11 March 2026
If you are covering L&G's latest results, please see the following comment from Phil Ross, equity research analyst at Quilter Cheviot:
Legal & General has delivered a solid set of numbers, supported by new clearer disclosures and a notably strong capital return. However, the dip in the solvency ratio has taken the edge off the share price at the open, but it needs to be read in context. The solvency ratio is essentially a snapshot of an insurer’s financial resilience, comparing available capital with the regulatory capital required. Even after today’s move, L&G remains well above the top end of its new target range, which underlines the strength of the balance sheet rather than weakness.
For investors, an important signal is the excess cash being returned to their pockets. A generous dividend alongside a sizeable buyback pushes the overall yield into the high‑teens, which is hard to ignore in the current market. While the solvency headline may attract attention today, the underlying message is that L&G is in a robust position to continue rewarding shareholders.
