How to buy Aviva shares | 286.6p

Aviva plc (AV) is a leading insurance—diversified business based in the UK. It opened the day at 292.7p after a previous close of 287.3p. During the day the price has varied from a low of 286.2p to a high of 292.7p. The latest price was 286.6p (25 minute delay). Aviva is listed on the London Stock Exchange (LSE) and employs 31,181 staff. All prices are listed in pence sterling.

How to buy shares in Aviva

1. Choose a platform. If you're a beginner, our share-dealing table below can help you choose.
2. Open your account. You'll need your ID, bank details and national insurance number.
3. Confirm your payment details. You'll need to fund your account with a bank transfer, debit card or credit card.
4. Search the platform for stock code: AV in this case.
5. Research Aviva shares. The platform should provide the latest information available.
6. Buy your Aviva shares. It's that simple.

How has Coronavirus impacted Aviva's share price?

Since the stock market crash in March caused by coronavirus, Aviva's share price has had significant negative movement.

Its last market close was 282.2p, which is 30.17% down on its pre-crash value of 404.1p and 37.19% up on the lowest point reached during the March crash when the shares fell as low as 205.7p.

If you had bought £1,000 worth of Aviva shares at the start of February 2020, those shares would have been worth £525.66 at the bottom of the March crash, and if you held on to them, then as of the last market close they'd be worth £703.04.

Aviva share price

Use our graph to track the performance of AV stocks over time.

Aviva shares at a glance

• Live prices
• Key figures

Information last updated 2020-09-29.

Open	292.7p
High	292.7p
Low	286.2p
Close	286.6p
Previous close	287.3p
Change	-0.7p
Change %	-0.244%
Volume	6,583,330

Information last updated 2020-10-20.

52-week range	205.7p - 439.4p
50-day moving average	279.8743p
200-day moving average	270.7489p
Wall St. target price	551.33p
PE ratio	5.1348
Dividend yield	0.06p (2.13%)
Earnings per share (TTM)	54.9p

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All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Capital is at risk.

Is it a good time to buy Aviva stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

Aviva price performance over time

Historical closes compared with the last close of 286.6p

1 week (2020-10-15)	2.76%
1 month (2020-09-25)	2.39%
3 months (2020-07-24)	1.99%
6 months (2020-04-24)	24.39%

1 year (2019-10-25)	-31.91%
2 years (2018-10-25)	-31.45%
3 years (2017-10-25)	-42.91%
5 years (2015-10-23)	-40.37%

Is Aviva under- or over-valued?

Valuing Aviva stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Aviva's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

Aviva's P/E ratio

Aviva's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 5x. In other words, Aviva shares trade at around 5x recent earnings.

That's relatively low compared to, say, the trailing 12-month P/E ratio for the FTSE 250 at the end of September 2019 (19.71). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.

However, Aviva's P/E ratio is best considered in relation to those of others within the insurance—diversified industry or those of similar companies.

• Admiral Group (ADM.LSE): 16.40
• Direct Line Insurance Group (DLG.LSE): 10.09
• AA (AA.LSE): 2.29

Aviva's PEG ratio

Aviva's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 1.8748. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.

The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into Aviva's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.

However, it's sensible to consider Aviva's PEG ratio in relation to those of similar companies.

• Admiral Group (ADM.LSE): 1.62
• Direct Line Insurance Group (DLG.LSE): 7.04

Aviva's EBITDA

Aviva's EBITDA (earnings before interest, taxes, depreciation and amortisation) is a whopping £3.7 billion.

The EBITDA is a measure of a Aviva's overall financial performance and is widely used to measure a its profitability.

To put Aviva's EBITDA into context you can compare it against that of similar companies.

• Admiral Group (ADM.LSE): £623.5 million
• Direct Line Insurance Group (DLG.LSE): £611.5 million
• AA (AA.LSE): £270 million
• Saga (SAGA.LSE): £85.4 million

Aviva financials

Revenue TTM	£37.2 billion
Operating margin TTM	9.1%
Gross profit TTM	£13.9 billion
Return on assets TTM	0.45%
Return on equity TTM	12.2%
Profit margin	6.05%
Book value	4.73p
Market capitalisation	£11.1 billion

TTM: trailing 12 months

Aviva's environmental, social and governance track record

Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like Aviva.

When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.

Aviva's total ESG risk score

Total ESG risk: 26.64

Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and Aviva's overall score of 26.64 (as at 10/01/2020) is pretty good – landing it in it in the 37th percentile of companies rated in the same sector.

ESG scores are increasingly used to estimate the level of risk a company like Aviva is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).

To gain some more context, you can compare Aviva's total ESG risk score against those of similar companies.

• Admiral Group (ADM.LSE): 25.17
• Direct Line Insurance Group (DLG.LSE): 22.25

Aviva's environmental score

Environmental score: 4.45/100

Aviva's environmental score of 4.45 puts it squarely in the 5th percentile of companies rated in the same sector. This could suggest that Aviva is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.

