Allianz Pushes Into Energy Infrastructure as Buybacks Lift Stock to 52-Week High; Berenberg Sees 60% More Room

Allianz shares edged within a whisker of a new 12-month high on Tuesday, touching €423.00 as the insurance heavyweight continued to reap the rewards of an aggressive share buyback programme and solid operating momentum. The stock now sits just 0.21% below the 52-week peak of €423.90, having gained 13.19% over the past 30 days and 8.82% since the start of the year. At current levels, the price stands more than 26% above the 12-month low of €334.90.

The buyback remains the central engine of the rally. In June alone, Allianz snapped up roughly one million of its own shares at a total cost of around €386 million. As of early July, the company had repurchased nearly 4 million shares since the programme began on 13 March 2026, with a single tranche of 294,500 shares executed in the first days of July. This steady demand is effectively cushioning any downside moves and compressing the free float, while lifting earnings per share — currently €30.97, translating into a price-to-earnings ratio of roughly 13.65. With a market capitalisation of €160.84 billion and a 7.44% weighting in the DAX, Allianz ranks as the index’s fourth-largest constituent.

Berenberg analyst Michael Huttner, however, argues that the market has barely scratched the surface. He reaffirmed a target of €684 per share, implying potential upside of 60% from current levels. His thesis rests on the belief that investors are underappreciating the financial strength of European composite insurers. The sector is trading on a 2028 price-to-earnings multiple of 12, but Berenberg contends a multiple of 20 is justified over the longer term.

Operationally, Allianz provided plenty of ammunition for that bullish case. The first quarter delivered an operating profit of roughly €4.5 billion, up almost 7% year on year. The property and casualty division posted a double-digit earnings jump, while the solvency II ratio remained a rock-solid 221%. In an environment defined by global financial anxiety, the group has positioned itself as a stability anchor.

Should investors sell immediately? Or is it worth buying Allianz?

Meanwhile, the asset management arm Allianz Global Investors is making a strategic bet on Europe’s energy transition. The subsidiary sees massive capital demand from the expansion of power grids and battery storage, with a particular tailwind from artificial intelligence and data-centre growth. Allianz GI expects European data-centre capacity to double from around 20 gigawatts to 40 gigawatts over the next five years. The firm is already investing in large battery-storage projects in Germany and holds a stake in transmission grid operator Amprion.

Yet the record share price does not shield Allianz from regulatory headwinds. On Tuesday, non-governmental organisations called for an additional capital buffer of more than 20% for insurers, aimed at better covering climate risks on their balance sheets. In Germany, the long-running debate over mandatory natural-hazard insurance remains unresolved. Ergo CEO Olaf Bläser warned that without stricter building rules in flood zones and complementary prevention measures, compulsory coverage alone would achieve little.

For all the fundamental strength, the chart paints a more cautious near-term picture. The stock is trading 8.42% above its 50-day moving average of €390.14 and 12.63% above the 200-day moving average. The relative strength index on a 14-day basis stands at 80.0 — firmly in overbought territory. That suggests elevated vulnerability to short-term swings, even if the 30-day volatility reading of 13.64% remains moderate.

With a year-to-date gain of 21% already in the bag, Allianz is among the strongest performers in the DAX. The next catalyst will be the quarterly results, where the board must demonstrate it can manage normalising premium cycles and global risks effectively. Should the operational momentum hold, Berenberg’s ambitious scenario will gain considerable credibility — but the immediate hurdle posed by an overbought technical profile is one the market will have to clear first.