MetLife(US:MET) Yahoo Finance·2026-02-03 12:55Core Viewpoint - MetLife, Inc. is considered one of the best cheap stocks to buy for 2026, despite a recent downgrade by Evercore ISI, which lowered its rating to "In Line" and cut the price target from $108 to $97 [1][3]. Group 1: Analyst Downgrade and Earnings Estimates - Evercore ISI's downgrade was influenced by concerns over potential downside to consensus forward earnings, indicating a weakening of MetLife's earnings expectations compared to previous market anticipations [3]. - The firm reduced its 2026 earnings estimate for MetLife by approximately 3.5% and noted that its initial 2027 earnings estimate was about 4-5% below consensus expectations [3]. Group 2: Valuation and Risk Factors - Analysts expressed valuation concerns, stating that MetLife's stock appears relatively expensive compared to mid-cap peers, although it remains cheaper than some larger competitors [3]. - Specific concerns were raised regarding low new money spreads on public corporate bonds and MetLife's higher risk commercial mortgage loan portfolio compared to peers, which was described as a "double-edged sword" for the stock [4]. Group 3: Growth Opportunities - Despite the risks, MetLife has demonstrated impressive growth in Asia, which could serve as a positive factor for the company [5]. - Analysts noted that risk transfer deals could act as a potential catalyst for MetLife's stock performance [5]. Group 4: Company Overview - MetLife, Inc. provides a range of services including insurance, annuities, employee benefits, and asset management across the United States and international markets, covering life, dental, disability, property, and casualty insurance, as well as retirement and savings products [6].