Company Story
1859 - Equitable Life Insurance Company of Iowa founded
1992 - Demutualization and IPO
2004 - Acquired by AXA
2016 - Spin-off from AXA and rebranding as Equitable Holdings, Inc.
2020 - IPO and listing on the New York Stock Exchange
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The Group Retirement segment provides tax-deferred investment and retirement services or products to plans sponsored by educational entities, municipalities, and not-for-profit entities, as well as small and medium-sized businesses.The Investment Management and Research segment offers diversified investment management, research, and related solutions to various clients through institutional, retail, and private wealth management channels; and distributes its institutional research products and solutions.The Protection Solutions segment provides various variable universal life, indexed universal life, and term life products to help affluent and high net worth individuals, as well as small and medium-sized business owners; and a suite of life, short- and long-term disability, dental, and vision insurance products to small and medium-size businesses.
The company was formerly known as AXA Equitable Holdings, Inc.and changed its name to Equitable Holdings, Inc.in January 2020.
Equitable Holdings, Inc.was founded in 1859 and is based in New York, New York. Show Full description
1. Company Snapshot
1.a. Company Description
Equitable Holdings, Inc., together with its consolidated subsidiaries, operates as a diversified financial services company worldwide.The company operates through four segments: Individual Retirement, Group Retirement, Investment Management and Research, and Protection Solutions.The Individual Retirement segment offers a suite of variable annuity products primarily to affluent and high net worth individuals.
The Group Retirement segment provides tax-deferred investment and retirement services or products to plans sponsored by educational entities, municipalities, and not-for-profit entities, as well as small and medium-sized businesses.The Investment Management and Research segment offers diversified investment management, research, and related solutions to various clients through institutional, retail, and private wealth management channels; and distributes its institutional research products and solutions.The Protection Solutions segment provides various variable universal life, indexed universal life, and term life products to help affluent and high net worth individuals, as well as small and medium-sized business owners; and a suite of life, short- and long-term disability, dental, and vision insurance products to small and medium-size businesses.
The company was formerly known as AXA Equitable Holdings, Inc.and changed its name to Equitable Holdings, Inc.in January 2020.
Equitable Holdings, Inc.was founded in 1859 and is based in New York, New York. Show Full description
1.b. Last Insights on EQH
Negative drivers include a sell rating from one analyst, as reported by Marketbeat, and insider selling, such as COO Jeffrey Hurd's sale of 6,790 shares. Additionally, institutional investors like Massachusetts Financial Services Co. MA and Federated Hermes Inc. have reduced their stakes, with the latter selling 69,297 shares. Furthermore, Equitable Holdings has been added to the Zacks Rank #5 (Strong Sell) List, citing concerns over its key metrics.
1.c. Company Highlights
2. Equitable Holdings Delivers Strong FY Results, Boosts Guidance
Equitable Holdings reported full-year non-GAAP operating earnings of $5.64 per share, or $6.21 per share after adjusting for notable items, up 1% from 2024. The actual EPS came out at $1.76, beating estimates of $1.75. Assets under management and administration reached a record $1.1 trillion, up 10% year-over-year, driven by strong sales growth in Retirement and Wealth Management.
Publication Date: Feb -16
📋 Highlights
- Non-GAAP Earnings Growth:: Full-year adjusted EPS rose to $6.21 (up 1% from 2024) after notable items, with 2026 EPS growth expected to exceed 12-15% long-term target.
- Organic Cash Flow Projections:: Generated $1.6 billion in 2025, targeting $1.8 billion in 2026 and $2 billion in 2027, reflecting improved cash generation.
- Record AUM Growth:: Assets under management/administration hit $1.1 trillion (10% YoY increase), driven by Retirement and Wealth segments.
- Shareholder Returns:: Returned $1.8 billion to shareholders in 2025, leveraging $2 billion capital freed via RGA reinsurance transaction reducing mortality exposure by 75%.
- Private Credit Confidence:: 16% of total GA in private credit (50% in corporate placements) with only 3% elevated-risk watch list, underscoring portfolio quality.
