Key Points
- Insider sale: Primerica President Peter Schneider sold 1,800 shares on March 10 at an average price of $252.38 for about $454,284, reducing his stake by 13.42% to 11,611 shares (≈$2.93M).
- Dividend hike and buyback: The company raised its quarterly dividend to $1.20 from $1.04 (annualized $4.80, ~1.9% yield) and the board authorized a $475 million share repurchase program (~5.8% of shares).
- Strong quarter but mixed analyst view: Primerica beat Q results with $6.13 EPS (vs. $5.69 est.) and $853.5M revenue, showing high profitability (ROE 32.3%, net margin 22.8%), while analysts' consensus is a "Hold" with a $298.60 target.
Primerica, Inc. (NYSE:PRI - Get Free Report) President Peter Schneider sold 1,800 shares of Primerica stock in a transaction that occurred on Tuesday, March 10th. The shares were sold at an average price of $252.38, for a total transaction of $454,284.00. Following the sale, the president directly owned 11,611 shares in the company, valued at approximately $2,930,384.18. The trade was a 13.42% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website.
Primerica Stock Up 0.7%
PRI stock opened at $254.53 on Wednesday. Primerica, Inc. has a 52-week low of $230.09 and a 52-week high of $296.00. The stock has a market cap of $8.06 billion, a price-to-earnings ratio of 11.10 and a beta of 0.92. The business has a fifty day moving average of $260.41 and a two-hundred day moving average of $262.88.
Primerica (NYSE:PRI - Get Free Report) last released its quarterly earnings results on Wednesday, February 11th. The financial services provider reported $6.13 earnings per share for the quarter, topping analysts' consensus estimates of $5.69 by $0.44. The business had revenue of $853.51 million during the quarter, compared to analysts' expectations of $839.65 million. Primerica had a return on equity of 32.30% and a net margin of 22.82%.The company's revenue was up 8.3% compared to the same quarter last year. During the same period in the prior year, the business posted $5.03 EPS. As a group, sell-side analysts anticipate that Primerica, Inc. will post 20.6 EPS for the current year.
Primerica Increases Dividend
The business also recently declared a quarterly dividend, which will be paid on Friday, March 13th. Shareholders of record on Monday, February 23rd will be given a dividend of $1.20 per share. This is a boost from Primerica's previous quarterly dividend of $1.04. This represents a $4.80 dividend on an annualized basis and a dividend yield of 1.9%. The ex-dividend date is Monday, February 23rd. Primerica's dividend payout ratio (DPR) is 20.93%.
Primerica announced that its board has initiated a share repurchase plan 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 repurchase up to 5.8% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company's board believes its shares are undervalued.
Wall Street Analyst Weigh In
Several research analysts have recently commented on the company. TD Cowen restated a "buy" rating on shares of Primerica in a research report on Wednesday, January 28th. Zacks Research lowered shares of Primerica from a "strong-buy" rating to a "hold" rating in a research note on Tuesday, February 24th. Weiss Ratings raised shares of Primerica from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, February 6th. Keefe, Bruyette & Woods reduced their target price on shares of Primerica from $320.00 to $315.00 and set a "market perform" rating on the stock in a report on Tuesday, November 11th. Finally, Morgan Stanley decreased their price target on shares of Primerica from $292.00 to $285.00 and set an "equal weight" rating for the company in a research report on Tuesday, March 3rd. Three equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the company's stock. According to data from MarketBeat, Primerica has an average rating of "Hold" and a consensus target price of $298.60.
Read Our Latest Research Report on Primerica
Institutional Trading of Primerica
A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Nordea Investment Management AB purchased a new stake in Primerica during the third quarter worth approximately $51,004,000. VIRGINIA RETIREMENT SYSTEMS ET Al increased its stake in Primerica by 115.1% in the third quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 11,774 shares of the financial services provider's stock valued at $3,268,000 after purchasing an additional 6,300 shares during the last quarter. Moran Wealth Management LLC acquired a new stake in Primerica during the third quarter worth approximately $2,121,000. Aviva PLC acquired a new stake in Primerica during the second quarter worth approximately $514,000. Finally, Alps Advisors Inc. purchased a new stake in shares of Primerica during the 3rd quarter worth approximately $20,524,000. 90.88% of the stock is currently owned by institutional investors and hedge funds.
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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