Primerica (NYSE:PRI) Trading Down 1.3% – Here’s Why

Primerica, Inc. (NYSE:PRI)’s stock price was down 1.3% during trading on Tuesday . The stock traded as low as $277.46 and last traded at $283.53. Approximately 23,731 shares changed hands during trading, a decline of 84% from the average daily volume of 152,140 shares. The stock had previously closed at $287.15.

Analyst Upgrades and Downgrades

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

Primerica Stock Performance

The firm has a market cap of $9.44 billion, a P/E ratio of 21.61 and a beta of 1.09. The stock’s 50 day simple moving average is $287.28 and its 200 day simple moving average is $260.69.

Primerica (NYSE:PRI) last posted its 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 firm had revenue of $774.13 million during the quarter, compared to analyst estimates of $745.25 million. During the same quarter in the prior year, the business posted $4.28 EPS. The business’s revenue was up 11.0% compared to the same quarter last year. As a group, analysts forecast that Primerica, Inc. will post 19.32 EPS for the current fiscal year.

Primerica Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, December 12th. Stockholders of record on Thursday, November 21st will be paid a $0.90 dividend. The ex-dividend date is Thursday, November 21st. This represents a $3.60 annualized dividend and a dividend yield of 1.27%. Primerica’s payout ratio is 27.50%.

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

Insider Transactions at Primerica

In related news, CEO Glenn J. Williams sold 3,000 shares of the business’s stock in a transaction dated Monday, November 11th. The shares were sold at an average price of $301.27, for a total value of $903,810.00. Following the transaction, the chief executive officer now directly owns 36,322 shares of the company’s stock, valued at approximately $10,942,728.94. The trade was a 7.63 % decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 0.61% of the company’s stock.

Hedge Funds Weigh In On Primerica

Hedge funds and other institutional investors have recently made changes to their positions in the stock. V Square Quantitative Management LLC purchased a new position in shares of Primerica in the 3rd quarter worth about $31,000. Prospera Private Wealth LLC purchased a new position in shares of Primerica in the 3rd quarter worth about $31,000. ORG Partners LLC purchased a new position in shares of Primerica in the 2nd quarter worth about $30,000. UMB Bank n.a. boosted its holdings in shares of Primerica by 85.9% in the 3rd quarter. UMB Bank n.a. now owns 145 shares of the financial services provider’s stock worth $38,000 after buying an additional 67 shares during the last quarter. Finally, Larson Financial Group LLC lifted 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 valued at $39,000 after purchasing an additional 54 shares during the last quarter. 90.88% of the stock is owned by hedge funds and other institutional investors.

Primerica Company Profile

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.