BofAS initiated coverage on FWD with a Buy rating and a target price of HKD43.2, citing expected growth in the company's Value of New Business (VNB) of 17% to 19% over the next two to three years, which is higher than the growth projected for larger competitors. Additionally, FWD is optimizing its capital and financing structure to improve profitability, and its current valuation is significantly lower than industry leader AIA, suggesting potential for valuation improvement.
