Primerica (NYSE:PRI) Releases Earnings Results, Beats Estimates By $0.38 EPS

Key Points

• Primerica reported quarterly EPS of $6.41, beating the $6.03 analyst consensus by $0.38. Revenue increased 9% year over year, while EPS rose from $5.46 in the prior-year quarter.
• Primerica shares rose 0.6% to $320 following the results, near their 52-week high of $326.78. The company’s market capitalization is approximately $9.98 billion, with a price-to-earnings ratio of 13.42.
• Analyst sentiment remains mixed: TD Cowen raised its price target to $360 with a “buy” rating, while the broader analyst consensus is “Hold” with an average target of $308.67.

Primerica (NYSE:PRI - Get Free Report) released its quarterly earnings data on Wednesday. The financial services provider reported $6.41 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $6.03 by $0.38, Zacks reports. Primerica had a net margin of 22.99% and a return on equity of 32.32%. During the same quarter in the prior year, the firm earned $5.46 EPS. The company's revenue was up 9.0% compared to the same quarter last year.

Primerica Stock Up 0.6%

Shares of NYSE:PRI traded up $1.85 during trading on Wednesday, hitting $320.00. 172,297 shares of the stock traded hands, compared to its average volume of 173,123. The company has a fifty day moving average price of $293.31 and a two-hundred day moving average price of $273.96. The company has a market cap of $9.98 billion, a price-to-earnings ratio of 13.42 and a beta of 0.87. Primerica has a 52-week low of $230.09 and a 52-week high of $326.78.

Insiders Place Their Bets

In related news, CEO Glenn J. Williams sold 1,500 shares of the firm's stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $280.49, for a total transaction of $420,735.00. Following the completion of the sale, the chief executive officer directly owned 33,696 shares of the company's stock, valued at approximately $9,451,391.04. This trade represents a 4.26% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, President Peter W. Schneider sold 1,800 shares of Primerica stock in a transaction dated Monday, May 18th. The stock was sold at an average price of $279.64, for a total value of $503,352.00. Following the sale, the president owned 9,811 shares in the company, valued at $2,743,548.04. This trade represents a 15.50% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 0.63% of the stock is owned by insiders.

Hedge Funds Weigh In On Primerica

A number of large investors have recently made changes to their positions in PRI. Smartleaf Asset Management LLC boosted its position in Primerica by 68.9% during the fourth quarter. Smartleaf Asset Management LLC now owns 179 shares of the financial services provider's stock worth $47,000 after purchasing an additional 73 shares in the last quarter. Larson Financial Group LLC lifted its holdings in Primerica by 154.8% in the 3rd quarter. Larson Financial Group LLC now owns 265 shares of the financial services provider's stock valued at $74,000 after purchasing an additional 161 shares in the last quarter. Geneos Wealth Management Inc. boosted its stake in shares of Primerica by 205.8% during the 1st quarter. Geneos Wealth Management Inc. now owns 263 shares of the financial services provider's stock worth $75,000 after purchasing an additional 177 shares during the last quarter. EverSource Wealth Advisors LLC lifted its stake in shares of Primerica by 72.2% during the second quarter. EverSource Wealth Advisors LLC now owns 310 shares of the financial services provider's stock valued at $85,000 after buying an additional 130 shares during the period. Finally, Advisory Services Network LLC acquired a new position in Primerica in the third quarter valued at $139,000. Hedge funds and other institutional investors own 90.88% of the company's stock.

Analyst Upgrades and Downgrades

Several research firms have issued reports on PRI. TD Cowen lifted their price target on shares of Primerica from $322.00 to $360.00 and gave the stock a "buy" rating in a report on Wednesday, July 22nd. Jefferies Financial Group increased their price objective on Primerica from $266.00 to $268.00 and gave the company a "hold" rating in a report on Friday, July 10th. Morgan Stanley raised their price objective on Primerica from $280.00 to $291.00 and gave the stock an "equal weight" rating in a research report on Thursday, May 21st. Weiss Ratings raised Primerica from a "buy (b)" rating to a "buy (b+)" rating in a research report on Friday, July 24th. Finally, Keefe, Bruyette & Woods increased their price target on Primerica from $305.00 to $323.00 and gave the company a "market perform" rating in a research note on Monday, July 13th. Three equities research analysts have rated the stock with a Buy rating and five have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company has an average rating of "Hold" and a consensus price target of $308.67.

Primerica Company Profile

Primerica, Inc is a financial services company that focuses on delivering term life insurance and investment products to middle-income households in the United States and Canada. The firm operates a network of independent, licensed representatives who provide personalized guidance on coverage needs, retirement planning, and wealth accumulation. Primerica's core mission is to help clients obtain affordable life insurance protection while also offering a suite of savings and investment solutions designed for long-term financial security.

In addition to term life insurance, Primerica offers a range of financial products and services that include mutual funds, annuities, auto and home insurance through partner carriers, and personal lending solutions such as secured and unsecured loans.

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