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M&G Plc (GB:MNG)
LSE:MNG

M&G Plc (MNG) AI Stock Analysis

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GB:MNG

M&G Plc

(LSE:MNG)

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Neutral 61 (OpenAI - 5.2)
Rating:61Neutral
Price Target:
290.00p
▼(-1.93% Downside)
M&G Plc's overall stock score is driven by positive technical indicators and strong corporate events that highlight financial resilience and strategic alignment. However, financial performance concerns, including high leverage and cash flow issues, weigh down the score. The high dividend yield offers some compensation for the financial risks.
Positive Factors
Strong Cash Reserves
Substantial cash reserves offer M&G the ability to navigate financial challenges and invest in growth opportunities, supporting long-term stability.
Revenue Growth
Despite volatility, the revenue increase indicates potential for market expansion and improved client engagement, essential for long-term growth.
High Gross Profit Margin
A strong gross profit margin reflects efficient cost management and pricing power, crucial for sustaining profitability in the long run.
Negative Factors
High Leverage
High leverage can increase financial risk and limit strategic flexibility, potentially impacting M&G's ability to invest in growth initiatives.
Cash Flow Challenges
Declining cash flow can strain operations and hinder M&G's capacity to fund new projects or weather economic downturns, affecting long-term viability.
Operational Inefficiencies
Operational inefficiencies can erode profitability and competitiveness, necessitating strategic changes to enhance efficiency and financial performance.

M&G Plc (MNG) vs. iShares MSCI United Kingdom ETF (EWC)

M&G Plc Business Overview & Revenue Model

Company DescriptionM&G plc, through its subsidiaries, engages in savings and investment businesses in the United Kingdom and internationally. The company operates through two segments, Asset Management, and Retail and Savings. It offers retirement, savings, and investment management solutions to its retail and institutional customers. The company also provides individual and corporate pensions, annuities, life, savings, and investment products. It serves individual savers and investors, financial advisers and paraplanners, and institutional investors. The company was formerly known as M&G Prudential PLC and changed its name to M&G plc in September 2019. M&G plc was founded in 1848 and is headquartered in London, the United Kingdom.
How the Company Makes MoneyM&G Plc generates revenue primarily through its investment management and insurance operations. The company earns fees from managing assets on behalf of individual and institutional clients, including mutual funds, pensions, and other investment vehicles. These fees are typically based on a percentage of the assets under management (AUM) and may include performance-related fees when investment results exceed certain benchmarks. In addition to investment management fees, M&G earns premiums from its insurance products, such as life insurance and annuities, which provide a stable source of revenue. The company also benefits from its strategic partnerships and distribution agreements, which expand its reach and customer base, further contributing to its earnings. Market performance, interest rates, and regulatory environments are significant factors influencing M&G's financial outcomes.

M&G Plc Earnings Call Summary

Earnings Call Date:Mar 19, 2025
(Q4-2024)
|
% Change Since: |
Next Earnings Date:Mar 10, 2026
Earnings Call Sentiment Positive
The earnings call highlighted strong financial performance with impressive capital generation, asset management growth, and successful cost-saving measures. However, the challenges of client outflows and market volatility were also evident. The overall sentiment leans positive due to the strength in growth areas and strategic achievements.
Q4-2024 Updates
Positive Updates
Record-Breaking Capital Generation
M&G generated over £900 million of capital, exceeding the upgraded OCG target and allowing for debt reduction and increased dividend cash spend.
Strong Asset Management Performance
Group operating profit increased by 5%, driven by a nearly 20% improvement in asset management results. Average AUM grew by nearly 3% with improved cost efficiencies.
International Growth and Diversification
International assets grew by 50% over the past 4 years, with 56% of third-party assets belonging to international clients, enhancing financial resilience.
Simplification and Cost Savings Achievements
Achieved £188 million in savings and upgraded the cost target to £230 million by the end of 2025, with a focus on reducing the cost-to-income ratio.
Launch of New Value Share Proposition
Introduced a new value share BPA, completing 6 deals worth £1.7 billion, including a £500 million indicative value share transaction.
Negative Updates
Net Client Outflows
Net client outflows of £1.9 billion were mainly due to U.K. institutional asset management and PruFund, although PruFund outflows halved in the final 6 months.
Decline in PruFund Sales
PruFund has been impacted by high rates, resulting in lower sales and higher redemptions, though redemptions have started to reduce.
Impact of Market Volatility
Short-term market fluctuations led to significant negative impacts below the line, including £643 million from market short-term impacts and £333 million from IFRS 17 mismatches.
Company Guidance
During the call, M&G provided comprehensive guidance on their financial performance and strategic priorities for the fiscal year 2024. They announced over £900 million in capital generation, surpassing their upgraded capital generation (OCG) target, which enabled them to reduce debt and increase dividend cash spend for the first time since their listing in 2019. They declared a shift to a progressive dividend policy, starting with a 2% increase in dividend per share (DPS) for 2024. M&G also reported £188 million in savings over the first two years of their simplification program and upgraded their cost-saving target to £230 million by the end of 2025. Their asset management segment achieved a 20% improvement in results, contributing to a 5% year-on-year increase in group operating profit. M&G is poised to expand its presence in private markets, leveraging its competitive advantage of combining an international active asset manager with a scaled life business. They also highlighted their £185 billion in life operations assets and the strategic use of their With-Profit fund’s nearly £6 billion of surplus capital to drive long-term growth without adding risk to the balance sheet.

