NYSE:MET

Stock Analysis Report

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Market Cap

US$51.9b

Last Updated

2021/06/23 01:51 UTC

Data Sources

Company Financials +

Executive Summary

MetLife, Inc., a financial services company, provides insurance, annuities, employee benefits, and asset management services worldwide. More Details


Snowflake Analysis

Average dividend payer and fair value.


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

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

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


Market Performance


7 Day Return

-7.1%

MET

-4.0%

US Insurance

-0.1%

US Market


1 Year Return

60.0%

MET

34.8%

US Insurance

39.0%

US Market

Return vs Industry: MET exceeded the US Insurance industry which returned 32.1% over the past year.

Return vs Market: MET exceeded the US Market which returned 38.2% over the past year.


Shareholder returns

METIndustryMarket
7 Day-7.1%-4.0%-0.1%
30 Day-8.4%-4.6%2.6%
90 Day1.2%4.9%8.0%
1 Year66.7%60.0%38.2%34.8%41.2%39.0%
3 Year48.5%31.7%34.0%24.2%62.4%52.3%
5 Year111.6%57.2%82.7%60.1%132.3%106.2%

Long-Term 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

Valuation

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

36.3%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MET ($58.3) is trading below our estimate of fair value ($92.61)

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


Price To Earnings Ratio

PE vs Industry: MET is poor value based on its PE Ratio (47.1x) compared to the US Insurance industry average (10.1x).

PE vs Market: MET is poor value based on its PE Ratio (47.1x) compared to the US market (18.9x).


Price to Earnings Growth Ratio

PEG Ratio: MET is poor value based on its PEG Ratio (6.9x)


Price to Book Ratio

PB vs Industry: MET is good value based on its PB Ratio (0.8x) compared to the US Insurance industry average (1.1x).


Future Growth

How is MetLife forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

6.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MET's forecast earnings growth (6.8% per year) is above the savings rate (2%).

Earnings vs Market: MET's earnings (6.8% per year) are forecast to grow slower than the US market (15.7% per year).

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

Revenue vs Market: MET's revenue (1.4% per year) is forecast to grow slower than the US market (9.5% per year).

High Growth Revenue: MET's revenue (1.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: MET's Return on Equity is forecast to be low in 3 years time (11.4%).


Past Performance

How has MetLife performed over the past 5 years?

7.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: MET has high quality earnings.

Growing Profit Margin: MET's current net profit margins (1.7%) are lower than last year (12.2%).


Past Earnings Growth Analysis

Earnings Trend: MET's earnings have grown by 7.5% per year over the past 5 years.

Accelerating Growth: MET's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: MET had negative earnings growth (-87.2%) over the past year, making it difficult to compare to the Insurance industry average (51.9%).


Return on Equity

High ROE: MET's Return on Equity (2.1%) is considered low.


Financial Health

How is MetLife's financial position?


Financial Position Analysis

Short Term Liabilities: MET's short term assets ($65.9B) exceed its short term liabilities ($59.5B).

Long Term Liabilities: MET's short term assets ($65.9B) do not cover its long term liabilities ($644.2B).


Debt to Equity History and Analysis

Debt Level: MET's debt to equity ratio (160.7%) is considered high.

Reducing Debt: MET's debt to equity ratio has increased from 91.8% to 160.7% over the past 5 years.

Debt Coverage: MET's debt is not well covered by operating cash flow (10.6%).

Interest Coverage: MET's interest payments on its debt are not well covered by EBIT (2.7x coverage).


Balance Sheet


Dividend

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

3.24%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MET's dividend (3.29%) is higher than the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: MET's dividend (3.29%) is low compared to the top 25% of dividend payers in the US market (3.49%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (148.6%), MET's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: MET's dividends in 3 years are forecast to be well covered by earnings (31.5% payout ratio).


Next Steps

Management

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

3.2yrs

Average management tenure


CEO

Michel Khalaf (56 yo)

2.08yrs

Tenure

US$15,434,255

Compensation

Mr. Michel Abbas Khalaf has been a Director at The Geneva Association since June 10, 2020. Mr. Khalaf has been the President, Chief Executive Officer and Director of MetLife, Inc. since May 1, 2019. Mr. Kh...


CEO Compensation Analysis

Compensation vs Market: Michel's total compensation ($USD15.43M) is above average for companies of similar size in the US market ($USD11.31M).

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


Leadership Team

Experienced Management: MET's management team is considered experienced (3.2 years average tenure).


Board Members

Experienced Board: MET's board of directors are considered experienced (5.5 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: MET 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

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


Key Information

  • Name: MetLife, Inc.
  • Ticker: MET
  • Exchange: NYSE
  • Founded: 1863
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Market Cap: US$51.886b
  • Shares outstanding: 875.41m
  • Website: https://www.metlife.com

Number of Employees


Location

  • MetLife, Inc.
  • 200 Park Avenue
  • New York
  • New York
  • 10166-0188
  • United States

Listings


Biography

MetLife, Inc., a financial services company, provides insurance, annuities, employee benefits, and asset management services worldwide. It operates through five segments: U.S.; Asia; Latin America; Europe,...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/23 01:51
End of Day Share Price2021/06/22 00:00
Earnings2021/03/31
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.