Jefferies has raised its price target on Quilter PLC (LSE:QLT) to 245p from 220p and reiterated a 'buy' rating after lifting its forecasts by around 10%.
Quilter, the London and Johannesburg-listed wealth manager, is expected to benefit from strong equity markets, which the broker estimates delivered a 13% tailwind to assets during the second quarter.
Jefferies raised its forecast for end-of-period assets under management and administration to £156.6 billion for the year to December, up 4% on its previous estimate.
The bank lifted its adjusted pre-tax profit forecast for the year by 8% to £248 million, and now expects £274 million in the year to December 2027.
Analyst Julian Roberts argued that Quilter's platform, which hosts investments for financial advisers, will keep winning market share and gradually push up its earnings multiple.
The broker kept its inflow assumptions unchanged at 3% to 4% a year, well below the 6% to 7% the company has achieved over the past 18 months, leaving what it described as room for upside.
Jefferies pointed to growing talk of assets concentrating on the top three or four adviser platforms, a group that includes Quilter, which took in more than £2.2 billion of net flows in each quarter last year and £3.1 billion in the first quarter of 2026.
The bank sees further value in Quilter Cheviot, its discretionary fund management arm, which it regards as saleable and a source of value that could help the shares re-rate more quickly.
The new target values Quilter at 15.5 times forecast 2027 earnings, broadly in line with rival IntegraFin, and implies a dividend yield of around 4% at the current price.
Quilter shares rose 3% to 202.6p, leaving 25% upside to the new target, with interim results due on 6 August.