Segmental Performance
The Retirement segment saw net flows of $5.9 billion, a 4% organic growth rate, driven by record RILA sales, which grew 12% year-over-year. Wealth Management experienced net inflows of $8.4 billion, a 13% organic growth rate, with the number of productive wealth planners increasing by 12%. AllianceBernstein saw net outflows of $11.3 billion but reported strong momentum in its private markets business, which grew AUM by 18% to $82 billion.
Valuation and Growth Prospects
Equitable Holdings' adjusted book value per share ex AOCI and with AB at market value was $33.84. The company's Price-to-Book Ratio stands at -181.88, indicating potential undervaluation. With expected mid- to high single-digit growth in pretax earnings in Retirement and double-digit growth in Wealth Management, the company's growth prospects appear robust. Analysts estimate next year's revenue growth at 7.6%.
Capital Management and Dividend Yield
The company returned $1.8 billion to shareholders in 2025, including $500 million of additional share repurchases executed after a life reinsurance transaction with RGA. The Dividend Yield stands at 2.37%, providing a relatively stable source of return for investors. Equitable expects to grow cash flows 10% in 2026, driven by higher asset and wealth earnings and larger expected retirement dividends.
Private Credit Portfolio and Risk Management
The company addressed concerns over its private credit portfolio, noting that it makes up 16% of its total GA, with 50% in corporate private placements. The direct lending portion is only 1% of the total GA, mitigating potential risks. Equitable feels confident about the quality of its private credit portfolio, with only 3% of companies having elevated risk ratings on its watch list.
Outlook and Targets
Equitable remains on track to meet its 2027 targets, including $2 billion of cash, a 60-70% payout ratio, and 12-15% EPS CAGR. The guidance given probably gets the company to the lower end of the EPS CAGR range, but it still has levers, such as expenses, to reach this range. With a strong balance sheet and increasing organic cash generation, Equitable is well-positioned to return capital to shareholders while investing for growth.
3. NewsRoom
Illinois Municipal Retirement Fund Grows Stock Position in Equitable Holdings, Inc. $EQH
Feb -14
Caisse Des Depots ET Consignations Has $3.67 Million Stock Position in Equitable Holdings, Inc. $EQH
Feb -12
Equitable Holdings Announces Additional $1 Billion Share Repurchase Authorization and Declares Common and Preferred Stock Dividends
Feb -11
Truist Financial Corp Purchases 21,127 Shares of Equitable Holdings, Inc. $EQH
Feb -08
Equitable Holdings, Inc. (EQH) Q4 2025 Earnings Call Transcript
Feb -05
Compared to Estimates, Equitable Holdings (EQH) Q4 Earnings: A Look at Key Metrics
Feb -05
Equitable Holdings, Inc. (EQH) Q4 Earnings Beat Estimates
Feb -05
Manning & Napier Group, LLC Reduces Stake in UnitedHealth Group Inc by 65.05%
Feb -04
4. Business Breakdown
4.a. Revenues by Country
4.b. Revenues by Segment
5. Expected revenues mid-term growth (6.86%)
6. Segments
Investment Management and Research
Expected Growth:
Equitable Holdings, Inc.'s 9.76% growth in Investment Management and Research is driven by increasing demand for diversified investment products, expansion of distribution channels, and strategic partnerships. Additionally, the company's focus on digital transformation, cost savings initiatives, and strong brand recognition have contributed to its growth momentum.
Protection Solutions
Expected Growth:
Equitable Holdings' Protection Solutions segment growth of 5.4% is driven by increasing demand for life insurance and annuity products, expansion into new distribution channels, and strategic partnerships. Additionally, the company's focus on digital transformation and customer-centric approach have improved sales and retention rates, contributing to the segment's growth.
Adjustments
Expected Growth:
The 5.4% growth driven by Adjustments from Equitable Holdings, Inc. is attributed to increased premiums, favorable mortality experience, and expense management. Additionally, the company's strategic investments in digital transformation and expansion into new markets have contributed to the growth. Furthermore, the company's efforts to improve operational efficiency and reduce costs have also had a positive impact.
