-0.16%
7.32%
5.23%
15.69%
24.39%
88.73%
145.68%
AI Spotlight on PRI
Company Description
Primerica, Inc., together with its subsidiaries, provides financial products 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.The Term Life Insurance segment underwrites individual term life insurance products.
The Investment and Savings Products segment provides mutual funds and various retirement plans, managed investments, variable and fixed annuities, and fixed indexed annuities.The Senior Health segment offers segregated funds; and medicare advantage and supplement products.The Corporate and Other Distributed Products segment provides mortgage loans; prepaid legal services that assist subscribers with legal matters, such as drafting wills, living wills and powers of attorney, trial defense, and motor vehicle-related matters; ID theft defense services; auto and homeowners' insurance; home automation solutions; and insurance products, including supplemental health, accidental death, and disability for small businesses.
It distributes and sells its products through a network of 129,515 licensed sales representatives.Primerica, Inc.was founded in 1927 and is headquartered in Duluth, Georgia.
Market Data
| Last Price | 291.28 |
| Change Percentage | -0.16% |
| Open | 293.92 |
| Previous Close | 291.75 |
| Market Cap ( Millions) | 9720 |
| Volume | 156862 |
| Year High | 307.91 |
| Year Low | 184.76 |
| M A 50 | 286.12 |
| M A 200 | 257.51 |
Financial Ratios
| FCF Yield | 7.93% |
| Dividend Yield | 1.13% |
| ROE | 21.89% |
| Debt / Equity | 101.77% |
| Net Debt / EBIDTA | 259.80% |
| Price To Book | 5.06 |
| Price Earnings Ratio | 21.64 |
| Price To FCF | 12.62 |
| Price To sales | 3.16 |
| EV / EBITDA | 20.24 |
News
- Jan -21 - L.A. Wildfires: 3 Insurance Stocks Standing Strong Amid Recovery
- Jan -09 - Zacks Industry Outlook Sun Life Financial, Reinsurance Group of America, Primerica, Voya Financial and Lincoln National
- Jan -08 - 5 Life Insurance Stocks to Watch Amid a Low Interest Rate Environment
- Jan -03 - Primerica Senior Field Leaders Convene to Cast Vision for Growth at 2025 Leadership Meeting
- Dec -27 - Buy These 5 Insurance Stocks That Zoomed Past S&P 500 in 2024
- Dec -23 - Down -10.02% in 4 Weeks, Here's Why You Should You Buy the Dip in Primerica (PRI)
- Dec -21 - Our Top 10 Dividend Growth Stocks - December 2024
- Dec -20 - 3 Insurers Set to Continue Their Winning Streak in 2025
- Dec -02 - Primerica: Future Dividend Growth Potential, As Earnings Outlook Positive
- Nov -19 - Primerica Q3 Earnings Beat on Strong Term Life Insurance Sales
- Nov -18 - Is the Options Market Predicting a Spike in Primerica (PRI) Stock?
- Nov -15 - PFSL Fund Management Ltd. Announces Risk Rating Change for Primerica Income Fund
- Nov -14 - Primerica Announces $450 Million Share Repurchase Program for 2025
- Nov -08 - Primerica, Inc. (PRI) Q3 2024 Earnings Call Transcript
- Nov -07 - Primerica (PRI) Reports Q3 Earnings: What Key Metrics Have to Say
- Nov -07 - Primerica (PRI) Surpasses Q3 Earnings and Revenue Estimates
- Nov -06 - Primerica Reports Third Quarter 2024 Results
- Oct -16 - 5 Life Insurance Stocks to Buy Despite Fed's Interest Rate Cut
- Sep -25 - PRI Near 52-Week High: Should You Add the Stock to Your Portfolio Now?
- Sep -24 - Primerica Names Robert H. Peterman, Jr. as Successor to Chief Operating Officer
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Term Life Insurance
Expected Growth : 3.5 %
What the company do ?
Term Life Insurance from Primerica, Inc. provides affordable coverage for a specified period, offering a death benefit to beneficiaries if the policyholder passes away during the term.
Why we expect these perspectives ?
Primerica's Term Life Insurance growth is driven by increasing demand for affordable protection products, a large underserved middle-income market, and a robust distribution network of independent representatives. Additionally, the company's focus on term life insurance and investment products for Main Street families, as well as its cost-effective business model, contribute to its 3.5% growth.
Segment n°2 -> Investment and Savings Products
Expected Growth : 3.8 %
What the company do ?
Primerica's Investment and Savings Products offer a range of financial solutions, including mutual funds, annuities, and IRAs, to help individuals achieve their long-term financial goals.
Why we expect these perspectives ?
