Legal & General Group Plc has reduced its holdings in Primerica, Inc. (NYSE: PRI) by 0.7% during the second quarter of 2023. The financial services provider, which focuses on middle-income households in the United States and Canada, saw Legal & General sell 490 shares, bringing its total ownership to 67,900 shares. As of the end of the most recent quarter, these shares were valued at approximately $18.58 million.
Several other institutional investors have also adjusted their positions in Primerica. Hilltop National Bank acquired a new stake valued at about $31,000, while Cullen Frost Bankers Inc. purchased shares worth approximately $33,000. First Horizon Advisors Inc. significantly increased its investment by 1,714.3%, owning 127 shares valued at $35,000 after acquiring an additional 120 shares. Similarly, AdvisorNet Financial Inc. raised its holdings by 108.5% during the same period, now owning 148 shares worth $41,000. Headlands Technologies LLC also lifted its position by 2,300.0%, with a total of 168 shares valued at $48,000. Overall, institutional investors and hedge funds now own 90.88% of Primerica’s stock.
On the market, Primerica’s stock opened at $257.95 on Friday. The company has a fifty-day moving average price of $264.63 and a 200-day moving average price of $266.59. The stock has fluctuated between a one-year low of $230.98 and a high of $306.10. Primerica currently holds a market capitalization of $8.23 billion, a P/E ratio of 11.85, and a beta of 0.96.
Recent Dividend Declaration and Share Repurchase Plan
Primerica has announced a quarterly dividend of $1.04 per share, to be paid on December 15, 2023. Shareholders of record on November 21, 2023 will receive this dividend, representing an annualized yield of 1.6%. The company’s payout ratio is currently 19.12%.
In addition, on November 19, 2023, Primerica’s Board of Directors initiated a share repurchase plan that allows the company to buy back up to $475 million in shares, equating to approximately 5.8% of its stock. Such repurchase plans often indicate that a company’s board believes its shares are undervalued.
Analyst Ratings and Insider Transactions
Recent analysis from various equities research firms has resulted in several rating changes for Primerica. BMO Capital Markets upgraded the stock from a “market perform” to an “outperform” rating, increasing its price target from $292.00 to $318.00. Conversely, Keefe, Bruyette & Woods lowered their price target from $320.00 to $315.00, maintaining a “market perform” rating. Jefferies Financial Group adjusted its target price from $293.00 to $283.00, recommending a “hold” rating. Zacks Research upgraded Primerica from a “hold” to a “strong-buy” rating, while Weiss Ratings affirmed a “buy (b-)” rating.
Currently, one analyst rates Primerica as a Strong Buy, two as Buy, and four as Hold, leading to a consensus rating of “Moderate Buy” with a price target of $301.80, according to MarketBeat.com.
In insider trading news, President Peter W. Schneider sold 2,000 shares on November 17, 2023, at an average price of $255.30, totaling $510,600. Following this transaction, Schneider’s ownership decreased by 21.50% to 7,301 shares, valued at approximately $1.86 million. CEO Glenn J. Williams also sold 2,500 shares on November 12, 2023 for $649,125, reducing his holdings by 6.87% to 33,892 shares, valued at about $8.8 million.
Primerica, Inc. operates through four segments: Term Life Insurance, Investment and Savings Products, Senior Health, and Corporate and Other Distributed Products. As the company continues to make adjustments in its stock holdings and receive varied analyst ratings, it remains a key player in the financial services industry.
