MCKINNEY, Texas, Nov. 18, 2024 /PRNewswire/ -- Globe Life Inc. (NYSE:GL) announced that its Board of Directors has approved an authorization to repurchase up to $1.8 billion of common stock under the Company's existing stock repurchase program. This authorization has no set time period and replaces the previous authorization of $1.3 billion announced on April 29, 2024. "We are pleased to announce this new authorization, which demonstrates the Board's well-founded confidence in our business model. Our insura ...

Globe Life Inc.’s (GL) third-quarter 2024 net operating income of $3.49 per share beat the Zacks Consensus Estimate by 14.4%. The bottom line improved 29% year over year, primarily driven by higher excess investment income and insurance underwriting income.Behind the HeadlinesGlobe Life reported total premium revenues of $1.2 billion, up 5% year over year. This upside was primarily driven by higher premiums from Life and Health insurance.Net investment income increased 7% year over year to $284.9 million.Th ...

Globe Life (GL) reported $1.46 billion in revenue for the quarter ended September 2024, representing a year-over-year increase of 5.1%. EPS of $3.49 for the same period compares to $2.71 a year ago.The reported revenue represents a surprise of -0.66% over the Zacks Consensus Estimate of $1.47 billion. With the consensus EPS estimate being $3.05, the EPS surprise was +14.43%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine ...

Globe Life (GL) came out with quarterly earnings of $3.49 per share, beating the Zacks Consensus Estimate of $3.05 per share. This compares to earnings of $2.71 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 14.43%. A quarter ago, it was expected that this life and health insurance company would post earnings of $2.90 per share when it actually produced earnings of $2.97, delivering a surprise of 2.41%.Over the last four quar ...

GLOBE LIFE INC. REPORTS Third Quarter 2024 Results McKinney, TX, October 23, 2024—Globe Life Inc. (NYSE: GL) reported today that for the quarter ended September 30, 2024, net income was $3.44 per diluted common share, compared with $2.68 per diluted common share for the year-ago quarter. Net operating income for the quarter was $3.49 per diluted common share, compared with $2.71 per diluted common share for the year-ago quarter. HIGHLIGHTS: l Net income as an ROE was 22.4% for the nine months ended Septembe ...

In its upcoming report, Globe Life (GL) is predicted by Wall Street analysts to post quarterly earnings of $3.05 per share, reflecting an increase of 12.6% compared to the same period last year. Revenues are forecasted to be $1.47 billion, representing a year-over-year increase of 5.8%.The consensus EPS estimate for the quarter has been revised 0.1% lower over the last 30 days to the current level. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during ...

Core Viewpoint - Globe Life (GL) is anticipated to report a year-over-year increase in earnings driven by higher revenues, with the actual results being a significant factor influencing its near-term stock price [1][2]. Earnings Expectations - The earnings report is scheduled for October 23, 2024, with expectations that better-than-expected key numbers could lead to a stock price increase, while missing estimates may result in a decline [2]. - The consensus estimate for Globe Life's quarterly earnings is $3.05 per share, reflecting a year-over-year increase of +12.6%, with revenues projected at $1.47 billion, up 5.8% from the previous year [3]. Estimate Revisions - Over the last 30 days, the consensus EPS estimate has been revised down by 0.11%, indicating a reassessment by analysts [4]. - The Most Accurate Estimate for Globe Life is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +0.25%, suggesting a bullish outlook from analysts [10]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive Earnings ESP reading is a strong predictor of an earnings beat, especially when combined with a Zacks Rank of 1 (Strong Buy), 2 (Buy), or 3 (Hold) [8]. - Globe Life currently holds a Zacks Rank of 3, indicating a likelihood of beating the consensus EPS estimate [10]. Historical Performance - In the last reported quarter, Globe Life exceeded the expected earnings of $2.90 per share by delivering $2.97, resulting in a surprise of +2.41% [11]. - Over the past four quarters, Globe Life has surpassed consensus EPS estimates three times [12]. Industry Context - Moody's (MCO), a peer in the Zacks Financial - Miscellaneous Services industry, is expected to report earnings of $2.75 per share for the same quarter, reflecting a year-over-year change of +13.2%, with revenues projected at $1.69 billion, up 14.6% [16]. - Moody's has seen a 1.5% upward revision in its consensus EPS estimate over the last 30 days, resulting in a positive Earnings ESP of 7.57% and a Zacks Rank of 2 (Buy), indicating a strong likelihood of beating the consensus EPS estimate [17].

