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Torchmark

DB:TMJ
Snowflake Description

Adequate balance sheet and fair value.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TMJ
DB
$10B
Market Cap
  1. Home
  2. DE
  3. Insurance
Company description

Torchmark Corporation, through its subsidiaries, provides various life and health insurance products, and annuities in the United States, Canada, and New Zealand. The last earnings update was 16 days ago. More info.


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TMJ Share Price and Events
7 Day Returns
2.4%
DB:TMJ
0.7%
DE Insurance
-0.6%
DE Market
1 Year Returns
7.1%
DB:TMJ
9.5%
DE Insurance
-10.8%
DE Market
TMJ Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Torchmark (TMJ) 2.4% 2.1% 7.7% 7.1% 46.3% 99.4%
DE Insurance 0.7% -3.5% 4.9% 9.5% 35.3% 56.1%
DE Market -0.6% -3.3% 2.3% -10.8% 8% 8%
1 Year Return vs Industry and Market
  • TMJ underperformed the Insurance industry which returned 9.5% over the past year.
  • TMJ outperformed the Market in Germany which returned -10.8% over the past year.
Price Volatility
TMJ
Industry
5yr Volatility vs Market

Value

 Is Torchmark undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Torchmark to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Torchmark.

DB:TMJ Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 6 analysts.
= Stable Book Value * Return on Equity
= $61.63 * 13.2%
$8.11
Book Value of Equity per Share Weighted future Book Value estimates from 4 analysts. $61.63
Discount Rate (Cost of Equity) See below 5.5%
Perpetual Growth Rate 10-Year DE Government Bond Rate 0.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for DB:TMJ
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year DE Govt Bond Rate 0.2%
Equity Risk Premium S&P Global 6%
Insurance Unlevered Beta Simply Wall St/ S&P Global 0.73
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.727 (1 + (1- 21%) (16.97%))
0.883
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.88
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 0.23% + (0.883 * 5.96%)
5.49%

Discounted Cash Flow Calculation for DB:TMJ using Excess Returns Model Model

The calculations below outline how an intrinsic value for Torchmark is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

DB:TMJ Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (13.2% – 5.49%) * $61.63)
$4.73
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $4.73 / (5.49% - 0.23%)
$89.83
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $61.63 + $89.83
$151.46
DB:TMJ Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in DB:TMJ represents 0.91022x of NYSE:TMK
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.91022x
Value per Share
(Listing Adjusted, EUR)
= Value per Share (USD) x Listing Adjustment Factor
= $ 151.46 x 0.91022
€137.86
Value per share (EUR) From above. €137.86
Current discount Discount to share price of €78.88
= -1 x (€78.88 - €137.86) / €137.86
42.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Torchmark is available for.
Intrinsic value
43%
Share price is €78.88 vs Future cash flow value of €137.86
Current Discount Checks
For Torchmark to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Torchmark's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Torchmark's share price is below the future cash flow value, and at a substantial discount (> 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Torchmark's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Torchmark's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
DB:TMJ PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $6.37
NYSE:TMK Share Price ** NYSE (2019-05-23) in USD $86.66
Germany Insurance Industry PE Ratio Median Figure of 6 Publicly-Listed Insurance Companies 12.98x
Germany Market PE Ratio Median Figure of 422 Publicly-Listed Companies 20.28x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Torchmark.

DB:TMJ PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:TMK Share Price ÷ EPS (both in USD)

= 86.66 ÷ 6.37

13.6x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Torchmark is overvalued based on earnings compared to the DE Insurance industry average.
  • Torchmark is good value based on earnings compared to the Germany market.
Price based on expected Growth
Does Torchmark's expected growth come at a high price?
Raw Data
DB:TMJ PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 13.6x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts
3%per year
Germany Insurance Industry PEG Ratio Median Figure of 5 Publicly-Listed Insurance Companies 3.12x
Germany Market PEG Ratio Median Figure of 271 Publicly-Listed Companies 1.51x

*Line of best fit is calculated by linear regression .

