Primerica (NYSE:PRI) Shares Break Above Two Hundred Day Moving Average - Here's Why

Key Points

• Primerica shares broke above their 200-day moving average, reaching $280.17 and last trading near $279.46, though the price remained below the 50-day average of $284.81.
• Analyst sentiment is mixed: TD Cowen raised its target to $360 with a Buy rating, while Truist downgraded the stock to Hold. Overall, analysts give Primerica a consensus Hold rating with an average target of $318.80.
• Primerica’s latest quarterly results exceeded earnings expectations, with EPS of $6.41 versus $6.03 expected and revenue up 9% year over year. The company also declared a $1.20 quarterly dividend, equal to a 1.7% annualized yield.

Primerica, Inc. (NYSE:PRI - Get Free Report)'s stock price passed above its 200-day moving average during trading on Wednesday. The stock has a 200-day moving average of $278.35 and traded as high as $280.17. Primerica shares last traded at $279.4640, with a volume of 201,953 shares traded.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on the stock. TD Cowen raised their price objective on shares of Primerica from $322.00 to $360.00 and gave the company a "buy" rating in a research note on Wednesday, July 22nd. Jefferies Financial Group boosted their price target on shares of Primerica from $266.00 to $268.00 and gave the company a "hold" rating in a report on Friday, July 10th. Weiss Ratings downgraded Primerica from a "buy (b+)" rating to a "buy (b)" rating in a report on Tuesday, August 11th. Truist Financial downgraded Primerica from a "buy" rating to a "hold" rating and dropped their target price for the company from $370.00 to $320.00 in a report on Thursday, August 27th. Finally, Morgan Stanley increased their price target on shares of Primerica from $291.00 to $316.00 and gave the stock an "equal weight" rating in a research report on Monday, August 24th. Two research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. According to MarketBeat, the stock currently has an average rating of "Hold" and a consensus target price of $318.80.

Primerica Price Performance

The stock has a market capitalization of $8.60 billion, a P/E ratio of 11.22 and a beta of 0.88. The stock's fifty day moving average is $284.81 and its 200-day moving average is $278.35.

Primerica (NYSE:PRI - Get Free Report) last issued its quarterly earnings data on Wednesday, August 5th. The financial services provider reported $6.41 earnings per share for the quarter, beating analysts' consensus estimates of $6.03 by $0.38. Primerica had a return on equity of 32.45% and a net margin of 23.20%. The business had revenue of $865.07 million for the quarter, compared to the consensus estimate of $881.00 million. During the same period last year, the business earned $5.46 EPS. The firm's revenue was up 9.0% compared to the same quarter last year. On average, research analysts expect that Primerica, Inc. will post 25.22 EPS for the current year.

Primerica Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, September 14th. Stockholders of record on Friday, August 21st were given a $1.20 dividend. The ex-dividend date of this dividend was Friday, August 21st. This represents a $4.80 dividend on an annualized basis and a dividend yield of 1.7%. Primerica's dividend payout ratio (DPR) is currently 19.28%.

Insider Buying and Selling

In other Primerica news, President Peter Schneider sold 1,800 shares of the business's stock in a transaction on Monday, August 17th. The shares were sold at an average price of $312.65, for a total transaction of $562,770.00. Following the completion of the transaction, the president owned 8,011 shares of the company's stock, valued at $2,504,639.15. The trade was a 18.35% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Glenn Williams sold 1,500 shares of the stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $320.20, for a total value of $480,300.00. Following the sale, the chief executive officer owned 32,196 shares of the company's stock, valued at approximately $10,309,159.20. The trade was a 4.45% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 3,579 shares of company stock worth $1,130,573 in the last quarter. 0.63% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. Ameritas Advisory Services LLC bought a new stake in Primerica during the 2nd quarter worth approximately $26,000. SJS Investment Consulting Inc. raised its position in Primerica by 176.2% in the 1st quarter. SJS Investment Consulting Inc. now owns 116 shares of the financial services provider's stock valued at $29,000 after purchasing an additional 74 shares during the last quarter. C M Bidwell & Associates Ltd. bought a new position in Primerica in the 2nd quarter valued at $29,000. Ashurst Perkins Coie Trust Co bought a new position in Primerica in the 3rd quarter valued at $42,000. Finally, Pension & Wealth Management Advisors Inc. acquired a new position in Primerica in the third quarter worth $43,000. 90.88% of the stock is currently owned by institutional investors and hedge funds.

Primerica Company Profile

Primerica, Inc is a financial services company that focuses on serving middle-income households in the United States and Canada, as well as families in Puerto Rico. The company distributes its products and services through a network of independent representatives who provide financial education and help clients address protection, savings and investment needs.

Primerica's principal offerings include term life insurance, investment and savings products, retirement planning solutions, and strategies for managing debt.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.