Reinsurance Group of America (NYSE:RGA) Reaches New 1-Year High After Analyst Upgrade

Key Points

• RGA reached a new 52-week high, trading as high as $272.54 after Piper Sandler raised its price target from $274 to $300 and reiterated an overweight rating. Analysts’ consensus rating is Buy, with an average target of $278.62.
• The reinsurer reported quarterly EPS of $8.49, beating the $6.97 consensus estimate, and revenue of $7.55 billion versus forecasts of $6.69 billion.
• RGA declared a quarterly dividend of $0.98 per share, equivalent to $3.92 annually and a 1.4% yield.

Reinsurance Group of America, Incorporated (NYSE:RGA - Get Free Report) shares hit a new 52-week high during mid-day trading on Tuesday after Piper Sandler raised their price target on the stock from $274.00 to $300.00. Piper Sandler currently has an overweight rating on the stock. Reinsurance Group of America traded as high as $272.54 and last traded at $272.4950, with a volume of 80,468 shares trading hands. The stock had previously closed at $266.75.

A number of other analysts have also recently weighed in on RGA. Morgan Stanley raised Reinsurance Group of America from an "equal weight" rating to an "overweight" rating and set a $295.00 price objective for the company in a research report on Monday, September 28th. Wells Fargo & Company lifted their target price on Reinsurance Group of America from $291.00 to $292.00 and gave the company an "overweight" rating in a research note on Monday, October 12th. Barclays set a $292.00 target price on Reinsurance Group of America in a report on Thursday, October 8th. UBS Group upgraded Reinsurance Group of America from a "hold" rating to a "strong-buy" rating in a research note on Friday, July 24th. Finally, Weiss Ratings reaffirmed a "buy (b)" rating on shares of Reinsurance Group of America in a report on Wednesday, November 4th. One equities research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and one has assigned a Hold rating to the company. According to MarketBeat, Reinsurance Group of America currently has a consensus rating of "Buy" and a consensus price target of $278.62.

Insider Activity

In other news, EVP Jonathan Porter sold 8,589 shares of the firm's stock in a transaction that occurred 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 completion of the transaction, the executive vice president directly owned 14,885 shares of the company's stock, valued at $3,666,175.50. This trade represents a 36.59% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.60% of the stock is owned by company insiders.

Institutional Trading of Reinsurance Group of America

Hedge funds have recently bought and sold shares of the company. Edgestream Partners L.P. acquired a new position in Reinsurance Group of America in the 3rd quarter worth about $4,826,000. Optas LLC bought a new position in Reinsurance Group of America in the third quarter valued at about $231,000. Mawer Investment Management Ltd. acquired a new stake in shares of Reinsurance Group of America during the third quarter valued at about $3,232,000. Allworth Financial LP boosted its stake in shares of Reinsurance Group of America by 2.7% during the third quarter. Allworth Financial LP now owns 2,175 shares of the insurance provider's stock valued at $536,000 after purchasing an additional 57 shares in the last quarter. Finally, Russell Investments Group Ltd. boosted its stake in shares of Reinsurance Group of America by 0.6% during the third quarter. Russell Investments Group Ltd. now owns 252,024 shares of the insurance provider's stock valued at $62,066,000 after purchasing an additional 1,499 shares in the last quarter. Institutional investors and hedge funds own 95.11% of the company's stock.

Reinsurance Group of America Stock Performance

The company has a market capitalization of $17.79 billion, a P/E ratio of 10.54 and a beta of 0.43. The company has a debt-to-equity ratio of 0.41, a current ratio of 0.14 and a quick ratio of 0.14. The company has a fifty day moving average price of $255.58 and a two-hundred day moving average price of $226.69.

Reinsurance Group of America (NYSE:RGA - Get Free Report) last released its quarterly earnings results on Thursday, November 5th. The insurance provider reported $8.49 earnings per share (EPS) for the quarter, topping the consensus estimate of $6.97 by $1.52. The firm had revenue of $7.55 billion during the quarter, compared to analyst estimates of $6.69 billion. Reinsurance Group of America had a net margin of 5.81% and a return on equity of 14.78%. During the same quarter last year, the business earned $6.37 EPS. Equities analysts forecast that Reinsurance Group of America, Incorporated will post 29.78 earnings per share for the current fiscal year.

Reinsurance Group of America Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, December 1st. Investors of record on Tuesday, November 17th will be given a $0.98 dividend. The ex-dividend date of this dividend is Tuesday, November 17th. This represents a $3.92 annualized dividend and a yield of 1.4%. Reinsurance Group of America's dividend payout ratio (DPR) is presently 15.15%.

Reinsurance Group of America Company Profile

Reinsurance Group of America, Incorporated (RGA) is a global life and health reinsurer. It works with insurance companies to help them manage risks and support the development and distribution of insurance products.

Its services include life and health reinsurance, as well as solutions involving longevity risk and asset-intensive reinsurance. RGA also provides underwriting expertise, data and analytics, and product and risk-management support to its clients.

Founded in 1973, RGA serves clients across North America, Latin America, Europe, the Middle East and Africa, and Asia Pacific.

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