Aegon NV (NYSE:AEG) Given Average Rating of "Hold" by Brokerages

Key Points

• Broker consensus is “Hold”: Seven analysts rate Aegon with one sell, three hold and three buy recommendations, with an average 12-month price target of $10.00.
• Quarterly results missed expectations: Aegon reported EPS of $0.23 versus the $0.35 consensus and revenue of $3.52 billion versus estimates of $7.39 billion.
• Capital returns and operations remain supportive: The company expanded its total share-repurchase authorization to €350 million, declared a $0.2455-per-share dividend and reported 54% growth in Transamerica’s individual life sales during the first half.

Shares of Aegon NV (NYSE:AEG - Get Free Report) have been assigned a consensus recommendation of "Hold" from the seven research firms that are presently covering the company, MarketBeat Ratings reports. One analyst has rated the stock with a sell recommendation, three have issued a hold recommendation and three have given a buy recommendation to the company. The average 1 year target price among brokers that have covered the stock in the last year is $10.00.

AEG has been the topic of a number of research reports. Zacks Research downgraded shares of Aegon from a "hold" rating to a "strong sell" rating in a research note on Monday, July 27th. Morgan Stanley downgraded Aegon from an "overweight" rating to an "equal weight" rating in a report on Friday, May 15th. Weiss Ratings reissued a "buy (b+)" rating on shares of Aegon in a research report on Friday, August 7th. Finally, Citigroup restated a "buy" rating on shares of Aegon in a research note on Tuesday.

More Aegon News

Here are the key news stories impacting Aegon this week:

• Positive Sentiment: Aegon reported first-half income of approximately $710.2 million, while capital generation reportedly exceeded expectations. Management increased its second-half share-repurchase authorization, bringing the total buyback plan to €350 million. Buybacks can support earnings per share and signal confidence in the company’s financial position. Aegon reports half year income of $710.2m Aegon raises share buyback plan to 350 million euros
• Positive Sentiment: Transamerica, which accounts for roughly 70% of Aegon’s operations, showed strong momentum: individual life sales rose 54% in the first half. Analysts also highlighted an attractive free-cash-flow yield, a robust capital position and potential benefits from moving the headquarters to New York, adopting U.S. GAAP and potentially gaining greater index visibility. Transamerica grew individual life sales 54% in H1 Aegon: A Hidden Gem Ahead Of Its U.S. Relocation
• Positive Sentiment: Aegon declared a dividend of 0.2455 per share for shareholders of record on September 3, payable September 24. The distribution adds to the appeal of the buyback program and supports the investment case for income-focused shareholders.
• Neutral Sentiment: The planned CFO transition comes as Aegon shifts its corporate base and reporting framework to the United States. The move may improve strategic positioning over time, but Russell’s departure introduces execution and continuity uncertainty until a successor is appointed. Duncan Russell to leave Aegon
• Negative Sentiment: Reported quarterly EPS of $0.23 missed the $0.35 analyst consensus, while revenue of $3.52 billion was below the $7.39 billion estimate. The earnings shortfall is the clearest near-term reason for weakness in the shares, despite the company’s favorable capital-return and operating updates.

Aegon Stock Down 0.1%

AEG opened at $9.00 on Friday. The firm has a 50 day moving average price of $8.97 and a 200 day moving average price of $8.21. The company has a market cap of $18.06 billion, a PE ratio of -56.25 and a beta of 0.84. Aegon has a 1 year low of $6.75 and a 1 year high of $9.61. The company has a debt-to-equity ratio of 0.36, a quick ratio of 0.07 and a current ratio of 0.07.

Aegon (NYSE:AEG - Get Free Report) last announced its quarterly earnings results on Thursday, August 20th. The financial services provider reported $0.23 earnings per share for the quarter, missing analysts' consensus estimates of $0.35 by ($0.12). The business had revenue of $3.52 billion for the quarter, compared to analysts' expectations of $7.39 billion. Sell-side analysts expect that Aegon will post 1.23 earnings per share for the current year.

Aegon Cuts Dividend

The business also recently announced a dividend, which will be paid on Thursday, September 24th. Investors of record on Thursday, September 3rd will be issued a dividend of $0.2455 per share. This represents a dividend yield of 544.0%. The ex-dividend date is Thursday, September 3rd. Aegon's dividend payout ratio (DPR) is presently -256.25%.

Hedge Funds Weigh In On Aegon

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC purchased a new stake in shares of Aegon during the fourth quarter valued at approximately $33,000. Caitong International Asset Management Co. Ltd boosted its stake in shares of Aegon by 321.2% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 4,511 shares of the financial services provider's stock valued at $35,000 after purchasing an additional 3,440 shares during the period. Eastern Bank acquired a new stake in Aegon during the 2nd quarter valued at $55,000. Quantessence Capital LLC acquired a new stake in Aegon during the 4th quarter valued at $78,000. Finally, Abel Hall LLC purchased a new stake in Aegon during the 4th quarter worth $83,000. Hedge funds and other institutional investors own 4.32% of the company's stock.

Aegon Company Profile

Aegon N.V. is a multinational financial services company headquartered in The Hague, Netherlands, specializing in life insurance, pensions and asset management. Established in 1983 through the merger of AGO and Ennia, Aegon has built a reputation for offering retirement solutions, savings products and protection plans aimed at helping customers secure their financial futures. The company operates under well-known brands, including Transamerica in the United States, and serves both individual and corporate clients.

Throughout its history, Aegon has pursued strategic acquisitions and partnerships to strengthen its market position and broaden its service offerings.

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