Jefferies has released a research report expressing that FWD (01828) presents an attractive valuation, prompting the firm to lift its target price from HK$37.4 to HK$40.9 while reaffirming a "Buy" rating on the stock.

The company's business growth accelerated in the first half of the year, with improved gross margins and continued operating leverage becoming evident. Demand from Hong Kong remains resilient, and despite ongoing economic volatility acting as a drag, the core business performance has surpassed expectations.

Notably, FWD's mid-year annualized premium exceeded the analyst's forecast by 1%, while new business value outperformed projections by 15%, driven by a favorable shift in product mix that boosted profit margins.