AXA Reports Strong Full-Year 2021 Earnings in Our View

We think AXA has reported strong full-year 2021 earnings and believe shares are undervalued. The results are good across the board. Revenue has climbed by 3% in property and casualty with commercial lines up 5% within this. According to AXA management most of this commercial development is from favourable prices, particularly within AXA XL that serves as a provider of reinsurance. Revenue within the health business has climbed by 5% and this is a line of business that management are focusing on. Profitability will be good here and the strong performance has particularly come from the home market of France. Within life and savings, the business continues to focus on unit-linked products and with strong growth at home, AXA continues to focus on building out that product in Asia with particular focus on Japan and Hong Kong. Asset management has delivered a stellar performance.