Should You Retain Assurant (AIZ) Stock in Your Portfolio?

Core Viewpoint - Assurant, Inc. (AIZ) is experiencing growth driven by its Global Lifestyle business, fee-based capital-light businesses, effective capital management, and positive earnings estimates [1] Earnings Estimates - The Zacks Consensus Estimate for Assurant's 2024 earnings per share indicates a year-over-year increase of 4.3% with revenues projected at $11.66 billion, reflecting a 4.1% improvement [2] - For 2025, earnings per share and revenues are expected to increase by 5% and 3.3%, respectively, compared to 2024 estimates [2] - Earnings have improved by 20.2% over the past five years, surpassing the industry average of 8.7% [2] Earnings Surprise History - Assurant has consistently beaten earnings estimates in the last four quarters, with an average surprise of 42.47% [3] Northbound Estimate Revision - The Zacks Consensus Estimate for 2024 and 2025 earnings has increased by nearly 3.2% and 1%, respectively, in the past 30 days, indicating investor optimism [4] Zacks Rank - Assurant currently holds a Zacks Rank 3 (Hold), with shares gaining 32.5% over the past year compared to the industry's growth of 24.7% [5] Style Score - AIZ has a VGM Score of A, indicating attractive value, strong growth, and promising momentum [7] Business Tailwinds - Assurant's focus on fee-based capital-light businesses, which currently account for 52% of segmental revenues, is expected to grow in double digits over the long term [8] - Improved performance in Homeowners and growth in Connected Living and Global Automotive are anticipated to enhance results in Global Lifestyle [9] Capital Management - Assurant has a robust capital management policy, increasing dividends for 19 consecutive years, and repurchased shares worth $40 million in Q1 2024 [10] - The company plans to repurchase shares in the range of $200-$300 million for 2024, with a free cash flow conversion exceeding 100% in recent quarters [10] - The return on equity (ROE) stands at 20.1%, improving by 760 basis points year over year, outperforming the industry average of 14.1% [10]