Kemper Corporation (NYSE:KMPR) Receives Average Recommendation of "Hold" from Brokerages

Key Points

• Kemper Corporation has received an average recommendation of "Hold" from the seven analysts covering the stock, with one sell rating, three holds, and three buys.
• The company reported $1.30 EPS in its latest quarterly earnings, missing estimates of $1.52, while revenue was in line with expectations at $1.23 billion.
• Kemper also announced a $500 million stock repurchase plan, indicating that the management believes the stock is undervalued.

Shares of Kemper Corporation (NYSE:KMPR - Get Free Report) have been given a consensus recommendation of "Hold" by the seven analysts that are currently covering the company, MarketBeat.com reports. One analyst has rated the stock with a sell rating, three have issued a hold rating and three have given a buy rating to the company. The average 1 year price objective among brokers that have covered the stock in the last year is $67.25.

Several equities analysts recently issued reports on the company. Raymond James Financial cut Kemper from an "outperform" rating to a "market perform" rating and set a $60.00 price objective on the stock. in a research report on Wednesday, October 15th. JMP Securities lowered their price objective on Kemper from $85.00 to $75.00 and set a "market outperform" rating on the stock in a research report on Wednesday, August 6th. Zacks Research raised Kemper from a "strong sell" rating to a "hold" rating in a research report on Tuesday, October 7th. Cowen reaffirmed a "buy" rating on shares of Kemper in a research report on Thursday, August 7th. Finally, Wall Street Zen cut Kemper from a "strong-buy" rating to a "hold" rating in a research report on Saturday, August 9th.

Kemper Stock Performance

Shares of KMPR opened at $49.45 on Tuesday. The company has a quick ratio of 0.21, a current ratio of 0.21 and a debt-to-equity ratio of 0.32. The business's 50 day moving average price is $51.95 and its 200-day moving average price is $57.90. Kemper has a 52 week low of $45.02 and a 52 week high of $73.01. The stock has a market cap of $3.10 billion, a P/E ratio of 9.31 and a beta of 1.25.

Kemper (NYSE:KMPR - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The insurance provider reported $1.30 EPS for the quarter, missing analysts' consensus estimates of $1.52 by ($0.22). Kemper had a return on equity of 14.39% and a net margin of 7.18%.The company had revenue of $1.23 billion during the quarter, compared to the consensus estimate of $1.23 billion. During the same period in the prior year, the firm earned $1.42 earnings per share. The business's revenue for the quarter was up 8.5% compared to the same quarter last year. Equities research analysts anticipate that Kemper will post 6.03 earnings per share for the current fiscal year.

Kemper Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, September 2nd. Investors of record on Monday, August 18th were given a $0.32 dividend. The ex-dividend date of this dividend was Monday, August 18th. This represents a $1.28 annualized dividend and a yield of 2.6%. Kemper's dividend payout ratio is 24.11%.

Kemper declared that its board has initiated a stock repurchase plan on Tuesday, August 5th that allows the company to repurchase $500.00 million in outstanding shares. This repurchase authorization allows the insurance provider to repurchase up to 12.8% of its shares through open market purchases. Shares repurchase plans are generally a sign that the company's management believes its stock is undervalued.

Insiders Place Their Bets

In related news, Director Gerald Laderman bought 3,000 shares of the firm's stock in a transaction on Thursday, August 7th. The stock was acquired at an average cost of $49.37 per share, for a total transaction of $148,110.00. Following the purchase, the director owned 24,635 shares in the company, valued at approximately $1,216,229.95. This represents a 13.87% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Jason N. Gorevic bought 2,000 shares of the firm's stock in a transaction on Thursday, August 7th. The shares were bought at an average price of $49.14 per share, with a total value of $98,280.00. Following the completion of the purchase, the director owned 22,072 shares in the company, valued at approximately $1,084,618.08. The trade was a 9.96% increase in their position. The disclosure for this purchase can be found here. 0.76% of the stock is currently owned by insiders.

Institutional Investors Weigh In On Kemper

Hedge funds have recently added to or reduced their stakes in the stock. Bayforest Capital Ltd purchased a new stake in Kemper during the 1st quarter valued at $44,000. IFP Advisors Inc raised its stake in Kemper by 651.6% during the 2nd quarter. IFP Advisors Inc now owns 699 shares of the insurance provider's stock valued at $45,000 after buying an additional 606 shares during the last quarter. CX Institutional increased its stake in shares of Kemper by 50.3% in the 2nd quarter. CX Institutional now owns 861 shares of the insurance provider's stock worth $56,000 after purchasing an additional 288 shares in the last quarter. Allworth Financial LP increased its stake in shares of Kemper by 68.8% in the 1st quarter. Allworth Financial LP now owns 883 shares of the insurance provider's stock worth $59,000 after purchasing an additional 360 shares in the last quarter. Finally, Caitong International Asset Management Co. Ltd purchased a new stake in shares of Kemper in the 1st quarter worth $70,000. 86.23% of the stock is currently owned by hedge funds and other institutional investors.

About Kemper

Kemper Corporation, a diversified insurance holding company, engages in the provision of insurance products to individuals and businesses in the United States. The company operates through three segments: Specialty Property & Casualty Insurance, Preferred Property & Casualty Insurance, and Life & Health Insurance.

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