Company Overview - Globe Life Inc. (GL) is positioned to benefit from increased life and health sales, improved invested assets, higher productivity and agent count, strong liquidity, and effective capital deployment [1] - The company has experienced a positive revenue trend driven by premium growth in its Life Insurance and Health Insurance segments, as well as net investment income [1] Future Growth Drivers - The American Income and Liberty National divisions are expected to drive future revenue growth, with Liberty National benefiting from improved productivity and agent count [2] - Globe Life's expansion initiatives in densely populated and less penetrated areas are anticipated to contribute to future growth [2] - Net life and health sales for Liberty National are projected to grow in the mid-teens percentage range [2] Investment Income - Net investment income is a crucial driver of the company's top-line growth and has shown improvement over recent years [3] - This metric is expected to continue growing due to enhanced invested assets and higher interest rates on new investments [3] Financial Position - Globe Life maintains a strong liquidity position with robust cash-generation capabilities from its life and health insurance operations [4] - The company has set a target for a consolidated Company Action Level RBC ratio of 300-320% for 2024 [4] Capital Management - A strong capital position allows Globe Life to enhance shareholder value through share buybacks and dividend payouts [5] - The company has consistently increased its dividend over the past eight years (2016-2023) at a compound annual growth rate (CAGR) of 6.79% [5] Expense Management - Globe Life has faced rising expenses in recent years, including higher policyholder benefits, amortization of deferred acquisition costs, and administrative expenses [6] - For 2024, administrative expenses are expected to be approximately 7% of premiums, which is an increase from 2023 levels [6] Debt Levels - The company's long-term debt has been increasing, with a deterioration in the debt-to-capital ratio [7] - As of June 30, 2024, total debt rose by 11% year over year, leading to higher interest expenses [7]

Company Overview - Globe Life Inc. is an insurance holding company based in McKinney, TX, founded in 1979, primarily marketing individual life and supplemental health insurance to lower-middle to middle-income households in the United States [11] - The company offers a variety of nonparticipating ordinary life insurance products, including traditional whole life, term life, and supplemental health insurance products such as Medicare Supplement and critical illness plans [11] Investment Ratings - Globe Life is currently rated 3 (Hold) on the Zacks Rank, with a VGM Score of B, indicating a moderate investment potential [12] - The company has a Momentum Style Score of B, with shares increasing by 5.4% over the past four weeks [12] Earnings Estimates - For fiscal 2024, six analysts have revised their earnings estimates upwards in the last 60 days, with the Zacks Consensus Estimate increasing by $0.18 to $11.93 per share [12] - Globe Life has an average earnings surprise of 1.5%, suggesting a positive trend in earnings performance [12] Investment Considerations - With a solid Zacks Rank and top-tier Momentum and VGM Style Scores, Globe Life is recommended for investors looking for potential opportunities in the finance sector [13]

Core Viewpoint - Globe Life Inc. has faced significant challenges in 2023, with a 16.7% decline in share price year-to-date, underperforming both the finance sector and the broader market, despite positive growth projections for earnings and revenues in the coming years [1][6][15] Financial Performance - Globe Life's shares have decreased by 16.7% in 2023, while the finance sector and S&P 500 have seen returns of 12% and 15%, respectively [1] - The company has been struggling with rising expenses, including policyholder benefits, acquisition costs, and interest expenses, leading to an increase in total expenses [2] - Administrative expenses are projected to be around 7% of premiums in 2024, which is an increase from 2023 levels [3] Debt and Capital Structure - Globe Life's long-term debt has risen, with a debt-to-capital ratio worsening; total debt increased by 11% year-over-year as of June 30, 2024 [4] - The company faces higher interest expenses due to its elevated debt levels, which could impact its creditworthiness if not managed properly [4] Stock Performance and Technical Analysis - The stock closed at $101.34, above its 50-day simple moving average of $93.43, indicating a potential uptrend [5] Growth Projections - The Zacks Consensus Estimate predicts a 12% year-over-year increase in earnings per share for 2024, with revenues expected to reach $5.82 billion, reflecting a 5.5% improvement [6] - For 2025, earnings per share and revenues are projected to grow by 10.6% and 4.7%, respectively, compared to 2024 estimates [6] Analyst Sentiment - Recent analyst activity shows one analyst has raised 2024 estimates, while two have increased 2025 estimates, indicating a slight positive sentiment [7] Return on Capital - Globe Life's trailing 12-month return on equity stands at 21.9%, surpassing the industry average of 20.9%, indicating effective utilization of shareholder funds [7] - The return on invested capital (ROIC) is 13.3%, significantly higher than the industry average of 4.6%, reflecting improved efficiency in generating income [8] Revenue Drivers - Revenue growth is being driven by premium increases in the Life Insurance and Health Insurance segments, as well as net investment income [9] - Strong performance from the American Income and Liberty National divisions is expected to contribute positively to future revenue growth [10] - Net investment income has shown improvement and is anticipated to continue growing due to better invested assets and higher interest rates [11] Liquidity and Capital Position - Globe Life maintains a strong liquidity position with robust cash generation capabilities, targeting a consolidated Company Action Level RBC ratio of 300-320% for 2024 [12] Shareholder Value - The company has a strong capital position, allowing for share buybacks and dividend payouts, with dividends increasing at a CAGR of 6.79% over the past eight years [13] Valuation - Globe Life is trading at a discount compared to the industry average, with a forward 12-month price-to-book ratio of 7.91X, lower than the industry average of 13.54X, presenting a compelling investment opportunity [14] Conclusion - Despite facing higher expenses, Globe Life's growth in life and health sales, improved investment assets, strong liquidity, and effective capital deployment suggest potential for recovery and sustained growth, making it a stock worth holding [15]