DB:MWZ

Stock Analysis Report

Executive Summary

MetLife, Inc. engages in the insurance, annuities, employee benefits, and asset management businesses.

Snowflake

Fundamentals

Undervalued established dividend payer.


Similar Companies

Share Price & News

How has MetLife's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

5.5%

MWZ

3.1%

DE Insurance

4.1%

DE Market


1 Year Return

10.7%

MWZ

21.8%

DE Insurance

2.4%

DE Market

Return vs Industry: MWZ underperformed the German Insurance industry which returned 21.8% over the past year.

Return vs Market: MWZ exceeded the German Market which returned 2.4% over the past year.


Shareholder returns

MWZIndustryMarket
7 Day5.5%3.1%4.1%
30 Day-2.7%3.7%1.7%
90 Day-4.3%2.9%3.7%
1 Year14.9%10.7%27.2%21.8%5.6%2.4%
3 Year8.8%-1.8%70.3%49.7%19.2%8.9%
5 Year24.4%5.5%120.2%76.4%43.2%23.7%

Price Volatility Vs. Market

How volatile is MetLife's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is MetLife undervalued compared to its fair value and its price relative to the market?

43.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: MWZ (€42) is trading below our estimate of fair value (€74.83)

Significantly Undervalued: MWZ is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: MWZ is good value based on its PE Ratio (7.6x) compared to the Insurance industry average (13.5x).

PE vs Market: MWZ is good value based on its PE Ratio (7.6x) compared to the German market (19.5x).


Price to Earnings Growth Ratio

Low PEG Ratio: MWZ's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: MWZ is good value based on its PB Ratio (0.7x) compared to the DE Insurance industry average (1.1x).


Next Steps

Future Growth

How is MetLife forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

-3.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MWZ's earnings are forecast to decline over the next 3 years (-3.7% per year).

Earnings vs Market: MWZ's earnings are forecast to decline over the next 3 years (-3.7% per year).

High Growth Earnings: MWZ's earnings are forecast to decline over the next 3 years.

Revenue vs Market: MWZ's revenue (2.5% per year) is forecast to grow slower than the German market (5% per year).

High Growth Revenue: MWZ's revenue (2.5% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

High Future ROE: MWZ's Return on Equity is forecast to be low in 3 years time (11%).


Next Steps

Past Performance

How has MetLife performed over the past 5 years?

-4.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: MWZ's earnings have declined by -4.2% per year over the past 5 years.

Accelerating Growth: MWZ's earnings growth over the past year (13.1%) exceeds its 5-year average (-4.2% per year).

Earnings vs Industry: MWZ earnings growth over the past year (13.1%) underperformed the Insurance industry 15.2%.


Return on Equity

High ROE: MWZ's Return on Equity (9.5%) is considered low.


Return on Assets

ROA vs Industry: MWZ has a higher Return on Assets than the Insurance industry average last year.


Return on Capital Employed

ROCE Improving: MWZ has significantly improved its Return on Capital Employed over the past 3 years.


Next Steps

Financial Health

How is MetLife's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: MWZ has a low level of unsold assets or inventory.

Debt Coverage by Assets: MWZ's debt is not covered by short term assets (assets are 0.6x debt).


Financial Institutions Analysis

Asset Level: MWZ's level of assets compared to its equity is moderate.

Allowance for Bad Loans: Insufficient data to determine if MWZ has a sufficient allowance for bad loans.

Low Risk Liabilities: MWZ reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if MWZ has an acceptable proportion of non-loan assets held.

Low Risk Deposits: MWZ has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if MWZ has an appropriate level of bad loans.


Next Steps

Dividend

What is MetLife's current dividend yield, its reliability and sustainability?

3.81%

Current Dividend Yield


Dividend Yield vs Market

company3.8%marketbottom25%1.5%markettop25%3.8%industryaverage4.0%forecastin3Years4.0%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: MWZ's dividend (3.81%) is higher than the bottom 25% of dividend payers in the German market (1.45%).

High Dividend: MWZ's dividend (3.81%) is low compared to the top 25% of dividend payers in the German market (3.78%).

Stable Dividend: MWZ's dividends per share have been stable in the past 10 years.

Growing Dividend: MWZ's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (27.8%), MWZ's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MWZ's dividends in 3 years are forecast to be well covered by earnings (30.3% payout ratio).


Next Steps

Management

What is the CEO of MetLife's salary, the management and board of directors tenure and is there insider trading?

