Reinsurance Group of America (NYSE:RGA) Hits New 52-Week High - Here's Why

Key Points

• Reinsurance Group of America shares reached a new 52-week high of $251.27, supported by favorable analyst actions. The stock carries a “Moderate Buy” consensus rating and a $262.56 average price target.
• RGA reported quarterly EPS of $8.89, beating estimates of $6.50, while revenue rose 18.5% year over year to $6.64 billion. Analysts expect approximately $29.22 in full-year EPS.
• The company increased its quarterly dividend from $0.93 to $0.98 per share, equivalent to a $3.92 annualized payout and a 1.6% yield; institutional investors own 95.11% of the stock.

Shares of Reinsurance Group of America, Incorporated (NYSE:RGA - Get Free Report) hit a new 52-week high on Wednesday . The company traded as high as $251.27 and last traded at $252.1080, with a volume of 18530 shares. The stock had previously closed at $247.72.

Analyst Ratings Changes

A number of equities analysts have issued reports on the company. Morgan Stanley increased their price target on Reinsurance Group of America from $223.00 to $250.00 and gave the stock an "equal weight" rating in a report on Monday, August 24th. Barclays boosted their target price on shares of Reinsurance Group of America from $278.00 to $290.00 and gave the company an "overweight" rating in a research report on Friday, August 7th. UBS Group upgraded shares of Reinsurance Group of America from a "hold" rating to a "strong-buy" rating in a report on Friday, July 24th. Wall Street Zen upgraded shares of Reinsurance Group of America from a "hold" rating to a "buy" rating in a report on Saturday, May 9th. Finally, TD Cowen raised their target price on Reinsurance Group of America from $212.00 to $235.00 and gave the company a "hold" rating in a research note on Wednesday, July 22nd. One research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, two have given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus price target of $262.56.

Reinsurance Group of America Stock Up 1.8%

The company has a market cap of $16.46 billion, a price-to-earnings ratio of 11.07 and a beta of 0.47. The company has a debt-to-equity ratio of 0.41, a quick ratio of 0.14 and a current ratio of 0.14. The stock's fifty day moving average is $235.89 and its two-hundred day moving average is $218.57.

Reinsurance Group of America (NYSE:RGA - Get Free Report) last issued its quarterly earnings data on Thursday, August 6th. The insurance provider reported $8.89 EPS for the quarter, topping analysts' consensus estimates of $6.50 by $2.39. Reinsurance Group of America had a return on equity of 14.78% and a net margin of 5.81%.The firm had revenue of $6.64 billion during the quarter, compared to analyst estimates of $6.67 billion. During the same period in the previous year, the company posted $4.72 EPS. The company's revenue for the quarter was up 18.5% on a year-over-year basis. Sell-side analysts predict that Reinsurance Group of America, Incorporated will post 29.22 earnings per share for the current fiscal year.

Reinsurance Group of America Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 1st. Investors of record on Tuesday, August 18th were given a $0.98 dividend. This represents a $3.92 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date of this dividend was Tuesday, August 18th. This is an increase from Reinsurance Group of America's previous quarterly dividend of $0.93. Reinsurance Group of America's payout ratio is currently 17.22%.

Insider Transactions at Reinsurance Group of America

In other Reinsurance Group of America news, EVP Jonathan Porter sold 8,589 shares of Reinsurance Group of America stock in a transaction on Wednesday, August 12th. The shares were sold at an average price of $246.30, for a total transaction of $2,115,470.70. Following the transaction, the executive vice president directly owned 14,885 shares of the company's stock, valued at $3,666,175.50. The trade was a 36.59% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. 0.60% of the stock is owned by corporate insiders.

Institutional Trading of Reinsurance Group of America

Hedge funds have recently bought and sold shares of the business. Corient Private Wealth LP grew its stake in Reinsurance Group of America by 195.4% in the 2nd quarter. Corient Private Wealth LP now owns 106,412 shares of the insurance provider's stock valued at $22,629,000 after purchasing an additional 70,385 shares during the period. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new stake in shares of Reinsurance Group of America during the 2nd quarter worth $1,489,000. California State Teachers Retirement System boosted its holdings in shares of Reinsurance Group of America by 21,340.7% in the 2nd quarter. California State Teachers Retirement System now owns 16,194,573 shares of the insurance provider's stock worth $3,443,776,000 after buying an additional 16,119,041 shares during the last quarter. NBH Bank bought a new position in Reinsurance Group of America during the second quarter valued at about $123,000. Finally, AlphaGrep UK Ltd bought a new position in Reinsurance Group of America during the second quarter valued at about $414,000. 95.11% of the stock is currently owned by institutional investors.

About Reinsurance Group of America

Reinsurance Group of America, Incorporated NYSE: RGA is a leading global provider of life and health reinsurance solutions. Headquartered in St. Louis, Missouri, RGA partners with primary insurance companies to help them manage risk, improve capital efficiency and develop innovative products. The company's offerings span traditional risk transfer, financial solutions and facultative underwriting services, enabling clients to address a wide range of mortality, longevity, morbidity and critical-illness exposures.

RGA's product suite includes life reinsurance, living benefits reinsurance, structured reinsurance and financial solutions that support product innovation and capital management.

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