Primerica (NYSE:PRI) Shares Down 2.7% – Here’s What Happened

Primerica, Inc. (NYSE:PRI) dropped 2.7% on Monday . The stock traded as low as $287.23 and last traded at $287.52. Approximately 14,497 shares traded hands during trading, a decline of 90% from the average daily volume of 152,305 shares. The stock had previously closed at $295.59.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on the company. StockNews.com raised Primerica from a “hold” rating to a “buy” rating in a research note on Friday, November 22nd. Morgan Stanley raised their price target on Primerica from $257.00 to $269.00 and gave the stock an “equal weight” rating in a research report on Monday, August 19th. Truist Financial boosted their price objective on shares of Primerica from $300.00 to $340.00 and gave the company a “buy” rating in a research report on Friday, November 8th. TD Cowen raised their target price on shares of Primerica from $314.00 to $345.00 and gave the stock a “buy” rating in a report on Tuesday, November 26th. Finally, Piper Sandler started coverage on shares of Primerica in a report on Friday, August 30th. They set a “neutral” rating and a $283.00 price target on the stock. Five investment analysts have rated the stock with a hold rating and three have assigned a buy rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $293.50.

Primerica Stock Performance

The company has a market capitalization of $9.38 billion, a P/E ratio of 21.48 and a beta of 1.09. The company’s fifty day simple moving average is $286.95 and its 200-day simple moving average is $260.54.

Primerica (NYSE:PRI) last released its quarterly earnings results on Wednesday, November 6th. The financial services provider reported $5.68 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.81 by $0.87. Primerica had a net margin of 14.95% and a return on equity of 30.93%. The business had revenue of $774.13 million for the quarter, compared to analyst estimates of $745.25 million. During the same period in the previous year, the company earned $4.28 earnings per share. The business’s revenue for the quarter was up 11.0% on a year-over-year basis. On average, sell-side analysts predict that Primerica, Inc. will post 19.32 EPS for the current year.

Primerica Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 12th. Shareholders of record on Thursday, November 21st will be given a dividend of $0.90 per share. This represents a $3.60 annualized dividend and a yield of 1.28%. The ex-dividend date of this dividend is Thursday, November 21st. Primerica’s dividend payout ratio is presently 27.50%.

Primerica announced that its board has approved a stock buyback program on Thursday, November 14th that authorizes the company to buyback $450.00 million in shares. This buyback authorization authorizes the financial services provider to purchase up to 4.5% of its stock through open market purchases. Stock buyback programs are typically a sign that the company’s management believes its stock is undervalued.

Insider Activity

In other news, CEO Glenn J. Williams sold 3,000 shares of the firm’s stock in a transaction dated Monday, November 11th. The stock was sold at an average price of $301.27, for a total value of $903,810.00. Following the completion of the transaction, the chief executive officer now directly owns 36,322 shares in the company, valued at $10,942,728.94. This trade represents a 7.63 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Corporate insiders own 0.61% of the company’s stock.

Institutional Investors Weigh In On Primerica

A number of large investors have recently bought and sold shares of the company. ORG Partners LLC acquired a new stake in Primerica during the 2nd quarter valued at approximately $30,000. V Square Quantitative Management LLC acquired a new position in Primerica during the third quarter valued at $31,000. Prospera Private Wealth LLC purchased a new stake in Primerica in the third quarter valued at $31,000. UMB Bank n.a. grew its position in Primerica by 85.9% during the 3rd quarter. UMB Bank n.a. now owns 145 shares of the financial services provider’s stock worth $38,000 after purchasing an additional 67 shares during the period. Finally, Larson Financial Group LLC raised its stake in shares of Primerica by 56.8% during the 3rd quarter. Larson Financial Group LLC now owns 149 shares of the financial services provider’s stock valued at $39,000 after buying an additional 54 shares during the last quarter. Hedge funds and other institutional investors own 90.88% of the company’s stock.

About Primerica

Primerica, Inc, together with its subsidiaries, provides financial products and services to middle-income households in the United States and Canada. The company operates in four segments: Term Life Insurance; Investment and Savings Products; Senior Health; and Corporate and Other Distributed Products.