Globe Life Inc. (NYSE:GL) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• Analyst sentiment is positive: Globe Life has an average rating of “Moderate Buy” from 11 covering brokerages, with 8 buy ratings, 1 strong buy, and 2 holds. The average 1-year price target is about $174.11.
• Insiders have been selling shares: CFO Thomas Peter Kalmbach and EVP Michael Clay Majors both recently sold stock, and insiders sold 105,929 shares worth about $16.38 million over the last 90 days. Insider ownership stands at just 2.11%.
• The company posted mixed fundamentals and announced a dividend: Globe Life missed quarterly EPS estimates slightly at $3.43 vs. $3.46, though revenue matched expectations and rose 5.3% year over year. It also declared a quarterly dividend of $0.33 per share, implying a 0.8% annual yield.

Globe Life Inc. (NYSE:GL - Get Free Report) has been assigned an average recommendation of "Moderate Buy" from the eleven research firms that are covering the stock, Marketbeat reports. Two equities research analysts have rated the stock with a hold rating, eight have issued a buy rating and one has given a strong buy rating to the company. The average 1-year price objective among brokerages that have covered the stock in the last year is $174.1111.

Several brokerages have issued reports on GL. Weiss Ratings raised Globe Life from a "buy (b-)" rating to a "buy (b)" rating in a report on Wednesday, May 13th. Texas Capital raised Globe Life to a "strong-buy" rating in a report on Wednesday, March 18th. Truist Financial raised their price objective on Globe Life from $180.00 to $185.00 and gave the stock a "buy" rating in a report on Friday, April 24th. Evercore set a $157.00 price objective on Globe Life in a report on Wednesday, February 18th. Finally, Keefe, Bruyette & Woods reaffirmed a "moderate buy" rating and set a $168.00 price objective on shares of Globe Life in a report on Thursday, March 26th.

Insider Transactions at Globe Life

In other Globe Life news, CFO Thomas Peter Kalmbach sold 15,637 shares of the firm's stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $153.65, for a total transaction of $2,402,625.05. Following the transaction, the chief financial officer owned 45,335 shares of the company's stock, valued at approximately $6,965,722.75. This trade represents a 25.65% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, EVP Michael Clay Majors sold 34,000 shares of the firm's stock in a transaction dated Friday, April 24th. The stock was sold at an average price of $153.81, for a total value of $5,229,540.00. Following the transaction, the executive vice president directly owned 53,518 shares in the company, valued at approximately $8,231,603.58. The trade was a 38.85% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 105,929 shares of company stock worth $16,382,450. 2.11% of the stock is owned by company insiders.

Hedge Funds Weigh In On Globe Life

A number of hedge funds and other institutional investors have recently made changes to their positions in the stock. Vanguard Group Inc. grew its holdings in shares of Globe Life by 0.9% during the fourth quarter. Vanguard Group Inc. now owns 10,090,885 shares of the company's stock worth $1,411,311,000 after buying an additional 86,349 shares during the last quarter. Invesco Ltd. grew its holdings in shares of Globe Life by 2.7% during the fourth quarter. Invesco Ltd. now owns 3,948,676 shares of the company's stock worth $552,262,000 after buying an additional 102,445 shares during the last quarter. Dimensional Fund Advisors LP grew its holdings in shares of Globe Life by 10.2% during the first quarter. Dimensional Fund Advisors LP now owns 2,353,192 shares of the company's stock worth $327,479,000 after buying an additional 217,331 shares during the last quarter. Morgan Stanley grew its holdings in shares of Globe Life by 7.2% during the fourth quarter. Morgan Stanley now owns 1,860,257 shares of the company's stock worth $260,176,000 after buying an additional 125,567 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership grew its holdings in shares of Globe Life by 32.9% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 1,435,247 shares of the company's stock worth $200,734,000 after buying an additional 355,399 shares during the last quarter. Hedge funds and other institutional investors own 81.61% of the company's stock.

Globe Life Stock Down 1.2%

Globe Life stock opened at $157.23 on Tuesday. Globe Life has a 1-year low of $116.73 and a 1-year high of $159.36. The company has a debt-to-equity ratio of 0.38, a current ratio of 0.07 and a quick ratio of 0.07. The stock has a market cap of $12.21 billion, a PE ratio of 10.87 and a beta of 0.49. The stock's fifty day moving average is $150.83 and its two-hundred day moving average is $143.70.

Globe Life (NYSE:GL - Get Free Report) last posted its quarterly earnings results on Wednesday, April 22nd. The company reported $3.43 earnings per share for the quarter, missing analysts' consensus estimates of $3.46 by ($0.03). Globe Life had a net margin of 19.38% and a return on equity of 20.94%. The business had revenue of $1.56 billion during the quarter, compared to analyst estimates of $1.56 billion. During the same quarter in the prior year, the business earned $3.07 earnings per share. The firm's quarterly revenue was up 5.3% on a year-over-year basis. Globe Life has set its FY 2026 guidance at 15.400-15.90 EPS. On average, sell-side analysts expect that Globe Life will post 15.62 EPS for the current fiscal year.

Globe Life Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, July 31st. Shareholders of record on Monday, July 6th will be issued a dividend of $0.33 per share. The ex-dividend date of this dividend is Monday, July 6th. This represents a $1.32 annualized dividend and a dividend yield of 0.8%. Globe Life's dividend payout ratio (DPR) is presently 9.13%.

About Globe Life

Globe Life, traded on the NYSE under the symbol GL, is a U.S.-based insurance holding company that underwrites and distributes a range of life and supplemental health insurance products. Through its subsidiary brands—Globe Life, American Income Life, Liberty National Life, United American Insurance Company and Family Heritage Life—it offers term life, whole life, fixed annuities and supplemental health coverage designed to meet the needs of individuals and families across various socioeconomic segments.

The company's product suite includes low-cost, easy-to-understand life insurance policies, accidental death and dismemberment coverage, hospital indemnity plans and specified disease insurance.

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