Reinsurance Group of America, Incorporated (NYSE:RGA) Receives Average Rating of "Moderate Buy" from Brokerages

Key Points

• Reinsurance Group of America received an average analyst rating of “Moderate Buy” from 11 brokerage firms, with seven buy ratings, three holds, and one sell. The consensus 12-month price target is $251.25.
• The company reported strong quarterly results, posting EPS of $6.97 versus expectations of $6.03 and revenue of $6.49 billion, slightly above estimates. Revenue also rose 23.5% from the same quarter last year.
• RGA recently paid a quarterly dividend of $0.93 per share, or $3.72 annualized, for a yield of about 1.8%. Insider selling was also noted, including a large sale by EVP Ronald Herrmann.

Reinsurance Group of America, Incorporated (NYSE:RGA - Get Free Report) has been given an average rating of "Moderate Buy" by the eleven ratings firms that are covering the stock, Marketbeat reports. One equities research analyst has rated the stock with a sell recommendation, three have given a hold recommendation and seven have given a buy recommendation to the company. The average 12-month target price among brokers that have issued a report on the stock in the last year is $251.25.

A number of analysts recently issued reports on the stock. Weiss Ratings restated a "buy (b)" rating on shares of Reinsurance Group of America in a report on Wednesday, May 13th. Barclays raised their price objective on shares of Reinsurance Group of America from $256.00 to $268.00 and gave the stock an "overweight" rating in a report on Friday, May 8th. Morgan Stanley raised their price objective on shares of Reinsurance Group of America from $208.00 to $223.00 and gave the stock an "equal weight" rating in a report on Tuesday, March 3rd. Evercore restated an "outperform" rating and set a $267.00 price objective on shares of Reinsurance Group of America in a report on Monday, May 18th. Finally, JPMorgan Chase & Co. raised their price objective on shares of Reinsurance Group of America from $264.00 to $270.00 and gave the stock an "overweight" rating in a report on Thursday, May 7th.

Reinsurance Group of America Stock Performance

NYSE RGA opened at $209.28 on Tuesday. Reinsurance Group of America has a 52-week low of $165.52 and a 52-week high of $229.21. The company has a 50-day simple moving average of $208.48 and a 200 day simple moving average of $206.56. The company has a debt-to-equity ratio of 0.46, a quick ratio of 0.14 and a current ratio of 0.14. The company has a market capitalization of $13.71 billion, a PE ratio of 11.34 and a beta of 0.47.

Reinsurance Group of America (NYSE:RGA - Get Free Report) last posted its quarterly earnings data on Thursday, May 7th. The insurance provider reported $6.97 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $6.03 by $0.94. Reinsurance Group of America had a net margin of 4.92% and a return on equity of 13.16%. The business had revenue of $6.49 billion during the quarter, compared to the consensus estimate of $6.47 billion. During the same quarter last year, the company posted $5.66 earnings per share. The firm's quarterly revenue was up 23.5% compared to the same quarter last year. On average, research analysts predict that Reinsurance Group of America will post 26.88 EPS for the current year.

Reinsurance Group of America Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 2nd. Shareholders of record on Tuesday, May 19th were given a dividend of $0.93 per share. This represents a $3.72 dividend on an annualized basis and a yield of 1.8%. The ex-dividend date was Tuesday, May 19th. Reinsurance Group of America's dividend payout ratio (DPR) is currently 20.15%.

Insider Transactions at Reinsurance Group of America

In other Reinsurance Group of America news, EVP Ronald Herrmann sold 7,000 shares of the stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $210.58, for a total transaction of $1,474,060.00. Following the completion of the transaction, the executive vice president owned 3,938 shares in the company, valued at $829,264.04. This trade represents a 64.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, EVP John W. Hayden sold 414 shares of the firm's stock in a transaction that occurred on Wednesday, May 20th. The shares were sold at an average price of $214.95, for a total transaction of $88,989.30. Following the completion of the transaction, the executive vice president owned 20,949 shares of the company's stock, valued at $4,502,987.55. This trade represents a 1.94% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 0.60% of the stock is owned by company insiders.

Institutional Investors Weigh In On Reinsurance Group of America

Several hedge funds have recently bought and sold shares of the stock. NewEdge Advisors LLC lifted its position in Reinsurance Group of America by 25.2% during the first quarter. NewEdge Advisors LLC now owns 2,017 shares of the insurance provider's stock valued at $412,000 after purchasing an additional 406 shares during the last quarter. Ritter Alpha LP bought a new stake in shares of Reinsurance Group of America in the 1st quarter worth approximately $273,000. Edgestream Partners L.P. lifted its holdings in shares of Reinsurance Group of America by 402.0% in the 1st quarter. Edgestream Partners L.P. now owns 64,482 shares of the insurance provider's stock worth $13,165,000 after acquiring an additional 51,638 shares during the last quarter. Bull Harbor Capital LLC bought a new stake in shares of Reinsurance Group of America in the 1st quarter worth approximately $590,000. Finally, EverSource Wealth Advisors LLC lifted its holdings in shares of Reinsurance Group of America by 15.7% in the 1st quarter. EverSource Wealth Advisors LLC now owns 1,787 shares of the insurance provider's stock worth $365,000 after acquiring an additional 243 shares during the last quarter. 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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