DB:TMJ PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 13.6x ÷ 3%

4.55x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Torchmark is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Torchmark's assets?
Raw Data
DB:TMJ PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $54.98
NYSE:TMK Share Price * NYSE (2019-05-23) in USD $86.66
Germany Insurance Industry PB Ratio Median Figure of 6 Publicly-Listed Insurance Companies 1.03x
Germany Market PB Ratio Median Figure of 576 Publicly-Listed Companies 1.78x
DB:TMJ PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:TMK Share Price ÷ Book Value per Share (both in USD)

= 86.66 ÷ 54.98

1.58x

* Primary Listing of Torchmark.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Torchmark is overvalued based on assets compared to the DE Insurance industry average.
X
Value checks
We assess Torchmark's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check)
  5. Torchmark has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Torchmark expected to perform in the next 1 to 3 years based on estimates from 6 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Torchmark expected to grow at an attractive rate?
  • Torchmark's earnings growth is expected to exceed the low risk savings rate of 0.2%.
Growth vs Market Checks
  • Torchmark's earnings growth is positive but not above the Germany market average.
  • Torchmark's revenue growth is positive but not above the Germany market average.
Annual Growth Rates Comparison
Raw Data
DB:TMJ Future Growth Rates Data Sources
Data Point Source Value (per year)
DB:TMJ Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 6 Analysts 3%
DB:TMJ Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 6 Analysts 4.1%
Germany Insurance Industry Earnings Growth Rate Market Cap Weighted Average 4.5%
Germany Insurance Industry Revenue Growth Rate Market Cap Weighted Average 4.4%
Germany Market Earnings Growth Rate Market Cap Weighted Average 13.2%
Germany Market Revenue Growth Rate Market Cap Weighted Average 4.9%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
DB:TMJ Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
DB:TMJ Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 4,887 773 2
2020-12-31 4,697 772 4
2019-12-31 4,511 745 4
DB:TMJ Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 4,353 1,319 713
2018-12-31 4,304 1,278 702
2018-09-30 4,296 1,281 1,564
2018-06-30 4,258 1,307 1,539
2018-03-31 4,202 1,351 1,495
2017-12-31 4,156 1,429 1,458
2017-09-30 4,074 1,513 556
2017-06-30 4,018 1,533 544
2017-03-31 3,981 1,519 543
2016-12-31 3,935 1,399 540
2016-09-30 3,893 1,362 534
2016-06-30 3,851 1,271 526

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Torchmark's earnings are expected to grow by 3% yearly, however this is not considered high growth (20% yearly).
  • Torchmark's revenue is expected to grow by 4.1% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
DB:TMJ Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below

All data from Torchmark Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:TMJ Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 7.58 7.58 7.58 1.00
2020-12-31 7.02 7.20 6.89 4.00
2019-12-31 6.62 6.71 6.55 4.00
DB:TMJ Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 6.37
2018-12-31 6.22
2018-09-30 13.75
2018-06-30 13.43
2018-03-31 12.95
2017-12-31 12.53
2017-09-30 4.74
2017-06-30 4.61
2017-03-31 4.56
2016-12-31 4.50
2016-09-30 4.41
2016-06-30 4.30

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Torchmark is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Torchmark's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the Germany market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the Germany market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Torchmark has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Torchmark performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Torchmark's growth in the last year to its industry (Insurance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Torchmark has delivered over 20% year on year earnings growth in the past 5 years.
  • Torchmark's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Torchmark's 1-year earnings growth is negative, it can't be compared to the DE Insurance industry average.
Earnings and Revenue History
Torchmark's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Torchmark Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

DB:TMJ Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 4,352.53 713.19 50.29
2018-12-31 4,303.75 701.51 48.79
2018-09-30 4,295.91 1,564.18 51.49
2018-06-30 4,258.13 1,538.83 49.35
2018-03-31 4,202.43 1,494.80 47.20
2017-12-31 4,155.57 1,458.26 46.33
2017-09-30 4,074.02 555.70 40.10
2017-06-30 4,017.78 544.26 38.18
2017-03-31 3,980.58 543.19 36.89
2016-12-31 3,934.63 539.59 35.63
2016-09-30 3,893.14 533.91 37.12
2016-06-30 3,850.53 525.86 37.61
2016-03-31 3,809.25 519.09 38.36
2015-12-31 3,766.07 516.29 38.36
2015-09-30 3,462.61 529.05 36.86
2015-06-30 3,489.94 527.60 37.84
2015-03-31 3,530.36 526.00 38.93
2014-12-31 3,620.10 528.07 40.20
2014-09-30 3,920.29 539.01 37.49
2014-06-30 3,878.59 538.72 36.09
2014-03-31 3,837.89 541.70 33.90
2013-12-31 3,494.25 507.21 31.64
2013-09-30 3,770.04 536.64 40.43
2013-06-30 3,714.35 535.19 39.32
2013-03-31 3,649.81 530.28 38.23
2012-12-31 3,589.52 529.32 37.61
2012-09-30 3,494.37 501.18 25.27
2012-06-30 3,454.51 501.76 27.89