Individual Retirement
Expected Growth:
Equitable Holdings, Inc.'s Individual Retirement segment growth of 6.37% is driven by increasing demand for retirement savings products, expansion of distribution channels, and strategic partnerships. Additionally, the company's focus on digital transformation, competitive pricing, and product innovation have contributed to the growth. Furthermore, the rising popularity of fee-based advisory services and the growing need for retirement income solutions have also supported the segment's growth.
Wealth Management
Expected Growth:
Wealth Management from Equitable Holdings, Inc. achieved 8.23% growth driven by increasing demand for retirement planning, expansion of fee-based advisory services, and strategic acquisitions. Additionally, the segment benefited from a rise in assets under management, fueled by market appreciation and net inflows. These factors, combined with effective cost management, contributed to the segment's robust growth.
Corporate and Other
Expected Growth:
Equitable Holdings, Inc.'s Corporate and Other segment growth of 7.4% is driven by strategic investments in digital transformation, expansion of alternative investment channels, and cost savings initiatives. Additionally, the segment benefits from a low interest rate environment, driving demand for retirement savings products and increasing fee-based revenue streams.
Group Retirement
Expected Growth:
Equitable Holdings' Group Retirement segment growth of 5.4% is driven by increasing demand for retirement plans, expansion of distribution channels, and strategic partnerships. Additionally, the segment benefits from a strong brand presence, competitive pricing, and a growing need for employers to offer retirement benefits to attract and retain talent.
Eliminations
Expected Growth:
The 5.45% growth in Eliminations from Equitable Holdings, Inc. is driven by increased demand for insurance products, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on digital transformation and cost savings initiatives have contributed to improved operational efficiency, further boosting growth.
Legacy
Expected Growth:
Legacy from Equitable Holdings, Inc. with 4.83% growth driven by strong brand recognition, diversified product offerings, and a large distribution network. Additionally, the company's focus on digital transformation, cost savings initiatives, and strategic acquisitions have contributed to its growth momentum.
7. Detailed Products
Variable Life Insurance
A type of permanent life insurance that allows policyholders to invest their cash value in various investments.
Term Life Insurance
A type of life insurance that provides coverage for a specified period of time (e.g., 10, 20, or 30 years).
Universal Life Insurance
A type of permanent life insurance that combines a death benefit with a savings component.
Indexed Universal Life Insurance
A type of universal life insurance that earns interest based on the performance of a specific stock market index.
Fixed Annuities
A type of annuity that provides a fixed rate of return for a specified period of time.
Variable Annuities
A type of annuity that allows policyholders to invest their funds in various investments.
Retirement Plans
A type of savings plan designed to help individuals save for retirement.
8. Equitable Holdings, Inc.'s Porter Forces
Forces Ranking
Threat Of Substitutes
The threat of substitutes for Equitable Holdings, Inc. is medium due to the presence of alternative financial services and products offered by competitors.
Bargaining Power Of Customers
The bargaining power of customers for Equitable Holdings, Inc. is low due to the company's strong brand reputation and diversified product offerings.
Bargaining Power Of Suppliers
The bargaining power of suppliers for Equitable Holdings, Inc. is medium due to the company's dependence on a few key suppliers for certain products and services.
Threat Of New Entrants
The threat of new entrants for Equitable Holdings, Inc. is high due to the relatively low barriers to entry in the financial services industry and the increasing trend of fintech startups.
Intensity Of Rivalry
The intensity of rivalry for Equitable Holdings, Inc. is high due to the highly competitive nature of the financial services industry and the presence of established players.
9. SWOT Analysis
10. Capital Structure
10.a. Balance Sheet
10.b. Weighted Average Cost of capital
| Value | |
|---|---|
| Debt Weight | 60.60% |
| Debt Cost | 3.95% |
| Equity Weight | 39.40% |
| Equity Cost | 10.91% |
| WACC | 6.69% |
| Leverage | 153.79% |
11. Quality Control: Equitable Holdings, Inc. passed 5 out of 9 key points
12.a Historical Valuation
12.b Price/Earnings Ratio
12.c Margin Valuation
12.d Peers Valuation
Peers Group Analysis
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1-Year Total Return ->
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Value: 5.4
Growth: 7.8
Quality: 3.6
Yield: 4.0
Momentum: 5.0
Volatility: 7.0
1-Year Total Return ->