1.9yrs

Average management tenure


CEO

Michel Khalaf (55yo)

0.4yrs

Tenure

US$10,807,500

Compensation

Mr. Michel A. Khalaf has been President, Chief Executive Officer and Director of MetLife, Inc. since May 1, 2019. Mr. Khalaf served as President of U.S. Business & EMEA at MetLife, Inc. since July 11, 2017 ...


CEO Compensation Analysis

Compensation vs. Market: Michel has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the German market.

Compensation vs Earnings: Michel's compensation has increased by more than 20% in the past year.


Management Age and Tenure

1.9yrs

Average Tenure

55yo

Average Age

Experienced Management: MWZ's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Age and Tenure

5.4yrs

Average Tenure

63.5yo

Average Age

Experienced Board: MWZ's board of directors are considered experienced (5.4 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$220,25619 Dec 18
Carlos Gutierrez
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares6,400
Max PriceUS$34.41

Ownership Breakdown


Management Team

  • David Lindstrom

    Managing Director of Alternative Investments

    • Tenure: 0yrs
  • Steve Goulart (60yo)

    Executive VP & Chief Investment Officer

    • Tenure: 8.4yrs
    • Compensation: US$6.73m
  • Esther Lee (60yo)

    Executive VP & Global Chief Marketing Officer

    • Tenure: 4.8yrs
  • John Hall

    Senior VP & Head of Investor Relations

    • Tenure: 0yrs
  • Michel Khalaf (55yo)

    CEO, President & Director

    • Tenure: 0.4yrs
    • Compensation: US$10.81m
  • Stephen Gauster (49yo)

    Executive VP & General Counsel

    • Tenure: 2.3yrs
  • John McCallion (45yo)

    Executive VP

    • Tenure: 1.4yrs
    • Compensation: US$3.34m
  • Tammy Schock (47yo)

    Executive VP & Chief Accounting Officer

    • Tenure: 0.6yrs
  • Randy Clerihue

    Chief Communications Officer

    • Tenure: 1.5yrs
  • Susan Podlogar (55yo)

    Executive VP & Chief HR Officer

    • Tenure: 2.3yrs

Board Members

  • Bill Kennard (62yo)

    Independent Director

    • Tenure: 6.1yrs
    • Compensation: US$331.68k
  • David Herzog (60yo)

    Independent Director

    • Tenure: 3yrs
    • Compensation: US$341.68k
  • Carlos Gutierrez (65yo)

    Independent Director

    • Tenure: 6.6yrs
    • Compensation: US$301.68k
  • Jim Kilts (71yo)

    Independent Director

    • Tenure: 14.8yrs
    • Compensation: US$336.68k
  • Ned Kelly (65yo)

    Independent Director

    • Tenure: 4.7yrs
    • Compensation: US$336.68k
  • Cathy Kinney (67yo)

    Independent Director

    • Tenure: 10.5yrs
    • Compensation: US$306.68k
  • Michel Khalaf (55yo)

    CEO, President & Director

    • Tenure: 0.4yrs
    • Compensation: US$10.81m
  • Robert Hubbard (60yo)

    Non-Executive Chairman & Independent Lead Director

    • Tenure: 0.5yrs
    • Compensation: US$356.68k
  • Cheryl Grisé (66yo)

    Independent Director

    • Tenure: 15.7yrs
    • Compensation: US$326.68k
  • Eric Sacha Clurfain (47yo)

    Chairman

    • Tenure: 0.7yrs

Company Information

MetLife, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: MetLife, Inc.
  • Ticker: MWZ
  • Exchange: DB
  • Founded: 1868
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Market Cap: US$43.255b
  • Listing Market Cap: US$39.098b
  • Shares outstanding: 936.45m
  • Website: https://www.metlife.com

Number of Employees


Location

  • MetLife, Inc.
  • 200 Park Avenue
  • New York
  • New York
  • 10166
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
METNYSE (New York Stock Exchange)YesCommon StockUSUSDApr 2000
MWZDB (Deutsche Boerse AG)YesCommon StockDEEURApr 2000
MET *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNApr 2000
0K0XLSE (London Stock Exchange)YesCommon StockGBUSDApr 2000
MET.PRANYSE (New York Stock Exchange)PFD A FLT RATEUSUSDJun 2005
METB34BOVESPA (Bolsa de Valores de Sao Paulo)EACH BDR REPR 1 COM STK USD0.01BRBRLAug 2015
MET.PRENYSE (New York Stock Exchange)5.625 NCUM PFD EUSUSDMay 2018

Biography

MetLife, Inc. engages in the insurance, annuities, employee benefits, and asset management businesses. It operates through five segments: U.S.; Asia; Latin America; Europe, the Middle East and Africa; and  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 20:43
End of Day Share Price2019/10/16 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.