M&G Plc Financial Statement Overview

Summary
M&G Plc faces several financial challenges, including inconsistent revenue growth, operational inefficiencies, and high leverage. While there is some strength in its cash reserves, the declining equity and cash flow concerns highlight the need for strategic adjustments to improve long-term financial health.
Income Statement
M&G Plc's revenue showed a slight increase from the previous year but has faced a volatile trajectory over the years with a recent net income decline to a loss. The gross profit margin remains strong at 100% due to the nature of its business model. However, the lack of EBIT and negative net income indicates challenges in operational efficiency and profitability.
Balance Sheet
The company's balance sheet reflects a high leverage position with a debt-to-equity ratio of 2.11. The stockholders' equity has decreased over time, indicating potential financial instability. However, M&G maintains substantial cash reserves, which provides some financial flexibility.
Cash Flow
M&G's cash flow situation is concerning, with a significant decrease in free cash flow and a negative growth rate, indicating potential liquidity issues. The operating cash flow to net income ratio is impacted by negative net income, further highlighting cash flow challenges.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue10.61B11.26B10.66B-7.94B16.25B15.76B
Gross Profit7.60B11.26B15.15B-7.94B16.25B15.76B
EBITDA925.00M754.00M1.27B-2.58B1.09B2.11B
Net Income-55.00M-360.00M297.00M-1.63B83.00M1.14B
Balance Sheet
Total Assets184.08B184.22B189.62B190.37B217.47B216.97B
Cash, Cash Equivalents and Short-Term Investments0.004.84B5.59B4.88B6.91B6.78B
Total Debt6.35B6.91B8.03B7.96B9.34B8.62B
Total Liabilities180.81B180.90B185.10B187.54B212.12B211.38B
Stockholders Equity3.23B3.28B4.04B2.78B5.30B5.58B
Cash Flow
Free Cash Flow1.09B388.00M1.52B-1.27B352.00M1.57B
Operating Cash Flow1.30B677.00M2.02B-694.00M1.12B2.39B
Investing Cash Flow1.00M152.00M-603.00M-368.00M-466.00M-957.00M
Financing Cash Flow-827.00M-1.14B-680.00M-1.01B-501.00M-691.00M

M&G Plc Technical Analysis

Technical Analysis Sentiment
Positive
Last Price295.70
Price Trends
50DMA
275.43
Positive
100DMA
265.76
Positive
200DMA
247.00
Positive
Market Momentum
MACD
6.50
Negative
RSI
75.72
Negative
STOCH
76.61
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:MNG, the sentiment is Positive. The current price of 295.7 is above the 20-day moving average (MA) of 285.03, above the 50-day MA of 275.43, and above the 200-day MA of 247.00, indicating a bullish trend. The MACD of 6.50 indicates Negative momentum. The RSI at 75.72 is Negative, neither overbought nor oversold. The STOCH value of 76.61 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:MNG.

