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

Reinsurance Group of America, Incorporated (NYSE:RGA)’s stock price reached a new 52-week high 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 trading hands. The stock had previously closed at $205.99.

The insurance provider reported $7.75 earnings per share (EPS) for the quarter, topping the consensus estimate of $5.86 by $1.89. Reinsurance Group of America had a return on equity of 13.34% and a net margin of 4.99%.The company had revenue of $6.64 billion for the quarter, compared to analyst estimates of $6.25 billion. During the same quarter last year, the company posted $4.99 earnings per share. The business’s quarterly revenue was up 26.6% compared to the same quarter last year.

Reinsurance Group of America Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, March 3rd. Shareholders of record on Tuesday, February 17th will be given a dividend of $0.93 per share. The ex-dividend date of this dividend is Tuesday, February 17th. This represents a $3.72 annualized dividend and a yield of 1.6%. Reinsurance Group of America’s payout ratio is 28.62%.

Reinsurance Group of America News Roundup

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

• Positive Sentiment: Q4 earnings beat — RGA reported EPS of $7.75 vs. consensus ~$5.86 and revenue of roughly $6.6B, up ~26.6% year-over-year; the results materially exceeded estimates and are the main driver of the rally. Press Release
• Positive Sentiment: Dividend confirmed — the board declared a quarterly dividend of $0.93 per share (annualized yield ~1.6%), reinforcing cash return to shareholders and supporting investor sentiment. Dividend Announcement
• Positive Sentiment: Strong full-year commentary — company materials and analyst notes flag robust underlying results for the year and favorable trends in reinsurance/investment income that supported full-year performance. TipRanks Summary
• Neutral Sentiment: Conference call / transcript available — management provided detail on drivers (business mix, investment positioning, and the Portland industrial exposure) that investors will parse for sustainability of results; read the transcript for specific management remarks. Earnings Call Transcript
• Neutral Sentiment: Analyst coverage and metric analysis — outlets (Zacks, Investing, Yahoo) highlight the beats but note metrics analysts will watch (loss reserves, investment yields, and expense trends); these analyses help set expectations for upcoming quarters. Zacks Analysis
• Negative Sentiment: Short-term liquidity and margin context — the company’s reported ratios (low current/quick ratios) and a modest net margin (~3.9%) are areas of caution for some investors concerned about balance-sheet flexibility and expense/leverage sensitivity. Company Financials Snapshot

Analyst Ratings Changes

RGA has been the topic of a number of recent research reports. 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. TD Cowen reissued a “hold” rating on shares of Reinsurance Group of America in a research report on Wednesday, January 28th. Wells Fargo & Company upped their target price on shares of Reinsurance Group of America from $237.00 to $238.00 and gave the company an “overweight” rating in a report on Tuesday, January 13th. Morgan Stanley set a $208.00 target price on shares of Reinsurance Group of America in a research note on Monday, December 15th. Finally, Barclays set a $245.00 price target on Reinsurance Group of America and gave the stock an “overweight” rating in a report on Friday. Eight analysts have rated the stock with a Buy rating, three have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $243.22.

Institutional Investors Weigh In On Reinsurance Group of America

A number of institutional investors have recently added to or reduced their stakes in the business. WCM Investment Management LLC lifted its holdings in shares of Reinsurance Group of America by 3.6% in the 3rd quarter. WCM Investment Management LLC now owns 2,734,458 shares of the insurance provider’s stock valued at $519,356,000 after buying an additional 94,479 shares during the period. American Century Companies Inc. raised its position in Reinsurance Group of America by 15.9% in the third quarter. American Century Companies Inc. now owns 2,369,057 shares of the insurance provider’s stock worth $455,167,000 after acquiring an additional 324,239 shares in the last quarter. State Street Corp lifted its holdings in Reinsurance Group of America by 2.8% in the third quarter. State Street Corp now owns 2,346,447 shares of the insurance provider’s stock valued at $450,823,000 after acquiring an additional 64,296 shares during the period. Geode Capital Management LLC boosted its position in shares of Reinsurance Group of America by 4.6% during the 2nd quarter. Geode Capital Management LLC now owns 1,219,609 shares of the insurance provider’s stock worth $241,960,000 after purchasing an additional 53,211 shares in the last quarter. Finally, Dimensional Fund Advisors LP grew its stake in shares of Reinsurance Group of America by 4.7% during the 3rd quarter. Dimensional Fund Advisors LP now owns 1,098,564 shares of the insurance provider’s stock worth $211,054,000 after purchasing an additional 49,323 shares during the period. Hedge funds and other institutional investors own 95.11% of the company’s stock.

Reinsurance Group of America Stock Performance

The stock’s 50 day moving average price is $200.57 and its two-hundred day moving average price is $193.72. The company has a current ratio of 0.13, a quick ratio of 0.13 and a debt-to-equity ratio of 0.44. The firm has a market capitalization of $14.83 billion, a price-to-earnings ratio of 12.71 and a beta of 0.53.

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.