Globe Life (NYSE:GL) Sets New 1-Year Low After Earnings Miss

Globe Life Inc. (NYSE:GL)’s share price hit a new 52-week low on Wednesday following a weaker than expected earnings announcement. The company traded as low as $119.57 and last traded at $123.33, with a volume of 1355635 shares trading hands. The stock had previously closed at $123.97.

The company reported $3.07 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $3.24 by ($0.17). Globe Life had a net margin of 18.53% and a return on equity of 22.32%. The company had revenue of $1.48 billion during the quarter, compared to analysts’ expectations of $1.49 billion. During the same quarter in the prior year, the business earned $2.78 EPS. The business’s revenue for the quarter was up 4.5% compared to the same quarter last year.

Globe Life Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Friday, August 1st. Stockholders of record on Thursday, July 3rd will be given a $0.27 dividend. This represents a $1.08 dividend on an annualized basis and a dividend yield of 0.92%. The ex-dividend date is Thursday, July 3rd. Globe Life’s dividend payout ratio is currently 9.04%.

Analyst Ratings Changes

Several equities analysts have weighed in on GL shares. Wells Fargo & Company dropped their target price on shares of Globe Life from $141.00 to $140.00 and set an “overweight” rating for the company in a report on Thursday, April 10th. JPMorgan Chase & Co. raised their price objective on shares of Globe Life from $136.00 to $145.00 and gave the stock an “overweight” rating in a research note on Wednesday, April 2nd. Evercore ISI upgraded Globe Life from an “in-line” rating to an “outperform” rating and increased their target price for the company from $132.00 to $143.00 in a report on Wednesday, January 8th. Piper Sandler raised their price target on Globe Life from $140.00 to $152.00 and gave the stock an “overweight” rating in a research report on Wednesday, April 2nd. Finally, BMO Capital Markets initiated coverage on Globe Life in a research note on Thursday, January 23rd. They set a “market perform” rating and a $114.00 price objective on the stock. Four equities research analysts have rated the stock with a hold rating, six have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $137.55.

Insider Activity

In other Globe Life news, CEO Frank M. Svoboda sold 11,000 shares of the business’s stock in a transaction dated Thursday, February 13th. The stock was sold at an average price of $122.31, for a total transaction of $1,345,410.00. Following the completion of the sale, the chief executive officer now owns 18,948 shares of the company’s stock, valued at approximately $2,317,529.88. The trade was a 36.73 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO James Matthew Darden sold 24,890 shares of the firm’s stock in a transaction dated Tuesday, February 11th. The stock was sold at an average price of $121.52, for a total value of $3,024,632.80. Following the completion of the transaction, the chief executive officer now owns 38,973 shares in the company, valued at approximately $4,735,998.96. This trade represents a 38.97 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Corporate insiders own 1.97% of the company’s stock.

Hedge Funds Weigh In On Globe Life

Hedge funds and other institutional investors have recently made changes to their positions in the business. World Investment Advisors LLC boosted its position in shares of Globe Life by 34.7% in the third quarter. World Investment Advisors LLC now owns 5,704 shares of the company’s stock worth $604,000 after buying an additional 1,469 shares during the period. Retirement Systems of Alabama boosted its holdings in Globe Life by 6.4% in the 3rd quarter. Retirement Systems of Alabama now owns 19,702 shares of the company’s stock worth $2,087,000 after acquiring an additional 1,179 shares during the period. DGS Capital Management LLC purchased a new stake in shares of Globe Life during the third quarter valued at approximately $212,000. Principal Financial Group Inc. lifted its position in shares of Globe Life by 9.0% during the third quarter. Principal Financial Group Inc. now owns 105,315 shares of the company’s stock worth $11,154,000 after purchasing an additional 8,663 shares in the last quarter. Finally, Versant Capital Management Inc boosted its stake in shares of Globe Life by 388.0% in the fourth quarter. Versant Capital Management Inc now owns 244 shares of the company’s stock valued at $27,000 after purchasing an additional 194 shares during the period. Institutional investors and hedge funds own 81.61% of the company’s stock.

Globe Life Stock Down 4.4 %

The firm has a market capitalization of $9.81 billion, a PE ratio of 9.86 and a beta of 0.60. The company has a quick ratio of 0.05, a current ratio of 0.05 and a debt-to-equity ratio of 0.50. The firm’s 50 day moving average price is $124.05 and its two-hundred day moving average price is $116.67.

Globe Life Company Profile

Globe Life Inc, through its subsidiaries, provides various life and supplemental health insurance products, and annuities to lower middle- and middle-income families in the United States. The company operates in four segments: Life Insurance, Supplemental Health Insurance, Annuities, and Investments.