M&G Plc Peers Comparison

Overall Rating
UnderperformOutperform
Sector (68)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
78
Outperform
£3.74B11.796.50%7.21%-7.11%0.45%
78
Outperform
£3.90B12.2441.56%5.93%4.28%5.18%
77
Outperform
£6.48B18.248.30%5.37%4.78%-4.86%
76
Outperform
£5.91B10.0624.36%4.13%28.34%44.04%
76
Outperform
£2.85B20.6012.23%5.71%-10.85%-42.02%
68
Neutral
$18.00B11.429.92%3.81%9.73%1.22%
61
Neutral
£7.02B-120.20-1.53%7.09%9.86%-134.41%
* Financial Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:MNG
M&G Plc
295.70
119.78
68.09%
GB:ICG
Intermediate Capital
2,092.00
149.48
7.70%
GB:EMG
Man Group plc
255.80
67.57
35.90%
GB:SDR
Schroders
417.80
130.93
45.64%
GB:ABDN
Aberdeen Group
209.80
85.85
69.26%
GB:N91
Ninety One
223.80
94.04
72.47%

M&G Plc Corporate Events

Regulatory Filings and Compliance
M&G Confirms Total Voting Rights and Share Capital Structure
Neutral
Jan 2, 2026

M&G plc has confirmed that, as at 31 December 2025, its issued share capital consisted of 2,412,524,010 ordinary shares of 5 pence each, of which 3,414,030 shares are held in treasury and therefore excluded from dividend payments and voting at shareholder meetings. This leaves a total of 2,409,109,980 voting rights in the company, a figure that shareholders and market participants will use as the reference denominator for calculating and disclosing their holdings under UK transparency rules, ensuring proper compliance with regulatory reporting requirements and clarity over M&G’s capital and governance structure.

The most recent analyst rating on (GB:MNG) stock is a Hold with a £290.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Regulatory Filings and Compliance
M&G Discloses Share Sale by Chief Information Technology Officer
Neutral
Dec 22, 2025

M&G plc has disclosed that its Chief Information Technology Officer, Christopher Cochrane, sold 1,261 ordinary shares in the company on 18 December 2025 via his M&G Share Incentive Plan holdings, at a price of £2.8169 per share. The transaction has been reported in line with Market Abuse Regulation requirements governing dealings by senior management, providing transparency on executive share dealings for investors and regulators.

The most recent analyst rating on (GB:MNG) stock is a Hold with a £290.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Business Operations and StrategyExecutive/Board Changes
M&G Plc Executives Engage in Share Incentive Plan
Positive
Dec 10, 2025

M&G Plc announced that several of its senior executives, including the Group General Counsel, Chief People Officer, and Chief Transformation and Integration Officer, have participated in the M&G UK Share Incentive Plan. These executives purchased partnership shares and were granted matching shares as part of the plan. This move aligns with the company’s strategy to incentivize its leadership team, potentially impacting the company’s market positioning by aligning managerial interests with shareholder value.

The most recent analyst rating on (GB:MNG) stock is a Hold with a £305.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Regulatory Filings and Compliance
M&G Plc’s Chief People Officer Sells 117,000 Shares
Neutral
Dec 1, 2025

M&G Plc announced that Matthew Howells, the Chief People Officer, sold 117,000 ordinary shares at a price of £2.725 each on November 28, 2025. This transaction was disclosed in compliance with the Market Abuse Regulation, potentially impacting the company’s stock market perception and stakeholder interests.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £3.10 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Regulatory Filings and Compliance
M&G Plc Updates on Voting Rights and Share Capital
Neutral
Dec 1, 2025

M&G Plc announced its total voting rights and issued share capital as of November 30, 2025. The company reported an issued share capital of 2,412,311,204 ordinary shares, with 3,414,030 shares held in treasury, resulting in 2,408,897,174 voting rights. This update is crucial for shareholders to determine their notification requirements under the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £3.10 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
M&G plc Demonstrates Financial Resilience in 2025 Stress Test
Positive
Nov 24, 2025

M&G plc has demonstrated its financial resilience through the Prudential Regulation Authority’s 2025 Life Insurance Stress Test. Despite a projected decrease in the Group Shareholder ratio from 223% to 171% under severe market stress conditions, M&G remains within its long-term target range, showcasing its robust financial standing. The stress test, which evaluated large life insurers’ resilience to evolving market stresses, confirmed that M&G’s Prudential Assurance Company Ltd remains well-capitalized, maintaining a strong position in the industry and reassuring stakeholders of its stability.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £3.10 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
M&G Plc Executives Acquire Shares Under Incentive Plan
Positive
Nov 13, 2025

M&G Plc announced the acquisition of partnership and matching shares by key managerial personnel under the M&G UK Share Incentive Plan. This move, involving figures such as the Group Chief Risk and Compliance Officer and the Chief Transformation and Integration Officer, aligns with regulatory requirements and reflects the company’s commitment to aligning employee interests with shareholder value, potentially enhancing stakeholder confidence.

