Motley Fool23 Jul 2020 15:47
I believe that Aviva is too cheap to miss after the market crash. Having fallen a third in value since January 1 this FTSE 100 stock trades on a forward P/E ratio of 6 times. More tantalisingly, though, at current prices this UK share carries a mighty 10% dividend yield for 2020.
There are fears over the health of Aviva’s balance sheet but I believe these concerns are factored in at current prices. Indeed, I reckon the steps the business is taking to reduce its leverage could lead to a steady share price revival. In the long term, meanwhile, I’m confident that planned streamlining and a focus on its core UK markets where Aviva’s branding is strongest will reap handsome returns. Buying aviva shares is a great idea at current rock bottom prices.