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Torchmark has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Torchmark used its assets more efficiently than the DE Insurance industry average last year based on Return on Assets.
  • Torchmark's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Torchmark's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Torchmark has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Torchmark's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Torchmark's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Torchmark's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Torchmark's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Torchmark's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is not covered by short term assets, assets are 0.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Torchmark Company Filings, last reported 1 month ago.

DB:TMJ Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 6,043.43 1,649.98 193.10
2018-12-31 5,415.18 1,665.03 184.31
2018-09-30 5,538.91 1,973.96 710.93
2018-06-30 5,571.61 1,489.14 150.77
2018-03-31 5,820.30 1,496.37 168.64
2017-12-31 6,231.42 1,460.27 245.63
2017-09-30 5,167.69 1,439.81 153.94
2017-06-30 5,053.42 1,438.07 192.04
2017-03-31 4,744.83 1,459.81 182.74
2016-12-31 4,566.86 1,397.64 148.20
2016-09-30 5,086.38 1,400.44 170.80
2016-06-30 4,877.76 1,419.94 98.26
2016-03-31 4,391.74 1,301.12 157.43
2015-12-31 4,055.55 1,233.86 116.15
2015-09-30 4,283.30 1,361.75 123.15
2015-06-30 4,306.06 1,380.17 91.54
2015-03-31 4,883.63 1,251.38 94.97
2014-12-31 4,697.47 1,230.53 81.90
2014-09-30 4,529.79 1,282.23 146.10
2014-06-30 4,508.95 1,266.44 94.36
2014-03-31 4,188.72 1,256.09 149.08
2013-12-31 3,776.34 1,219.94 113.83
2013-09-30 3,776.88 1,218.49 174.78
2013-06-30 3,822.29 1,339.18 147.95
2013-03-31 4,304.60 1,358.88 201.51
2012-12-31 4,361.79 1,308.73 156.57
2012-09-30 4,308.89 1,408.71 684.86
2012-06-30 3,997.66 1,234.60 180.21
  • Torchmark's level of debt (27.3%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (30% vs 27.3% today).
  • Debt is well covered by operating cash flow (79.9%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 10.8x coverage).
X
Financial health checks
We assess Torchmark's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Torchmark has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0.8%
Current annual income from Torchmark dividends. Estimated to be 0.81% next year.
If you bought €2,000 of Torchmark shares you are expected to receive €16 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Torchmark's pays a lower dividend yield than the bottom 25% of dividend payers in Germany (1.42%).
  • Torchmark's dividend is below the markets top 25% of dividend payers in Germany (3.88%).
Upcoming dividend payment

Purchase Torchmark before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
DB:TMJ Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 6 Analyst Estimates (S&P Global) See Below
Germany Insurance Industry Average Dividend Yield Market Cap Weighted Average of 6 Stocks 4.3%
Germany Market Average Dividend Yield Market Cap Weighted Average of 326 Stocks 3.2%
Germany Minimum Threshold Dividend Yield 10th Percentile 0.8%
Germany Bottom 25% Dividend Yield 25th Percentile 1.4%
Germany Top 25% Dividend Yield 75th Percentile 3.9%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

