Mizuho Securities USA LLC Reduces Stock Position in MetLife, Inc. (NYSE:MET)

Key Points

• Mizuho Securities USA LLC has reduced its stake in MetLife, Inc. by 15.9%, now holding 46,355 shares valued at approximately $3.72 million.
• MetLife reported earnings per share of $2.02 for the last quarter, falling short of the $2.32 estimate, with revenue decreasing by 2.7% year-over-year.
• The company's board has authorized a share buyback program of $3 billion, indicating management believes the stock may be undervalued.

Mizuho Securities USA LLC reduced its position in MetLife, Inc. (NYSE:MET - Free Report) by 15.9% in the 1st quarter, according to its most recent filing with the SEC. The fund owned 46,355 shares of the financial services provider's stock after selling 8,771 shares during the period. Mizuho Securities USA LLC's holdings in MetLife were worth $3,722,000 at the end of the most recent quarter.

Several other hedge funds have also modified their holdings of MET. Price T Rowe Associates Inc. MD lifted its position in MetLife by 33.7% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 24,663,239 shares of the financial services provider's stock worth $2,019,427,000 after acquiring an additional 6,213,923 shares during the last quarter. Bank of New York Mellon Corp grew its holdings in shares of MetLife by 0.4% during the 1st quarter. Bank of New York Mellon Corp now owns 8,862,835 shares of the financial services provider's stock valued at $711,597,000 after purchasing an additional 36,177 shares during the last quarter. Northern Trust Corp lifted its position in shares of MetLife by 15.7% during the 4th quarter. Northern Trust Corp now owns 7,052,202 shares of the financial services provider's stock valued at $577,434,000 after acquiring an additional 958,458 shares during the period. Dimensional Fund Advisors LP grew its position in MetLife by 4.7% during the fourth quarter. Dimensional Fund Advisors LP now owns 6,434,737 shares of the financial services provider's stock valued at $526,869,000 after buying an additional 290,734 shares during the period. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its stake in MetLife by 12.4% during the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 5,113,108 shares of the financial services provider's stock valued at $418,661,000 after acquiring an additional 564,383 shares in the last quarter. 94.99% of the stock is owned by institutional investors and hedge funds.

MetLife Stock Down 0.2%

MetLife stock traded down $0.16 during mid-day trading on Friday, reaching $77.76. 682,621 shares of the company's stock were exchanged, compared to its average volume of 3,411,919. MetLife, Inc. has a twelve month low of $65.21 and a twelve month high of $89.05. The company has a quick ratio of 0.16, a current ratio of 0.16 and a debt-to-equity ratio of 0.57. The company has a market cap of $51.71 billion, a P/E ratio of 13.17, a P/E/G ratio of 0.68 and a beta of 0.85. The company has a fifty day moving average of $77.93 and a 200-day moving average of $78.83.

MetLife (NYSE:MET - Get Free Report) last released its quarterly earnings results on Wednesday, August 6th. The financial services provider reported $2.02 EPS for the quarter, missing the consensus estimate of $2.32 by ($0.30). MetLife had a return on equity of 19.88% and a net margin of 5.83%. The firm had revenue of $17.34 billion for the quarter, compared to the consensus estimate of $18.58 billion. During the same quarter in the prior year, the company posted $2.28 EPS. The firm's revenue was down 2.7% on a year-over-year basis. Sell-side analysts expect that MetLife, Inc. will post 9.65 EPS for the current year.

MetLife Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 9th. Stockholders of record on Tuesday, August 5th will be issued a $0.5675 dividend. This represents a $2.27 dividend on an annualized basis and a dividend yield of 2.9%. The ex-dividend date is Tuesday, August 5th. MetLife's dividend payout ratio is presently 38.47%.

MetLife announced that its Board of Directors has authorized a stock buyback program on Wednesday, April 30th that authorizes the company to buyback $3.00 billion in outstanding shares. This buyback authorization authorizes the financial services provider to purchase up to 5.9% of its shares through open market purchases. Shares buyback programs are typically a sign that the company's board of directors believes its stock is undervalued.

Analyst Upgrades and Downgrades

A number of equities research analysts have issued reports on MET shares. Wells Fargo & Company reaffirmed an "overweight" rating and set a $97.00 price objective (up from $94.00) on shares of MetLife in a report on Thursday, July 10th. Barclays boosted their price objective on MetLife from $88.00 to $94.00 and gave the company an "overweight" rating in a research note on Monday, July 7th. JPMorgan Chase & Co. upped their price target on MetLife from $86.00 to $95.00 and gave the stock an "overweight" rating in a research note on Tuesday, July 8th. Morgan Stanley restated an "overweight" rating and issued a $98.00 target price (down from $99.00) on shares of MetLife in a report on Monday, July 14th. Finally, UBS Group lowered their price objective on MetLife from $94.00 to $91.00 and set a "buy" rating on the stock in a research note on Thursday, August 7th. Two analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company's stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $96.00.

About MetLife

MetLife, Inc, a financial services company, provides insurance, annuities, employee benefits, and asset management services worldwide. It operates through six segments: Retirement and Income Solutions; Group Benefits; Asia; Latin America; Europe, the Middle East and Africa; and MetLife Holdings. The company offers life, dental, group short-and long-term disability, individual disability, pet insurance, accidental death and dismemberment, vision, and accident and health coverages, as well as prepaid legal plans; administrative services-only arrangements to employers; and general and separate account, and synthetic guaranteed interest contracts, as well as private floating rate funding agreements.