Morgan Stanley Cuts Primerica (NYSE:PRI) Price Target to $285.00

Primerica (NYSE:PRI) had its target price trimmed by Morgan Stanley from $292.00 to $285.00 in a research report released on Tuesday,Benzinga reports. The firm currently has an equal weight rating on the financial services provider’s stock.

Other equities analysts have also issued reports about the stock. Keefe, Bruyette & Woods cut their price target 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. TD Cowen restated a “buy” rating on shares of Primerica in a research note on Wednesday, January 28th. Weiss Ratings raised Primerica from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday, February 6th. Finally, Zacks Research downgraded Primerica from a “strong-buy” rating to a “hold” rating in a report on Tuesday, February 24th. Three investment analysts have rated the stock with a Buy rating and five have given a Hold rating to the company’s stock. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average target price of $298.60.

Primerica Price Performance

PRI opened at $264.39 on Tuesday. The firm has a market capitalization of $8.37 billion, a PE ratio of 11.53 and a beta of 0.92. The business’s 50-day moving average is $260.68 and its two-hundred day moving average is $263.16. Primerica has a 1 year low of $230.09 and a 1 year high of $296.00.

Primerica (NYSE:PRI) last released its quarterly earnings results on Wednesday, February 11th. The financial services provider reported $6.13 earnings per share for the quarter, beating analysts’ consensus estimates of $5.69 by $0.44. The business had revenue of $853.51 million for the quarter, compared to analysts’ expectations of $839.65 million. Primerica had a net margin of 22.82% and a return on equity of 32.30%. The company’s revenue was up 8.3% compared to the same quarter last year. During the same period last year, the business earned $5.03 EPS. As a group, sell-side analysts expect that Primerica will post 20.6 EPS for the current year.

Primerica Increases Dividend

The company 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. The ex-dividend date of this dividend is Monday, February 23rd. This represents a $4.80 dividend on an annualized basis and a yield of 1.8%. This is an increase from Primerica’s previous quarterly dividend of $1.04. Primerica’s payout ratio is presently 20.93%.

Primerica announced that its board has authorized a stock buyback plan on Wednesday, November 19th that permits the company to buyback $475.00 million in outstanding shares. This buyback authorization permits the financial services provider to reacquire up to 5.8% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s board believes its shares are undervalued.

Insider Buying and Selling at Primerica

In other news, CEO Glenn J. Williams sold 2,500 shares of the firm’s stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $256.41, for a total value of $641,025.00. Following the completion of the transaction, the chief executive officer directly owned 27,392 shares in the company, valued at $7,023,582.72. This trade represents a 8.36% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Corporate insiders own 0.61% of the company’s stock.

Hedge Funds Weigh In On Primerica

A number of institutional investors have recently bought and sold shares of the business. Nordea Investment Management AB acquired a new position in shares of Primerica in the 3rd quarter valued at about $51,004,000. VIRGINIA RETIREMENT SYSTEMS ET Al grew its holdings in Primerica by 115.1% during the third quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 11,774 shares of the financial services provider’s stock worth $3,268,000 after acquiring an additional 6,300 shares during the period. Moran Wealth Management LLC purchased a new position in Primerica during the third quarter valued at approximately $2,121,000. Aviva PLC acquired a new position in Primerica in the second quarter valued at approximately $514,000. Finally, Ritholtz Wealth Management boosted its position in Primerica by 255.5% in the 3rd quarter. Ritholtz Wealth Management now owns 17,228 shares of the financial services provider’s stock worth $4,782,000 after purchasing an additional 12,382 shares in the last quarter. 90.88% of the stock is owned by hedge funds and other institutional investors.

Primerica Company Profile

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.