DB:TMJ Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 0.75 3.00
2020-12-31 0.71 6.00
2019-12-31 0.67 6.00
DB:TMJ Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-05-02 0.690 0.788
2019-03-22 0.690 0.810
2018-11-16 0.640 0.789
2018-08-09 0.640 0.740
2018-05-11 0.640 0.754
2018-03-01 0.640 0.753
2017-11-13 0.600 0.678
2017-08-28 0.600 0.745
2017-05-18 0.600 0.778
2017-02-28 0.600 0.782
2016-11-11 0.560 0.761
2016-09-08 0.560 0.870
2016-05-20 0.560 0.908
2016-03-01 0.560 1.004
2015-11-09 0.540 0.972
2015-09-14 0.540 0.936
2015-05-21 0.540 0.913
2015-03-18 0.540 0.963
2014-11-11 0.507 0.952
2014-08-21 0.507 0.958
2014-04-29 0.507 0.936
2014-03-17 0.507 0.971
2013-11-08 0.453 0.889
2013-08-15 0.453 0.943
2013-04-29 0.453 1.023
2013-03-07 0.453 1.147
2012-11-26 0.400 1.114
2012-08-09 0.400 1.174
2012-06-19 0.400 1.190
2012-02-23 0.400 1.242
2011-11-11 0.320 1.089
2011-08-12 0.320 1.284
2011-08-08 0.293 1.259
2011-07-27 0.293 1.148
2011-05-02 0.293 1.028
2011-03-02 0.284 0.972
2010-12-06 0.284 1.029
2010-08-12 0.284 1.173
2010-08-06 0.267 1.139
2010-07-28 0.267 1.127
2010-06-24 0.267 1.185
2010-05-07 0.267 1.170
2010-04-27 0.267 1.143
2010-03-01 0.267 1.135
2010-02-26 0.267 1.283
2010-02-10 0.267 1.318
2009-10-23 0.267 1.366
2009-09-24 0.249 1.265
2009-08-07 0.249 1.333
2009-07-27 0.249 1.409

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Torchmark is not paying a notable dividend for Germany, therefore no need to check if the payments are stable.
  • Torchmark is not paying a notable dividend for Germany, therefore no need to check if the payments are increasing.
Current Payout to shareholders
What portion of Torchmark's earnings are paid to the shareholders as a dividend.
  • No need to calculate the sustainability of Torchmark's dividends as it is not paying a notable one for Germany.
Future Payout to shareholders
  • No need to calculate the sustainability of Torchmark's dividends in 3 years as they are not expected to pay a notable one for Germany.
X
Income/ dividend checks
We assess Torchmark's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Torchmark afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Torchmark has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Gary Coleman
COMPENSATION $7,831,616
AGE 65
TENURE AS CEO 6.9 years
CEO Bio

Mr. Gary Lee Coleman has been the Co-Chief Executive Officer of Torchmark Corporation since June 1, 2012 and served as Executive Vice President and Chief Financial Officer since September 1999 until May 2012. Mr. Coleman is also a member of the Board of Directors, Texas Rangers Baseball Foundation. Mr. Coleman served as the Principal Accounting Officer of Torchmark Corporation until February 20, 2007. He served as a Vice President and Chief Accounting Officer of Torchmark Corporation July 1994 to September 1999. He has been the Co-Chairman of the Board at Torchmark Corporation since April 2014. He has been a Director of Torchmark Corp. since August 2012. He holds a B.B.A from the University of Texas. Mr. Coleman's 43 years of experience, which includes seven years at KPMG where he primarily served insurance clients and 33 years in various accounting, financial and investment positions at the Company and its subsidiaries, including service as the Chief Financial Officer of the Company for 13 years, provides the Board with financial and operating perspectives from both management and independent accounting

CEO Compensation
  • Gary's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Gary's remuneration is higher than average for companies of similar size in Germany.
Management Team Tenure

Average tenure and age of the Torchmark management team in years:

5.4
Average Tenure
54.5
Average Age
  • The average tenure for the Torchmark management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Gary Coleman

TITLE
Co-Chairman & CEO
COMPENSATION
$8M
AGE
65
TENURE
6.9 yrs

Larry Hutchison

TITLE
Co-Chairman & CEO
COMPENSATION
$8M
AGE
64
TENURE
6.9 yrs

Frank Svoboda

TITLE
Executive VP & CFO
COMPENSATION
$3M
AGE
56
TENURE
6.9 yrs

Mike Pressley

TITLE
Executive VP & Chief Investment Officer
COMPENSATION
$3M
AGE
66
TENURE
6.3 yrs

James Darden

TITLE
Executive VP & Chief Strategy Officer
COMPENSATION
$2M
AGE
47
TENURE
2.3 yrs

Steven Greer

TITLE
Chief Executive Officer - AIL Agency Division of American Income Life
COMPENSATION
$2M
AGE
45
TENURE
1.3 yrs

M. Henrie

TITLE
VP & Chief Accounting Officer
AGE
44
TENURE
0.3 yrs

Bo McPartland

TITLE
Executive VP & Chief Information Officer
AGE
51
TENURE
4.5 yrs

Mike Majors

TITLE
Executive Vice President of Administration & Investor Relations
AGE
55
TENURE
1.3 yrs

