Primerica (NYSE:PRI) to Buyback $450.00 million in Outstanding Stock

Primerica (NYSE:PRI) announced that its Board of Directors has approved a share buyback plan on Thursday, November 14th, RTT News reports. The company plans to buyback $450.00 million in outstanding shares. This buyback authorization permits the financial services provider to repurchase up to 4.5% of its shares through open market purchases. Shares buyback plans are typically a sign that the company’s management believes its stock is undervalued.

Primerica Trading Up 0.5 %

PRI opened at $298.41 on Friday. The stock has a market capitalization of $9.96 billion, a P/E ratio of 22.74 and a beta of 1.08. Primerica has a 12-month low of $184.76 and a 12-month high of $304.84. The stock has a 50-day moving average price of $272.79 and a 200-day moving average price of $250.55.

Primerica (NYSE:PRI) last released its quarterly earnings data on Wednesday, November 6th. The financial services provider reported $5.68 earnings per share for the quarter, topping the consensus estimate of $4.81 by $0.87. Primerica had a return on equity of 30.93% and a net margin of 14.95%. The business had revenue of $774.13 million during the quarter, compared to analysts’ expectations of $745.25 million. During the same quarter last year, the business posted $4.28 EPS. The business’s revenue was up 11.0% on a year-over-year basis. On average, equities research analysts predict that Primerica will post 19.12 EPS for the current year.

Primerica Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Thursday, December 12th. Shareholders of record on Thursday, November 21st will be issued a $0.90 dividend. This represents a $3.60 dividend on an annualized basis and a dividend yield of 1.21%. The ex-dividend date is Thursday, November 21st. Primerica’s payout ratio is 27.50%.

Analyst Upgrades and Downgrades

PRI has been the subject of a number of analyst reports. Truist Financial raised their price objective on Primerica from $300.00 to $340.00 and gave the stock a “buy” rating in a research report on Friday, November 8th. Morgan Stanley boosted their price objective on Primerica from $257.00 to $269.00 and gave the company an “equal weight” rating in a report on Monday, August 19th. TD Cowen assumed coverage on Primerica in a research report on Wednesday, October 9th. They set a “buy” rating and a $314.00 target price on the stock. StockNews.com cut Primerica from a “buy” rating to a “hold” rating in a research report on Thursday. Finally, Piper Sandler began coverage on Primerica in a research report on Friday, August 30th. They issued a “neutral” rating and a $283.00 price objective on the stock. Six research analysts have rated the stock with a hold rating and two have given a buy rating to the company. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $288.33.

Insiders Place Their Bets

In related news, Director John A. Jr. Addison sold 2,000 shares of Primerica stock in a transaction on Tuesday, September 10th. The stock was sold at an average price of $253.85, for a total transaction of $507,700.00. Following the transaction, the director now directly owns 15,151 shares in the company, valued at approximately $3,846,081.35. The trade was a 11.66 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Glenn J. Williams sold 3,000 shares of the firm’s stock in a transaction dated Monday, November 11th. The shares were sold at an average price of $301.27, for a total value of $903,810.00. Following the sale, the chief executive officer now directly owns 36,322 shares in the company, valued at approximately $10,942,728.94. This represents a 7.63 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 6,500 shares of company stock valued at $1,803,175. Corporate insiders own 0.85% of the company’s stock.

Primerica Company Profile

Primerica, Inc, together with its subsidiaries, provides financial products and services 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.