Aviva's social score

Social score: 14.07/100

Aviva's social score of 14.07 puts it squarely in the 5th percentile of companies rated in the same sector. This could suggest that Aviva is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.

Aviva's governance score

Governance score: 13.12/100

Aviva's governance score puts it squarely in the 5th percentile of companies rated in the same sector. That could suggest that Aviva is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.

Aviva's controversy score

Controversy score: 2/5

ESG scores also evaluate any incidences of controversy that a company has been involved in. A high-profile company, Aviva scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that Aviva has, for the most part, managed to keep its nose clean.

Wondering how that compares? Below are the controversy scores of similar companies.

• Admiral Group (ADM.LSE): 1
• Direct Line Insurance Group (DLG.LSE): 2

Environmental, social, and governance (ESG) summary

Aviva plc was last rated for ESG on: 2020-10-01.

Total ESG score	26.64
Total ESG percentile	37.04
Environmental score	4.45
Environmental score percentile	5
Social score	14.07
Social score percentile	5
Governance score	13.12
Governance score percentile	5
Level of controversy	2

Aviva share dividends

Dividend payout ratio: 4981.82% of net profits

Recently Aviva has paid out, on average, around 4981.82% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 2.13% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), Aviva shareholders could enjoy a 2.13% return on their shares, in the form of dividend payments. In Aviva's case, that would currently equate to about 0.06p per share.

Aviva's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.

The latest dividend was paid out to all shareholders who bought their shares by 13 August 2020 (the "ex-dividend date").

Aviva's dividend payout ratio is perhaps best considered in relation to those of similar companies.

• Admiral Group (ADM.LSE): 6,625.00%
• Direct Line Insurance Group (DLG.LSE): 8,074.07%
• AA (AA.LSE): 5.17%
• Saga (SAGA.LSE): 0.00% (does not pay dividend)

Have Aviva's shares ever split?

Aviva's shares were split on a 12:11 basis on 25 March 2009. So if you had owned 11 shares the day before before the split, the next day you'd have owned 12 shares. This wouldn't directly have changed the overall worth of your Aviva shares – just the quantity. However, indirectly, the new 8.3% lower share price could have impacted the market appetite for Aviva shares which in turn could have impacted Aviva's share price.

Aviva share price volatility

Over the last 12 months, Aviva's shares have ranged in value from as little as 205.7p up to 439.4p. A popular way to gauge a stock's volatility is its "beta".

Beta is a measure of a share's volatility in relation to the market. The market (LSE average) beta is 1, while Aviva's is 1.1028. This would suggest that Aviva's shares are a little bit more volatile than the average for this exchange and represent, relatively-speaking, a slightly higher risk (but potentially also market-beating returns).

To put Aviva's beta into context you can compare it against those of similar companies.

• Admiral Group (ADM.LSE): 0.3307
• Direct Line Insurance Group (DLG.LSE): 0.3485
• AA (AA.LSE): 2.093
• Saga (SAGA.LSE): 1.3313

Aviva overview

Aviva plc provides various insurance and savings products primarily in the United Kingdom, rest of Europe, North America, and South-East Asia. The company offers life insurance, long term health and accident insurance, savings, pension, and annuity products, as well as pension fund business and lifetime mortgage products. It also provides insurance cover to individuals, small and medium-sized businesses for risks associated primarily with motor vehicles and medical expenses, as well as property and liability, such as employers' and professional indemnity liabilities. In addition, the company offers personal and commercial lines insurance products; long-term insurance and savings products, primarily for individuals. Further, it provides investment management services for institutional pension fund mandates; and manages various retail investment products, including investment funds, unit trusts, open-ended investment companies, and individual savings accounts for third-party financial institutions, pension funds, public sector organizations, investment professionals, and private investors. Additionally, the company offers asset management, retirement, and protection insurance products. The company markets its products through a network of insurance brokers, as well as MyAviva platform. The company was formerly known as CGNU plc and changed its name to Aviva plc in July 2002. Aviva plc was founded in 1696 and is headquartered in London, the United Kingdom.

Frequently asked questions

• Where can I buy Aviva shares in the UK?

  You can buy and sell Aviva shares on the London Stock Exchange (LSE: AV) in the UK, and can also get indirect exposure to the Aviva share price by investing in a FTSE 100 index fund or exchange-traded fund.

• What affects the Aviva share price?

  The Aviva share price will change based on a number of factors, including the company's fundamentals, such as earnings, profits, outlook and performance, and wider stock market trends. Like with many stocks, the price of Aviva shares also declined in February and March 2020 as a result of the coronavirus stock market crash.

• What percentage of Aviva is owned by insiders or institutions?

  Currently 0.426% of Aviva shares are held by insiders and 54.583% by institutions.

• How many people work for Aviva?

  Latest data suggests 31,181 work at Aviva.

• When does the fiscal year end for Aviva?

  Aviva's fiscal year ends in December.

• Where is Aviva based?

  Aviva's address is: St Helen?s, London, United Kingdom, EC3P 3DQ

• What is Aviva's ISIN number?

  Aviva's international securities identification number is: GB0002162385