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GL

Globe LifeNYSE:GL Stock Report

Market Cap

US$9.3b

7D

3.6%

1Y

13.9%

Updated

27 Sep, 2021

Data

Company Financials +
GL fundamental analysis
Snowflake Score
Valuation3/6
Future Growth1/6
Past Performance3/6
Financial Health4/6
Dividends4/6

GL Overview

Globe Life Inc., through its subsidiaries, provides various life and supplemental health insurance products, and annuities to lower middle to middle income households in the United States.

Globe Life Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Globe Life
Historical stock prices
Current Share PriceUS$90.98
52 Week HighUS$77.71
52 Week LowUS$108.22
Beta1.14
1 Month Change-6.16%
3 Month Change-4.39%
1 Year Change13.94%
3 Year Change5.16%
5 Year Change42.67%
Change since IPO972.69%

Recent News & Updates

Sep 15

My Bull Thesis On Globe Life Is Intact

Globe Life has a relatively boring business model and hence it passes under the radar of most investors. GL is recovering from the pandemic. GL is trading at a markedly low price-to-earnings ratio.

Shareholder Returns

GLUS InsuranceUS Market
7D3.6%2.9%2.0%
1Y13.9%39.8%32.8%

Return vs Industry: GL underperformed the US Insurance industry which returned 39.8% over the past year.

Return vs Market: GL underperformed the US Market which returned 32.8% over the past year.

Price Volatility

Is GL's price volatile compared to industry and market?
GL volatility
GL Beta1.14
Industry Beta0.97
Market Beta1

Stable Share Price: GL is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: GL's weekly volatility (3%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19793,261Gary Colemanhttps://www.globelifeinsurance.com

Globe Life Inc., through its subsidiaries, provides various life and supplemental health insurance products, and annuities to lower middle to middle income households in the United States. The company operates through four segments: Life Insurance, Supplemental Health Insurance, Annuities, and Investments. It offers whole life, term life, and other life insurance products; Medicare supplement and supplemental health insurance, such as critical illness and accident plans; and single-premium and flexible-premium deferred annuities.

Globe Life Fundamentals Summary

How do Globe Life's earnings and revenue compare to its market cap?
GL fundamental statistics
Market CapUS$9.25b
Earnings (TTM)US$771.32m
Revenue (TTM)US$4.96b

12.0x

P/E Ratio

1.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
GL income statement (TTM)
RevenueUS$4.96b
Cost of RevenueUS$3.62b
Gross ProfitUS$1.34b
ExpensesUS$570.38m
EarningsUS$771.32m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)7.58
Gross Margin27.04%
Net Profit Margin15.55%
Debt/Equity Ratio26.1%

How did GL perform over the long term?

See historical performance and comparison

Dividends

0.9%

Current Dividend Yield

10%

Payout Ratio

Does GL pay a reliable dividends?

See GL dividend history and benchmarks
When do you need to buy GL by to receive an upcoming dividend?
Globe Life dividend dates
Ex Dividend DateOct 01 2021
Dividend Pay DateNov 01 2021
Days until Ex dividend2 days
Days until Dividend pay date33 days

Does GL pay a reliable dividends?

See GL dividend history and benchmarks

Valuation

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

37.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: GL ($90.98) is trading below our estimate of fair value ($146.53)

Significantly Below Fair Value: GL is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: GL is poor value based on its PE Ratio (12x) compared to the US Insurance industry average (9.7x).

PE vs Market: GL is good value based on its PE Ratio (12x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

PEG Ratio: GL is poor value based on its PEG Ratio (2.6x)


Price to Book Ratio

PB vs Industry: GL's PB Ratio (1.1x) is in line with the US Insurance industry average.


Future Growth

How is Globe Life forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

4.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: GL's forecast earnings growth (4.6% per year) is above the savings rate (2%).

Earnings vs Market: GL's earnings (4.6% per year) are forecast to grow slower than the US market (15% per year).

High Growth Earnings: GL's earnings are forecast to grow, but not significantly.

Revenue vs Market: GL's revenue (4.7% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: GL's revenue (4.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: GL's Return on Equity is forecast to be low in 3 years time (9.3%).


Past Performance

How has Globe Life performed over the past 5 years?

1.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: GL has high quality earnings.

Growing Profit Margin: GL's current net profit margins (15.5%) are lower than last year (15.8%).


Past Earnings Growth Analysis

Earnings Trend: GL's earnings have grown by 1% per year over the past 5 years.

Accelerating Growth: GL's earnings growth over the past year (6%) exceeds its 5-year average (1% per year).

Earnings vs Industry: GL earnings growth over the past year (6%) underperformed the Insurance industry 76%.


Return on Equity

High ROE: GL's Return on Equity (9%) is considered low.


Financial Health

How is Globe Life's financial position?


Financial Position Analysis

Short Term Liabilities: GL's short term assets ($1.2B) do not cover its short term liabilities ($2.5B).

Long Term Liabilities: GL's short term assets ($1.2B) do not cover its long term liabilities ($18.5B).


Debt to Equity History and Analysis

Debt Level: GL's debt to equity ratio (26.1%) is considered satisfactory.

Reducing Debt: GL's debt to equity ratio has reduced from 29.1% to 26.1% over the past 5 years.

Debt Coverage: GL's debt is well covered by operating cash flow (62.7%).

Interest Coverage: GL's interest payments on its debt are well covered by EBIT (12.1x coverage).


Balance Sheet


Dividend

What is Globe Life current dividend yield, its reliability and sustainability?

0.87%

Current Dividend Yield


Upcoming Dividend Payment

TodaySep 28 2021Ex Dividend DateOct 01 2021Dividend Pay DateNov 01 202131 days from Ex DividendBuy in the next 2 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: GL's dividend (0.87%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.3%).

High Dividend: GL's dividend (0.87%) is low compared to the top 25% of dividend payers in the US market (3.57%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (10.4%), GL's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: GL's dividends in 3 years are forecast to be thoroughly covered by earnings (9.7% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.2yrs

Average management tenure


CEO

Gary Coleman (68 yo)

9.25yrs

Tenure

US$9,158,910

Compensation

Mr. Gary Lee Coleman has been the Co-Chief Executive Officer of Globe Life Inc. (formerly known as Torchmark Corporation) since June 1, 2012 and served as Executive Vice President and Chief Financial Offic...


CEO Compensation Analysis

Compensation vs Market: Gary's total compensation ($USD9.16M) is above average for companies of similar size in the US market ($USD6.38M).

Compensation vs Earnings: Gary's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: GL's management team is considered experienced (4.2 years average tenure).


Board Members

Experienced Board: GL's board of directors are considered experienced (7.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: GL insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Globe Life Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Globe Life Inc.
  • Ticker: GL
  • Exchange: NYSE
  • Founded: 1979
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Market Cap: US$9.255b
  • Shares outstanding: 101.72m
  • Website: https://www.globelifeinsurance.com

Number of Employees


Location

  • Globe Life Inc.
  • 3700 South Stonebridge Drive
  • McKinney
  • Texas
  • 75070
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/27 22:56
End of Day Share Price2021/09/27 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.