DOWLING & PARTN Boosts Earnings Estimates for Globe Life

Key Points

• DOWLING & PARTN raised Globe Life’s FY2027 EPS estimate to $16.40 from $16.35, above the $15.70 consensus, and forecast FY2028 EPS of $18.10.
• Globe Life holds a “Moderate Buy” consensus rating from analysts, with an average price target of $189.56 versus a recent share price of $167.79.
• The company approved a $2.5 billion share-repurchase program covering up to 17.7% of outstanding shares and declared a quarterly dividend of $0.33 per share.

Globe Life Inc. (NYSE:GL - Free Report) - Analysts at DOWLING & PARTN raised their FY2027 earnings estimates for Globe Life in a research report issued to clients and investors on Tuesday, October 13th. DOWLING & PARTN analyst J. Hurwitz now expects that the company will post earnings per share of $16.40 for the year, up from their prior forecast of $16.35. The consensus estimate for Globe Life's current full-year earnings is $15.70 per share. DOWLING & PARTN also issued estimates for Globe Life's FY2028 earnings at $18.10 EPS.

A number of other research firms have also recently issued reports on GL. JPMorgan Chase & Co. lifted their target price on Globe Life from $193.00 to $195.00 and gave the company an "overweight" rating in a research report on Thursday. Piper Sandler boosted their target price on Globe Life from $175.00 to $200.00 and gave the stock an "overweight" rating in a research note on Wednesday, July 15th. Keefe, Bruyette & Woods dropped their target price on shares of Globe Life from $192.00 to $190.00 and set an "outperform" rating for the company in a report on Friday, July 24th. Morgan Stanley dropped their target price on shares of Globe Life from $208.00 to $197.00 and set an "overweight" rating for the company in a report on Monday, October 5th. Finally, TD Cowen raised their price target on shares of Globe Life from $215.00 to $225.00 and gave the company a "buy" rating in a research note on Wednesday, July 22nd. One analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and two have assigned a Hold rating to the stock. According to data from MarketBeat.com, Globe Life currently has a consensus rating of "Moderate Buy" and an average target price of $189.56.

Globe Life Price Performance

Shares of GL stock opened at $167.79 on Friday. The company has a quick ratio of 0.07, a current ratio of 0.07 and a debt-to-equity ratio of 0.43. Globe Life has a twelve month low of $127.85 and a twelve month high of $191.55. The company has a market cap of $12.89 billion, a P/E ratio of 11.14 and a beta of 0.44. The business has a fifty day simple moving average of $171.75 and a 200 day simple moving average of $166.25.

Globe Life (NYSE:GL - Get Free Report) last announced its quarterly earnings data on Wednesday, July 22nd. The company reported $3.61 EPS for the quarter, missing the consensus estimate of $3.67 by ($0.06). Globe Life had a net margin of 19.58% and a return on equity of 20.52%. The firm had revenue of $1.60 billion for the quarter, compared to analyst estimates of $1.59 billion. During the same quarter in the prior year, the firm earned $3.05 earnings per share. The firm's revenue for the quarter was up 8.0% on a year-over-year basis. Globe Life has set its FY 2026 guidance at 15.550-15.950 EPS.

Hedge Funds Weigh In On Globe Life

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. BlackRock Inc. acquired a new position in shares of Globe Life during the second quarter worth $987,901,000. State Street Corp increased its holdings in Globe Life by 2.1% in the second quarter. State Street Corp now owns 3,735,409 shares of the company's stock valued at $667,443,000 after purchasing an additional 76,745 shares during the period. Dimensional Fund Advisors LP increased its holdings in Globe Life by 10.2% in the first quarter. Dimensional Fund Advisors LP now owns 2,353,192 shares of the company's stock valued at $327,479,000 after purchasing an additional 217,331 shares during the period. Pzena Investment Management LLC acquired a new stake in Globe Life in the second quarter valued at $242,256,000. Finally, Swedbank AB raised its position in Globe Life by 15.3% during the 1st quarter. Swedbank AB now owns 1,109,200 shares of the company's stock worth $154,367,000 after purchasing an additional 147,200 shares during the last quarter. 81.61% of the stock is currently owned by institutional investors and hedge funds.

Insider Transactions at Globe Life

In related news, CEO James Darden sold 50,000 shares of the firm's stock in a transaction that occurred on Friday, July 31st. The shares were sold at an average price of $182.43, for a total value of $9,121,500.00. Following the completion of the transaction, the chief executive officer owned 58,451 shares in the company, valued at $10,663,215.93. This trade represents a 46.10% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Michael Majors sold 37,000 shares of Globe Life stock in a transaction that occurred on Wednesday, July 29th. The stock was sold at an average price of $178.64, for a total transaction of $6,609,680.00. Following the sale, the executive vice president owned 53,518 shares in the company, valued at approximately $9,560,455.52. This represents a 40.88% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 143,650 shares of company stock valued at $25,793,717. 2.11% of the stock is currently owned by company insiders.

Globe Life Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, October 30th. Stockholders of record on Monday, October 5th will be paid a dividend of $0.33 per share. This represents a $1.32 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date of this dividend is Monday, October 5th. Globe Life's dividend payout ratio (DPR) is presently 8.76%.

Globe Life declared that its Board of Directors has approved a stock buyback program on Monday, August 10th that authorizes the company to buy back $2.50 billion in shares. This buyback authorization authorizes the company to repurchase up to 17.7% of its stock through open market purchases. Share buyback programs are often a sign that the company's board believes its shares are undervalued.

Globe Life Company Profile

Globe Life Inc NYSE: GL is an insurance holding company that provides life and supplemental health insurance products to individuals and families in the United States. Its offerings include term and whole life insurance, mortgage protection coverage, accident and supplemental health policies, and Medicare supplement insurance.

The company distributes its products through a network of insurance agencies, independent agents, and direct-to-consumer channels. Its principal insurance businesses include Globe Life and Accident Insurance Company, American Income Life Insurance Company, Liberty National Life Insurance Company, and Family Heritage Life Insurance Company.

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