Reinsurance Group of America, Incorporated (NYSE:RGA) Sees Significant Increase in Short Interest

Key Points

• The short interest in Reinsurance Group of America increased significantly by 54.4% in September, totaling 881,200 shares as of the end of the month.
• Reinsurance Group of America reported a decrease in earnings per share, missing estimates with $4.72, compared to an expected $5.58, along with a year-over-year revenue growth of 14.8%.
• The company announced a dividend increase to $0.93 per share, reflecting a yield of 2.0%, with a payout ratio of 32.29%.

Reinsurance Group of America, Incorporated (NYSE:RGA - Get Free Report) was the recipient of a significant growth in short interest during the month of September. As of September 30th, there was short interest totaling 881,200 shares, a growth of 54.4% from the September 15th total of 570,600 shares. Currently, 1.3% of the shares of the company are short sold. Based on an average trading volume of 466,500 shares, the short-interest ratio is presently 1.9 days. Based on an average trading volume of 466,500 shares, the short-interest ratio is presently 1.9 days. Currently, 1.3% of the shares of the company are short sold.

Institutional Trading of Reinsurance Group of America

Hedge funds have recently added to or reduced their stakes in the stock. Alpine Bank Wealth Management acquired a new stake in Reinsurance Group of America in the first quarter valued at approximately $28,000. Golden State Wealth Management LLC lifted its holdings in shares of Reinsurance Group of America by 164.3% during the first quarter. Golden State Wealth Management LLC now owns 148 shares of the insurance provider's stock worth $29,000 after purchasing an additional 92 shares during the period. Cornerstone Planning Group LLC lifted its holdings in shares of Reinsurance Group of America by 224.1% during the first quarter. Cornerstone Planning Group LLC now owns 175 shares of the insurance provider's stock worth $33,000 after purchasing an additional 121 shares during the period. TCTC Holdings LLC lifted its holdings in shares of Reinsurance Group of America by 107.2% during the first quarter. TCTC Holdings LLC now owns 172 shares of the insurance provider's stock worth $34,000 after purchasing an additional 89 shares during the period. Finally, Headlands Technologies LLC lifted its holdings in shares of Reinsurance Group of America by 357.1% during the first quarter. Headlands Technologies LLC now owns 224 shares of the insurance provider's stock worth $44,000 after purchasing an additional 175 shares during the period. Institutional investors and hedge funds own 95.11% of the company's stock.

Reinsurance Group of America Price Performance

NYSE:RGA traded down $1.17 during mid-day trading on Wednesday, reaching $188.21. The stock had a trading volume of 349,856 shares, compared to its average volume of 356,336. Reinsurance Group of America has a 12 month low of $159.25 and a 12 month high of $233.81. The company has a debt-to-equity ratio of 0.47, a current ratio of 0.16 and a quick ratio of 0.16. The stock has a market capitalization of $12.44 billion, a PE ratio of 16.34 and a beta of 0.60. The stock has a 50-day simple moving average of $191.73 and a two-hundred day simple moving average of $193.14.

Reinsurance Group of America (NYSE:RGA - Get Free Report) last issued its earnings results on Thursday, July 31st. The insurance provider reported $4.72 earnings per share for the quarter, missing analysts' consensus estimates of $5.58 by ($0.86). Reinsurance Group of America had a net margin of 3.54% and a return on equity of 12.56%. The company had revenue of $5.60 billion during the quarter, compared to analyst estimates of $5.70 billion. During the same quarter in the prior year, the business earned $5.48 EPS. The business's quarterly revenue was up 14.8% on a year-over-year basis. On average, equities analysts anticipate that Reinsurance Group of America will post 22.9 earnings per share for the current year.

Reinsurance Group of America Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, August 26th. Shareholders of record on Tuesday, August 12th were given a $0.93 dividend. This is an increase from Reinsurance Group of America's previous quarterly dividend of $0.89. This represents a $3.72 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date was Tuesday, August 12th. Reinsurance Group of America's dividend payout ratio (DPR) is 32.29%.

Wall Street Analyst Weigh In

Several equities research analysts have issued reports on the stock. Weiss Ratings restated a "hold (c+)" rating on shares of Reinsurance Group of America in a research report on Wednesday, October 8th. JPMorgan Chase & Co. raised their target price on shares of Reinsurance Group of America from $237.00 to $264.00 and gave the stock an "overweight" rating in a report on Tuesday, July 8th. Wells Fargo & Company lowered their target price on shares of Reinsurance Group of America from $249.00 to $241.00 and set an "overweight" rating on the stock in a report on Monday, August 4th. Morgan Stanley lowered their target price on shares of Reinsurance Group of America from $210.00 to $195.00 and set an "equal weight" rating on the stock in a report on Monday, August 18th. Finally, Barclays reaffirmed an "overweight" rating and set a $246.00 target price on shares of Reinsurance Group of America in a report on Wednesday, October 8th. Seven research analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has issued a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Moderate Buy" and an average target price of $241.56.

Reinsurance Group of America Company Profile

Reinsurance Group of America, Incorporated engages in reinsurance business. The company offers individual and group life and health insurance products, such as term life, credit life, universal life, whole life, group life and health, joint and last survivor insurance, critical illness, disability, and longevity products; asset-intensive and financial reinsurance products; and other capital motivated solutions.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.