Reinsurance Group of America (NYSE:RGA) Hits New 12-Month High Following Earnings Beat

Reinsurance Group of America, Incorporated (NYSE:RGA)’s share price reached a new 52-week high during trading on Friday following a stronger than expected earnings report. The stock traded as high as $227.80 and last traded at $225.1940, with a volume of 76458 shares traded. The stock had previously closed at $205.99.

The insurance provider reported $7.75 earnings per share for the quarter, topping analysts’ consensus estimates of $5.86 by $1.89. The business had revenue of $6.64 billion for the quarter, compared to analysts’ expectations of $6.25 billion. Reinsurance Group of America had a net margin of 3.89% and a return on equity of 12.19%. The business’s revenue for the quarter was up 26.6% on a year-over-year basis. During the same period in the prior year, the company posted $4.99 EPS.

Reinsurance Group of America Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Tuesday, March 3rd. Investors of record on Tuesday, February 17th will be issued a $0.93 dividend. This represents a $3.72 dividend on an annualized basis and a yield of 1.7%. The ex-dividend date is Tuesday, February 17th. Reinsurance Group of America’s payout ratio is presently 28.62%.

Key Headlines Impacting Reinsurance Group of America

Here are the key news stories impacting Reinsurance Group of America this week:

• Positive Sentiment: Q4 results materially beat expectations — RGA reported $7.75 EPS vs. consensus ~$5.86 and revenue ~ $6.6B vs. ~$6.25B, with revenue up ~26.6% year-over-year; the beat and strong underlying growth are the primary drivers of the stock move. Read More.
• Positive Sentiment: Dividend declared — RGA announced a quarterly dividend of $0.93 per share (yield ~1.8%), record date Feb 17 and payable Mar 3; the cash return supports investor sentiment and income-focused demand. Read More.
• Neutral Sentiment: Analyst/metric deep dives follow the print — coverage (Zacks and others) is parsing underlying metrics (ROE, margins, reserve movements) to assess sustainability of the beat; these analyses will guide near-term estimate revisions. Read More.
• Neutral Sentiment: Company strategy coverage — pieces on RGA’s investment positioning (e.g., its Portland industrial investment focus and leadership changes) provide context for longer-term earnings and capital deployment but are not immediate catalysts. Read More.
• Negative Sentiment: Some forward estimates and focus items may be slipping — articles note analysts are re‑assessing estimates and items in focus could temper upside if revisions are meaningful; monitor guidance/comments on reserves, capital actions and investment results. Read More.

Analyst Ratings Changes

Several equities research analysts have commented on RGA shares. TD Cowen restated a “hold” rating on shares of Reinsurance Group of America in a research note on Wednesday, January 28th. Morgan Stanley set a $208.00 target price on Reinsurance Group of America in a research report on Monday, December 15th. Raymond James Financial cut shares of Reinsurance Group of America from a “market perform” rating to an “underperform” rating in a report on Friday, October 17th. Piper Sandler boosted their target price on shares of Reinsurance Group of America from $220.00 to $230.00 and gave the stock an “overweight” rating in a report on Tuesday, December 23rd. Finally, Weiss Ratings restated a “buy (b-)” rating on shares of Reinsurance Group of America in a research report on Monday, December 29th. Eight equities 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. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $239.56.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of RGA. Richard W. Paul & Associates LLC boosted its position in Reinsurance Group of America by 3.7% during the second quarter. Richard W. Paul & Associates LLC now owns 1,523 shares of the insurance provider’s stock worth $302,000 after purchasing an additional 54 shares during the period. Rehmann Capital Advisory Group boosted its holdings in Reinsurance Group of America by 1.3% during the third quarter. Rehmann Capital Advisory Group now owns 4,281 shares of the insurance provider’s stock valued at $819,000 after acquiring an additional 54 shares during the period. Bessemer Group Inc. grew its position in shares of Reinsurance Group of America by 1.0% in the third quarter. Bessemer Group Inc. now owns 5,776 shares of the insurance provider’s stock valued at $1,110,000 after purchasing an additional 58 shares during the last quarter. Xponance Inc. lifted its position in shares of Reinsurance Group of America by 0.8% during the 3rd quarter. Xponance Inc. now owns 7,637 shares of the insurance provider’s stock worth $1,467,000 after purchasing an additional 58 shares during the last quarter. Finally, Geneos Wealth Management Inc. boosted its stake in Reinsurance Group of America by 17.6% during the 1st quarter. Geneos Wealth Management Inc. now owns 388 shares of the insurance provider’s stock valued at $76,000 after purchasing an additional 58 shares during the period. Institutional investors own 95.11% of the company’s stock.

Reinsurance Group of America Trading Up 8.9%

The company has a 50-day simple moving average of $199.85 and a 200 day simple moving average of $193.48. The company has a market capitalization of $14.74 billion, a P/E ratio of 17.19 and a beta of 0.53. The company has a debt-to-equity ratio of 0.44, a quick ratio of 0.13 and a current ratio of 0.13.

About Reinsurance Group of America

Reinsurance Group of America, Incorporated (NYSE: RGA) is a leading global provider of life and health reinsurance solutions. Headquartered in St. Louis, Missouri, RGA partners with primary insurance companies to help them manage risk, improve capital efficiency and develop innovative products. The company’s offerings span traditional risk transfer, financial solutions and facultative underwriting services, enabling clients to address a wide range of mortality, longevity, morbidity and critical-illness exposures.

RGA’s product suite includes life reinsurance, living benefits reinsurance, structured reinsurance and financial solutions that support product innovation and capital management.