Primerica's 3.8% growth in Investment and Savings Products is driven by increasing demand for retirement planning, rising middle-class income, and a growing need for financial literacy. Additionally, the company's distribution model, which leverages a large network of independent representatives, enables efficient customer acquisition and retention.
Segment n°3 -> Corporate and Other Distributed Products
Expected Growth : 4.2 %
What the company do ?
Corporate and Other Distributed Products from Primerica, Inc. offers a range of financial products and services, including insurance, investments, and debt consolidation, to individuals and businesses.
Why we expect these perspectives ?
Primerica's Corporate and Other Distributed Products segment growth of 4.2% is driven by increasing demand for investment and savings products, expansion of distribution channels, and strategic partnerships. Additionally, the company's digital transformation efforts and cost savings initiatives have improved operational efficiency, contributing to the segment's growth.
Segment n°4 -> Senior Health
Expected Growth : 4.5 %
What the company do ?
Senior Health from Primerica, Inc. offers supplemental health insurance to seniors, covering out-of-pocket medical expenses, hospital stays, and doctor visits, providing financial protection and peace of mind.
Why we expect these perspectives ?
Primerica's Senior Health segment growth of 4.5% is driven by increasing demand for Medicare Advantage and Supplement plans, expansion of distribution channels, and strategic partnerships. Additionally, the company's focus on digital transformation, improved customer engagement, and competitive pricing strategies contribute to the growth.
Primerica, Inc. Products
| Product Range | What is it ? |
|---|---|
| Term Life Insurance | Provides temporary life insurance coverage for a specified period of time (e.g., 10, 20, or 30 years) with a fixed premium rate. |
| Investments | Offers a range of investment products, including mutual funds, exchange-traded funds (ETFs), and variable annuities, to help clients achieve their long-term financial goals. |
| Auto and Home Insurance | Provides insurance coverage for vehicles and homes, offering protection against accidents, theft, and natural disasters. |
| Long-Term Care Insurance | Helps cover the cost of long-term care services, such as assisted living, home care, or nursing home care, in the event of a chronic illness or disability. |
| Debt Consolidation Loans | Offers loans to consolidate high-interest debt, providing a single, lower-interest loan to simplify finances and reduce debt. |
| Identity Theft Protection | Provides monitoring and protection services to help prevent and respond to identity theft, including credit monitoring and restoration. |
Primerica, Inc.'s Porter Forces
Threat Of Substitutes
Primerica's insurance and financial services are not easily substitutable, but customers may choose to invest in other financial instruments or seek alternative insurance providers.
Bargaining Power Of Customers
Primerica's customers have limited bargaining power due to the company's diversified product offerings and large customer base.
Bargaining Power Of Suppliers
Primerica has a diversified supplier base, and its suppliers have limited bargaining power due to the company's large scale and negotiating power.
Threat Of New Entrants
The insurance and financial services industry has high barriers to entry, including regulatory hurdles and significant capital requirements, making it difficult for new entrants to compete with Primerica.
Intensity Of Rivalry
The insurance and financial services industry is highly competitive, with many established players competing for market share, which increases the intensity of rivalry for Primerica.
Strength
Capital Structure
| Value | |
|---|---|
| Debt Weight | 49.01% |
| Debt Cost | 3.95% |
| Equity Weight | 50.99% |
| Equity Cost | 9.42% |
| WACC | 6.74% |
| Leverage | 96.13% |
Primerica, Inc. : Quality Control
Primerica, Inc. passed 6 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| CNO | CNO Financial Group, Inc., through its subsidiaries, develops, markets, and administers health insurance, annuity, individual life insurance, and other insurance products for senior and middle-income markets in the United States. … |
| UNM | Unum Group, together with its subsidiaries, provides financial protection benefit solutions primarily in the United States, the United Kingdom, and Poland. It operates through Unum US, Unum International, Colonial Life, … |
| AEL | American Equity Investment Life Holding Company, through its subsidiaries, provides life insurance products in the United States. The company issues fixed index and rate annuities, as well as single premium … |
| GNW | Genworth Financial, Inc. provides insurance products in the United States and internationally. The company operates in three segments: Enact, U.S. Life Insurance, and Runoff. The Enact segment offers mortgage insurance … |
| FG | F&G Annuities & Life, Inc. provides fixed annuities and life insurance products. It serves retail annuity and life customers, as well as institutional clients. The company was founded in 1959 … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Unum
A-Score
1-Year Total Return ->
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CNO Financial Group
A-Score
1-Year Total Return ->
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Primerica
A-Score
1-Year Total Return ->
4
American Equity
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1-Year Total Return ->
5
Genworth Financial
A-Score
1-Year Total Return ->
6