The most recent analyst rating on (GB:MNG) stock is a Hold with a £265.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Business Operations and StrategyDividends
M&G plc Releases Dividend Equivalent Shares to Key Executives
Neutral
Nov 5, 2025

M&G plc has announced the release of dividend equivalent shares to its Persons Discharging Managerial Responsibilities (PDMRs) following the company’s interim dividend payment. These shares, accrued as part of deferred incentive share plan awards, were released to PDMRs, who retained shares after covering tax liabilities and sale costs. This move reflects M&G’s ongoing commitment to aligning management incentives with shareholder interests, potentially impacting the company’s operational dynamics and stakeholder relations.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £298.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Business Operations and StrategyFinancial Disclosures
M&G plc Reports Strong Q3 2025 Performance with Significant Net Inflows
Positive
Nov 5, 2025

M&G plc reported a strong performance in Q3 2025, with £1.5 billion net inflows in Asset Management from external clients and a total of £1.8 billion net inflows from open business. The company’s Asset Management AUMA rose to £335 billion, driven by client demand across asset classes and geographies. The Life segment also saw growth, with PruFund achieving net flows of £0.2 billion and Bulk Purchase Annuities transactions reaching £0.3 billion. M&G continues to execute its strategy effectively, maintaining momentum despite a volatile macroeconomic environment, and is on track to launch its With-Profits BPA in Q1 2026.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £298.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Regulatory Filings and Compliance
M&G Plc Announces Updated Voting Rights and Share Capital
Neutral
Nov 3, 2025

M&G Plc has announced its total voting rights and issued share capital as of October 31, 2025. The company reported an issued share capital of 2,408,454,934 ordinary shares, with 3,414,030 shares held in treasury, leaving 2,405,040,904 voting rights available. This information is crucial for shareholders to determine their interest or changes in interest under the Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £342.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Regulatory Filings and Compliance
M&G Plc Discloses 1.96% Stake in Permanent TSB Group Holdings
Neutral
Oct 31, 2025

M&G Plc has disclosed its opening position in the securities of Permanent TSB Group Holdings plc, holding 10,697,977 shares, which represents a 1.96% interest. This disclosure is part of the regulatory requirements under the Irish Takeover Panel Act, 1997, and reflects M&G’s investment activities and interests in the financial sector.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £342.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Executive/Board ChangesRegulatory Filings and Compliance
M&G plc Announces Shareholding Changes for Key Executive
Neutral
Oct 22, 2025

M&G plc has announced a change in the personal shareholding of Benoît Macé, the Chief Transformation & Integration Officer, following the reinvestment of an interim dividend. This transaction, compliant with the Market Abuse Regulation, involved the acquisition of 3,424 ordinary shares at a price of £2.559 each, reflecting the company’s ongoing commitment to transparency and regulatory compliance.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £342.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Business Operations and StrategyDividends
M&G Plc Reports Changes in Managerial Share Interests Post-Dividend
Positive
Oct 21, 2025

M&G Plc announced changes in the interests of certain Persons Discharging Managerial Responsibilities (PDMRs) following the payment of an interim dividend. On October 17, 2025, these PDMRs accrued dividend equivalent shares on deferred and long-term incentive plans, which are subject to the same terms as the original awards. Additionally, some PDMRs acquired dividend shares through the M&G UK Share Incentive Plan due to the automatic reinvestment of the interim dividend. These transactions reflect the company’s ongoing commitment to aligning management interests with shareholder value, potentially impacting stakeholder confidence positively.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £342.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Business Operations and StrategyRegulatory Filings and Compliance
M&G Plc Executives Acquire Shares Under Incentive Plan
Positive
Oct 13, 2025

M&G Plc announced that its key executives, including the Group General Counsel, Chief People Officer, and Chief Transformation and Integration Officer, have purchased partnership shares and received matching shares under the M&G UK Share Incentive Plan. This move, disclosed in compliance with the Market Abuse Regulation, underscores the company’s commitment to aligning management interests with shareholder value, potentially strengthening stakeholder confidence and enhancing M&G’s market position.

The most recent analyst rating on (GB:MNG) stock is a Buy with a £342.00 price target. To see the full list of analyst forecasts on M&G Plc stock, see the GB:MNG Stock Forecast page.

Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Dec 07, 2025