Turkey) and direct businesses; 2) in life, it reflects AXA's continued investment in distribution and products, mainly unit-linked and protection; and 3) in short-term life and health, the 6-7% top-line target is, in our view, conservative as AXA is on track to achieve a 6% CAGR in 2024-26 in spite of having reorganised its business and raised margins by 310bp," according to a note published Wednesday. Under its 2024 to 2026 strategic plan, the French insurance group's underlying EPS compound annual growth rate target stands at the 6% to 8% range. The research firm forecasts an "attractive" 9.1% compound annual growth rate in underlying EPS for AXA over the 2027 to 2029 period, bolstered by an expected 5.5% top-line increase, central cost savings, improved health margins and the reduction in share count from buybacks, among other positive factors. The buy recommendation on the stock and price target of 77 euros remain unchanged.