Primerica (NYSE:PRI) Shares Up 0.5% – Still a Buy?

Shares of Primerica, Inc. (NYSE:PRI) shot up 0.5% during mid-day trading on Tuesday . The stock traded as high as $277.34 and last traded at $276.59. 17,890 shares traded hands during trading, a decline of 86% from the average session volume of 126,684 shares. The stock had previously closed at $275.24.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on PRI shares. TD Cowen upped their target price on Primerica from $314.00 to $345.00 and gave the company a “buy” rating in a research report on Tuesday, November 26th. Truist Financial upped their price target on shares of Primerica from $300.00 to $340.00 and gave the company a “buy” rating in a report on Friday, November 8th. StockNews.com lowered shares of Primerica from a “buy” rating to a “hold” rating in a report on Monday. Finally, Piper Sandler cut their target price on shares of Primerica from $313.00 to $300.00 and set a “neutral” rating on the stock in a research note on Wednesday, December 18th. Six equities research analysts have rated the stock with a hold rating and two have given a buy rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $296.33.

Primerica Stock Up 0.9 %

The firm’s 50 day moving average is $286.17 and its two-hundred day moving average is $267.23. The stock has a market cap of $9.29 billion, a price-to-earnings ratio of 21.26 and a beta of 1.11.

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

Primerica Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Thursday, December 12th. Stockholders of record on Thursday, November 21st were issued a dividend of $0.90 per share. This represents a $3.60 annualized dividend and a dividend yield of 1.29%. The ex-dividend date was Thursday, November 21st. Primerica’s dividend payout ratio (DPR) is 27.50%.

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

Insider Buying and Selling

In related news, CEO Glenn J. Williams sold 3,000 shares of the firm’s stock in a transaction that occurred on Monday, November 11th. The stock was sold at an average price of $301.27, for a total value of $903,810.00. Following the sale, 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 position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 0.61% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently modified their holdings of the business. V Square Quantitative Management LLC bought a new position in Primerica in the 3rd quarter valued at about $31,000. Prospera Private Wealth LLC bought a new position in shares of Primerica in the third quarter valued at approximately $31,000. UMB Bank n.a. increased its stake in shares of Primerica by 85.9% during the third quarter. UMB Bank n.a. now owns 145 shares of the financial services provider’s stock valued at $38,000 after acquiring an additional 67 shares during the period. Larson Financial Group LLC raised its holdings in Primerica by 56.8% during the third quarter. Larson Financial Group LLC now owns 149 shares of the financial services provider’s stock worth $39,000 after purchasing an additional 54 shares in the last quarter. Finally, Strategic Financial Concepts LLC bought a new stake in Primerica during the second quarter worth approximately $71,000. 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.