Primerica (NYSE:PRI) Lowered to Hold Rating by Zacks Research

Zacks Research lowered shares of Primerica (NYSE:PRI) from a strong-buy rating to a hold rating in a research report report published on Tuesday,Zacks.com reports.

A number of other research firms also recently issued reports on PRI. TD Cowen reaffirmed a “buy” rating on shares of Primerica in a research note on Wednesday, January 28th. Keefe, Bruyette & Woods cut their target price on shares of Primerica from $320.00 to $315.00 and set a “market perform” rating for the company in a report on Tuesday, November 11th. Morgan Stanley set a $292.00 price target on shares of Primerica in a research note on Monday, December 15th. Finally, Weiss Ratings upgraded shares of Primerica from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday, February 6th. Three research analysts have rated the stock with a Buy rating and five have given a Hold rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Hold” and an average target price of $300.00.

Primerica Stock Performance

Shares of NYSE PRI opened at $255.53 on Tuesday. The company has a market cap of $8.16 billion, a P/E ratio of 11.14 and a beta of 0.91. Primerica has a 52-week low of $230.09 and a 52-week high of $296.00. The firm’s fifty day moving average is $260.80 and its two-hundred day moving average is $263.26.

Primerica (NYSE:PRI) last issued its quarterly earnings data on Wednesday, February 11th. The financial services provider reported $6.13 earnings per share for the quarter, beating analysts’ consensus estimates of $5.69 by $0.44. Primerica had a return on equity of 32.30% and a net margin of 22.82%.The firm had revenue of $853.51 million during the quarter, compared to analyst estimates of $839.65 million. During the same quarter last year, the business posted $5.03 earnings per share. The business’s quarterly revenue was up 8.3% compared to the same quarter last year. As a group, analysts forecast that Primerica will post 20.6 EPS for the current fiscal year.

Primerica declared that its board has authorized a share buyback plan on Wednesday, November 19th that permits the company to buyback $475.00 million in outstanding shares. This buyback authorization permits the financial services provider to buy up to 5.8% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s leadership believes its stock is undervalued.

Primerica Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, March 13th. Shareholders of record on Monday, February 23rd will be paid a dividend of $1.20 per share. The ex-dividend date of this dividend is Monday, February 23rd. This is a positive change from Primerica’s previous quarterly dividend of $1.04. This represents a $4.80 annualized dividend and a yield of 1.9%. Primerica’s payout ratio is presently 20.93%.

Insider Buying and Selling at Primerica

In related news, Director Joel M. Babbit sold 700 shares of the company’s stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of $255.00, for a total transaction of $178,500.00. Following the transaction, the director directly owned 8,400 shares in the company, valued at approximately $2,142,000. This represents a 7.69% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Glenn J. Williams sold 2,500 shares of the stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $256.41, for a total transaction of $641,025.00. Following the completion of the sale, the chief executive officer directly owned 27,392 shares in the company, valued at $7,023,582.72. This trade represents a 8.36% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Corporate insiders own 0.61% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of PRI. Bank of Montreal Can lifted its position in shares of Primerica by 5,277.5% during the fourth quarter. Bank of Montreal Can now owns 1,311,634 shares of the financial services provider’s stock worth $338,874,000 after purchasing an additional 1,287,243 shares during the last quarter. Invesco Ltd. grew its holdings in shares of Primerica by 200.3% in the fourth quarter. Invesco Ltd. now owns 357,696 shares of the financial services provider’s stock worth $92,414,000 after purchasing an additional 238,571 shares during the last quarter. Nordea Investment Management AB purchased a new position in Primerica in the 3rd quarter worth about $51,004,000. Life Cycle Investment Partners Ltd purchased a new position in Primerica in the 4th quarter worth about $40,714,000. Finally, Millennium Management LLC lifted its holdings in Primerica by 183.3% during the 4th quarter. Millennium Management LLC now owns 212,196 shares of the financial services provider’s stock valued at $54,823,000 after buying an additional 137,297 shares in the last quarter. Institutional investors own 90.88% of the company’s stock.

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.