Even as the FTSE 100 trades near all-time highs, analysts argue that certain companies remain significantly mispriced by the broader market.
Institutional buy lists are quietly flagging two names in particular: Croda International (LSE: CRDA) and Aviva (LSE: AV.), both of which analysts believe have been overlooked during the recent market rally.
Croda International is a speciality chemicals group supplying high-performance ingredients to the cosmetics, pharmaceuticals, and agriculture sectors worldwide.
The shares have fallen more than 70% since 2022, largely because the post-pandemic collapse in Covid vaccine demand wiped out a significant chunk of revenue overnight.
Analyst teams at Barclays, UBS, JP Morgan, and Berenberg share the view that the market has drastically oversold the stock following that sharp decline.
Underlying operating margins are forecast to expand from 17.4% in 2025 to 18.4% this year, rising further to 19.5% in 2027 on the back of a £100m cost savings programme.
Free cash flow surged in the second half of 2025, and the crop protection segment delivered 14% revenue growth last year, adding further weight to the recovery case.
However, Croda’s Consumer Care segment faces intensifying competition from lower-cost manufacturers in China and India, which is undercutting margins and slowing progress.
With a complex global supply chain, any further trade disruption from US tariffs could also squeeze earnings faster than management’s current guidance assumes.
Aviva, one of the UK’s largest insurers and wealth managers, covering life insurance, general insurance, and retirement savings across the UK, Ireland, and Canada, is the second name drawing institutional attention.
Multiple institutional analysts have issued buy ratings on Aviva, with price targets ranging from 670p to 760p against a current share price of around 630p.
The median target implies upside of roughly 13.5%, and when combined with a 6.3% dividend yield, total returns could approach 20% over the next 12 months according to those projections.
Structural demand is central to the bull case, with the UK retirement savings market growing rapidly as the population ages and Aviva positioned to capture a meaningful share of that expansion.
The integration of its Direct Line acquisition has already delivered flat premium growth, and net insurance margins are described as being on the rise.
Execution risk remains the key concern, as integrating a major acquisition while simultaneously scaling a wealth management operation is a complex balancing act that leaves little room for error.
Any slip in claims ratios, integration costs, or retirement outflows could weigh on Aviva’s share price quickly, making careful monitoring essential for investors considering a position.
Both Croda and Aviva represent value opportunities that analysts believe are being underpriced in a market that has largely moved ahead without them, yet their underlying results are becoming increasingly difficult to ignore.