Key Points
- Primerica CEO Glenn Williams sold 2,500 shares on Feb. 17 at an average price of $256.41 for proceeds of $641,025, reducing his stake by 8.36% to 27,392 shares valued at about $7.02 million.
- Solid quarterly results and share buyback: Primerica reported an EPS of $6.13 (vs. $5.69 expected) and revenue of $853.5M, and its board authorized a $475M buyback (up to ~5.8% of outstanding shares).
- Dividend raise announced: the company increased its quarterly dividend to $1.20 (annualized $4.80, yield ~1.9%), with an ex-dividend date of Feb. 23 and payment on Mar. 13.
Primerica, Inc. (NYSE:PRI - Get Free Report) CEO Glenn Williams sold 2,500 shares of the company's stock in a transaction that occurred on Tuesday, February 17th. The shares were sold at an average price of $256.41, for a total value of $641,025.00. Following the transaction, the chief executive officer directly owned 27,392 shares of the company's stock, valued at $7,023,582.72. The trade was a 8.36% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link.
Primerica Trading Up 3.3%
NYSE:PRI opened at $259.07 on Wednesday. The company has a 50-day moving average price of $260.90 and a 200-day moving average price of $263.50. The stock has a market cap of $8.27 billion, a price-to-earnings ratio of 11.30 and a beta of 0.91. Primerica, Inc. has a 12 month low of $230.09 and a 12 month high of $296.00.
Primerica (NYSE:PRI - Get Free Report) last announced its earnings results on Wednesday, February 11th. The financial services provider reported $6.13 EPS for the quarter, beating analysts' consensus estimates of $5.69 by $0.44. Primerica had a net margin of 22.82% and a return on equity of 32.30%. The firm had revenue of $853.51 million for the quarter, compared to analysts' expectations of $839.65 million. During the same quarter in the previous year, the business posted $5.03 EPS. The company's quarterly revenue was up 8.3% on a year-over-year basis. Equities analysts forecast that Primerica, Inc. will post 20.6 EPS for the current fiscal year.
Primerica Increases Dividend
The firm also recently disclosed a quarterly dividend, which will be paid on Friday, March 13th. Investors of record on Monday, February 23rd will be given a dividend of $1.20 per share. This represents a $4.80 annualized dividend and a dividend yield of 1.9%. This is a boost from Primerica's previous quarterly dividend of $1.04. The ex-dividend date of this dividend is Monday, February 23rd. Primerica's payout ratio is 20.93%.
Primerica declared that its board has initiated a stock buyback plan on Wednesday, November 19th that authorizes the company to buyback $475.00 million in outstanding shares. This buyback authorization authorizes the financial services provider to reacquire up to 5.8% of its stock through open market purchases. Stock buyback plans are often a sign that the company's board believes its shares are undervalued.
Analyst Ratings Changes
A number of equities analysts recently issued reports on PRI shares. TD Cowen reissued a "buy" rating on shares of Primerica in a report on Wednesday, January 28th. Keefe, Bruyette & Woods reduced their price objective on shares of Primerica from $320.00 to $315.00 and set a "market perform" rating on the stock in a research report on Tuesday, November 11th. Zacks Research upgraded Primerica from a "hold" rating to a "strong-buy" rating in a report on Monday, January 26th. Weiss Ratings upgraded shares of Primerica from a "hold (c+)" rating to a "buy (b-)" rating in a research report on Friday, February 6th. Finally, Morgan Stanley set a $292.00 price objective on shares of Primerica in a research note on Monday, December 15th. One equities research analyst has rated the stock with a Strong Buy rating, three have given a Buy rating and four have assigned a Hold rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus target price of $300.00.
Get Our Latest Analysis on PRI
Institutional Trading of Primerica
Several hedge funds and other institutional investors have recently made changes to their positions in PRI. Root Financial Partners LLC acquired a new position in shares of Primerica in the third quarter valued at about $27,000. Smartleaf Asset Management LLC grew its holdings in Primerica by 186.5% in the third quarter. Smartleaf Asset Management LLC now owns 106 shares of the financial services provider's stock valued at $29,000 after purchasing an additional 69 shares during the period. V Square Quantitative Management LLC purchased a new stake in Primerica in the 4th quarter worth $30,000. Cullen Frost Bankers Inc. acquired a new position in shares of Primerica during the 2nd quarter worth about $33,000. Finally, Quent Capital LLC acquired a new position in shares of Primerica during the third quarter valued at approximately $33,000. Hedge funds and other institutional investors own 90.88% of the company's stock.
About Primerica
(
Get Free Report)
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.
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