Primerica (NYSE:PRI) Releases Earnings Results, Beats Expectations By $0.45 EPS

Primerica (NYSE:PRI) issued its quarterly earnings data on Wednesday. The financial services provider reported $6.13 EPS for the quarter, topping the consensus estimate of $5.68 by $0.45, Zacks reports. Primerica had a return on equity of 31.75% and a net margin of 22.36%.

Primerica Trading Down 4.2%

NYSE:PRI traded down $11.21 during trading hours on Wednesday, reaching $253.76. The company had a trading volume of 373,438 shares, compared to its average volume of 217,449. The firm has a market cap of $8.10 billion, a price-to-earnings ratio of 11.66 and a beta of 0.91. The firm’s 50 day moving average price is $260.89 and its 200-day moving average price is $263.87. Primerica has a 52 week low of $230.98 and a 52 week high of $296.00.

Primerica announced that its Board of Directors has initiated a stock buyback program on Wednesday, November 19th that authorizes the company to repurchase $475.00 million in outstanding shares. This repurchase authorization authorizes the financial services provider to buy up to 5.8% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s management believes its stock is undervalued.

Analysts Set New Price Targets

Several research analysts recently issued reports on PRI shares. Morgan Stanley set a $292.00 target price on shares of Primerica in a research report on Monday, December 15th. Weiss Ratings raised shares of Primerica from a “hold (c+)” rating to a “buy (b-)” rating in a research note on Friday. TD Cowen reiterated a “buy” rating on shares of Primerica in a report on Wednesday, January 28th. Keefe, Bruyette & Woods cut their target price on shares of Primerica from $320.00 to $315.00 and set a “market perform” rating on the stock in a research note on Tuesday, November 11th. Finally, Zacks Research upgraded Primerica from a “hold” rating to a “strong-buy” rating in a research report on Monday, January 26th. One analyst has rated the stock with a Strong Buy rating, three have assigned a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $300.00.

Insiders Place Their Bets

In related news, President Peter W. Schneider sold 2,000 shares of the company’s stock in a transaction on Monday, November 17th. The stock was sold at an average price of $255.30, for a total transaction of $510,600.00. Following the completion of the sale, the president owned 7,301 shares in the company, valued at approximately $1,863,945.30. This represents a 21.50% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Joel M. Babbit sold 700 shares of the firm’s stock in a transaction dated Wednesday, December 3rd. The stock was sold at an average price of $255.00, for a total value of $178,500.00. Following the completion of the transaction, the director directly owned 8,400 shares in the company, valued at $2,142,000. The trade was a 7.69% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Company insiders own 0.61% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. Integrated Wealth Concepts LLC increased its stake in shares of Primerica by 20.6% in the 1st quarter. Integrated Wealth Concepts LLC now owns 2,142 shares of the financial services provider’s stock worth $609,000 after purchasing an additional 366 shares in the last quarter. Goldman Sachs Group Inc. grew its holdings in Primerica by 27.7% during the first quarter. Goldman Sachs Group Inc. now owns 129,666 shares of the financial services provider’s stock valued at $36,894,000 after purchasing an additional 28,129 shares during the period. Empowered Funds LLC purchased a new stake in Primerica in the first quarter worth about $1,763,000. Focus Partners Wealth raised its stake in shares of Primerica by 17.5% in the first quarter. Focus Partners Wealth now owns 1,398 shares of the financial services provider’s stock worth $398,000 after buying an additional 208 shares during the period. Finally, Geneos Wealth Management Inc. lifted its position in shares of Primerica by 205.8% during the 1st quarter. Geneos Wealth Management Inc. now owns 263 shares of the financial services provider’s stock valued at $75,000 after buying an additional 177 shares in the last quarter. Hedge funds and other institutional investors own 90.88% of the company’s stock.

About Primerica

Primerica, Inc is a financial services company that focuses on delivering term life insurance and investment products to middle-income households in the United States and Canada. The firm operates a network of independent, licensed representatives who provide personalized guidance on coverage needs, retirement planning, and wealth accumulation. Primerica’s core mission is to help clients obtain affordable life insurance protection while also offering a suite of savings and investment solutions designed for long-term financial security.

In addition to term life insurance, Primerica offers a range of financial products and services that include mutual funds, annuities, auto and home insurance through partner carriers, and personal lending solutions such as secured and unsecured loans.