Robert Mitchell

TITLE
Executive VP
AGE
54
TENURE
6.9 yrs
Board of Directors Tenure

Average tenure and age of the Torchmark board of directors in years:

5.7
Average Tenure
66
Average Age
  • The tenure for the Torchmark board of directors is about average.
Board of Directors

Larry Hutchison

TITLE
Co-Chairman & CEO
COMPENSATION
$8M
AGE
64
TENURE
5.1 yrs

Darren Rebelez

TITLE
Independent Director
COMPENSATION
$248K
AGE
52
TENURE
9.3 yrs

Gary Coleman

TITLE
Co-Chairman & CEO
COMPENSATION
$8M
AGE
65
TENURE
5.1 yrs

Marilyn Alexander

TITLE
Independent Director
COMPENSATION
$244K
AGE
67
TENURE
6.3 yrs

Steven Johnson

TITLE
Independent Director
COMPENSATION
$263K
AGE
67
TENURE
2.5 yrs

Robert Ingram

TITLE
Lead Director
COMPENSATION
$266K
AGE
69
TENURE
1.1 yrs

Lamar Smith

TITLE
Independent Director
COMPENSATION
$239K
AGE
70
TENURE
19.6 yrs

Eddie Adair

TITLE
Independent Director
COMPENSATION
$239K
AGE
71
TENURE
16.1 yrs

Jane Buchan

TITLE
Independent Director
COMPENSATION
$235K
AGE
54
TENURE
13.6 yrs

Cheryl Alston

TITLE
Independent Director
COMPENSATION
$313K
AGE
51
TENURE
1.3 yrs
Who owns this company?
Recent Insider Trading
  • Torchmark insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (€) Value (€)
15. May 19 Sell Paul Zucconi Individual 14. May 19 14. May 19 -18,118 €78.02 €-1,413,625
30. Apr 19 Sell Robert Ingram Individual 29. Apr 19 29. Apr 19 -290 €78.66 €-22,812
30. Apr 19 Sell James Darden Individual 26. Apr 19 26. Apr 19 -5,439 €77.69 €-422,571
01. Nov 18 Sell Bill Leavell Individual 30. Oct 18 30. Oct 18 -211 €73.88 €-15,590
06. Sep 18 Sell Paul Zucconi Individual 05. Sep 18 05. Sep 18 -400 €76.73 €-30,690
29. Aug 18 Sell Robert Ingram Individual 27. Aug 18 27. Aug 18 -293 €76.09 €-22,295
01. Aug 18 Sell Robert Ingram Individual 31. Jul 18 31. Jul 18 -1,497 €75.55 €-113,103
X
Management checks
We assess Torchmark's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Torchmark has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

Company Info

Description

Torchmark Corporation, through its subsidiaries, provides various life and health insurance products, and annuities in the United States, Canada, and New Zealand. It operates through four segments: Life Insurance, Health Insurance, Annuity, and Investment. The company offers traditional and interest-sensitive whole life insurance, as well as term life insurance. It also provides health insurance product, including Medicare Supplement, critical illness, accident, and limited-benefit supplemental hospital and surgical coverage; and annuities, such as single-premium and flexible-premium deferred annuities. The company sells its products through sales by direct response, exclusive agents, and independent agents, as well as through direct mail, electronic media, and insert media. Torchmark Corporation was founded in 1900 and is headquartered in McKinney, Texas.

Details
Name: Torchmark Corporation
TMJ
Exchange: DB
Founded: 1900
$8,708,056,415
109,940,525
Website: http://www.torchmarkcorp.com
Address: Torchmark Corporation
3700 South Stonebridge Drive,
Post Office Box 8080,
McKinney,
Texas, 75070,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE TMK Common Stock New York Stock Exchange US USD 02. Jan 1980
DB TMJ Common Stock Deutsche Boerse AG DE EUR 02. Jan 1980
LSE 0Q1Q Common Stock London Stock Exchange GB EUR 02. Jan 1980
NYSE TMK.PRC JR SUB DEB 56 New York Stock Exchange US USD 07. Apr 2016
Number of employees
Current staff
Staff numbers
3,102
Torchmark employees.
Industry
Life and Health Insurance
Insurance
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/23 21:31
End of day share price update: 2019/05/23 00:00
Last estimates confirmation: 2019/04/29
Last earnings filing: 2019/05/07
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.