Highlights

  • GDG reported 58% growth in gross inflows for the September 2024 quarter and total FUM of AUD 4.8 billion as at September 2025.
  • Challenger recorded AUD 2.5 billion in total life sales, with lifetime annuity sales up 16%.
  • Infratil delivered a 7% increase in operational EBITDAF and reported a net parent surplus of AUD 606 million.

Analysts are highlighting three ASX financial shares as potential movers in 2026, as per the consensus ratings and target prices data gathered from Refinitiv. Challenger Limited (ASX: CGF), Generation Development Group Ltd (ASX: GDG), and Infratil Limited (ASX: IFT) have all received buy ratings, with Refinitiv target prices indicating potential share price growth in 2026.

According to Refinitiv data, CGF holds a consensus buy rating with a target price of AUD 9.55. GDG has a consensus buy rating with a target price of AUD 7.90. IFT is rated buy with a target price of AUD 11.66.

Generation Development Group: Inflows and FUM Growth Continue

Generation Development Group Ltd (ASX:GDG), ad iversified financial services group, reported higher inflows and funds under management growth across recent periods. Gross inflows in the September 2024 quarter rose 58% compared to the prior corresponding period, reaching AUD 330 million.

Between June 2025 and September 2025, sales inflows totalled AUD 275 million, while net inflows for the same period stood at AUD 1,136 million. Total funds under management (FUM) increased 34% year-on-year to AUD 4.8 billion as at September 2025. FUM grew by AUD 413 million between July 2025 and September 2025.

GDG shares were trading at AUD 5.95 on 8 January, up 1.19% on the day.

Challenger Limited: Annuity Sales and Capital Position Update

Challenger Limited (ASX:CGF), multi-faceted financial services organisation, reported total life sales of AUD 2.5 billion in the first quarter, representing a 4% increase year-on-year. Lifetime annuity sales rose 16% to AUD 320 million, while fixed-term annuity sales increased 29% to AUD 1.1 billion. Japanese sales remained stable at AUD 246 million.

Annuity net book growth reached AUD 415 million, equivalent to 2.5% for the quarter. Challenger Life reported a PCA ratio of 1.58 times. Funds Management FUM declined 3% to AUD 109.6 billion, while Group AUM decreased 2% to AUD 120.9 billion for the quarter.

Infratil: Earnings Update and Portfolio Changes

Infratil Limited (ASX:IFT), Owner and operator of businesses in the energy (mainly renewable), transport, data infrastructure and social infrastructure sectors, recorded a lift in earnings for the six months ended 30 September 2025. Proportionate operational EBITDAF increased 7% to AUD 514 million. Proportionate capital expenditure declined by AUD 52 million to AUD 1,139 million.

Net parent surplus reached AUD 606 million, reflecting valuation increases in CDC assets and the sale of Manawa Energy. Infratil announced the sale of Fortysouth and Infratil Property investments for a combined amount exceeding AUD 250 million. EBITDAF guidance was updated to reflect recent portfolio divestments, and a dividend of 7.25 cents per share was declared, consistent with HY25.