Zacks Investment Research upgraded shares of Genworth Financial Inc. (NYSE:GNW) from a hold rating to a buy rating in a research report report published on Monday. They currently have $5.50 price target on the stock.
According to Zacks, “Genworth is intensifying focus on streamlining and rationalizing business to improve performance, enhance financial and strategic flexibility, strengthen mortgage insurance, and increase excess capital, earnings and ROE. To that end, Genworth is in the process of separating the long-term care business to restructure the US Life vertical. Genworth also exited its European operations in the wake of difficult economic conditions there. Notably, the Zacks Consensus Estimate has been witnessing upward revisions over the last 60 days. However, exposure to a low interest rate environment continues to weigh on it’s investment profile. Concerning its performance, Genworth has been hedging its cash flows to shield against low rates and LTC margin erosion. Also, Genworth stopped sales of traditional life insurance and fixed-annuity products in first-quarter 2016 resulting in $150 million in cost savings.”
GNW has been the topic of a number of other research reports. Wells Fargo & Co. initiated coverage on Genworth Financial in a research report on Friday, September 23rd. They issued a market perform rating on the stock. Compass Point lowered Genworth Financial from a buy rating to a neutral rating in a research report on Monday, September 19th. Keefe, Bruyette & Woods reaffirmed a market perform rating and issued a $3.50 price target on shares of Genworth Financial in a research report on Monday, September 5th. Goldman Sachs Group Inc. increased their price target on Genworth Financial from $3.00 to $4.00 and gave the company a neutral rating in a research report on Friday, September 23rd. Finally, JPMorgan Chase & Co. reaffirmed a hold rating on shares of Genworth Financial in a research report on Wednesday, August 3rd. Seven analysts have rated the stock with a hold rating and one has assigned a buy rating to the company’s stock. The stock has a consensus rating of Hold and an average target price of $4.80.
Genworth Financial (NYSE:GNW) opened at 5.14 on Monday. The stock’s market cap is $2.56 billion. Genworth Financial has a 1-year low of $1.57 and a 1-year high of $5.75. The firm has a 50-day moving average price of $4.72 and a 200 day moving average price of $3.53.
Genworth Financial (NYSE:GNW) last posted its quarterly earnings results on Tuesday, August 2nd. The company reported $0.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.21 by $0.04. The company had revenue of $2.24 billion for the quarter, compared to analyst estimates of $2.09 billion. Genworth Financial had a positive return on equity of 1.32% and a negative net margin of 4.24%. Genworth Financial’s revenue for the quarter was up 3.7% compared to the same quarter last year. During the same quarter last year, the company earned $0.24 EPS. On average, equities research analysts anticipate that Genworth Financial will post $0.88 EPS for the current fiscal year.
Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. State Street Corp increased its position in Genworth Financial by 5.6% in the first quarter. State Street Corp now owns 17,972,546 shares of the company’s stock worth $49,070,000 after buying an additional 948,072 shares in the last quarter. Solus Alternative Asset Management LP increased its position in Genworth Financial by 57.6% in the first quarter. Solus Alternative Asset Management LP now owns 15,000,000 shares of the company’s stock worth $40,950,000 after buying an additional 5,483,200 shares in the last quarter. Royal Bank of Canada increased its position in Genworth Financial by 81.4% in the first quarter. Royal Bank of Canada now owns 452,592 shares of the company’s stock worth $1,236,000 after buying an additional 203,144 shares in the last quarter. Acadian Asset Management LLC purchased a new position in Genworth Financial during the first quarter worth about $1,156,000. Finally, Saba Capital Management L.P. purchased a new position in Genworth Financial during the first quarter worth about $1,881,000. Hedge funds and other institutional investors own 71.74% of the company’s stock.
About Genworth Financial
Genworth Financial, Inc (Genworth) is a financial security company. The Company provides insurance, wealth management, investment and financial solutions. As of December 31, 2011, the Company had more than 15 million customers, with a presence in more than 25 countries. The Company operates in Insurance, Mortgage Insurance and Corporate and Runoff.
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