MET

MetLifeNYSE:MET Stock Report

Market Cap

US$52.9b

7D

1.6%

1Y

55.6%

Updated

19 Sep, 2021

Data

Company Financials +
MET fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance2/6
Financial Health2/6
Dividends5/6

MET Overview

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

MetLife Competitors

Prudential Financial

NYSE:PRU

US$39.9b

Aflac

NYSE:AFL

US$36.2b

Principal Financial Group

NasdaqGS:PFG

US$17.5b

Athene Holding

NYSE:ATH

US$13.4b

Price History & Performance

Summary of all time highs, changes and price drops for MetLife
Historical stock prices
Current Share PriceUS$61.72
52 Week HighUS$35.19
52 Week LowUS$67.68
Beta1.31
1 Month Change2.00%
3 Month Change3.42%
1 Year Change55.58%
3 Year Change26.50%
5 Year Change38.63%
Change since IPO318.44%

Recent News & Updates

Sep 10

MetLife: Steady As She Goes For A Very Well-Run Insurance Titan

MetLife has been dealing with higher benefit payouts due to both COVID-19 mortality and post-opening normalization in areas like dental care, but core results have been generally good. Variable investment income has been a significant source of upside, with the company generating results in Q1 and Q2 that are both equal to management's full-year target. Selling the Polish and Greek operations makes sense, and management got a good price. A sale of Holdings on management's terms would be welcome, but isn't likely. Management would like to acquire more scale and capabilities in asset management, but deal premiums are high with many financial firms looking to add scale in wealth/asset management. Core underlying earnings growth of 2% can support a fair value of $70; insurers aren't in favor now, but patience with MetLife could be rewarded for more conservatively-minded investors.

Shareholder Returns

METUS InsuranceUS Market
7D1.6%-0.7%-0.6%
1Y55.6%35.9%33.8%

Return vs Industry: MET exceeded the US Insurance industry which returned 35.9% over the past year.

Return vs Market: MET exceeded the US Market which returned 33.8% over the past year.

Price Volatility

Is MET's price volatile compared to industry and market?
MET volatility
MET Beta1.31
Industry Beta0.97
Market Beta1

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.

About the Company

FoundedEmployeesCEOWebsite
1863n/aMichel Khalafhttps://www.metlife.com

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, the Middle East and Africa; and MetLife Holdings. The company offers life, dental, group short-and long-term disability, individual disability, accidental death and dismemberment, vision, and accident and health coverages, as well as prepaid legal plans; administrative services-only arrangements to employers; and general and separate account, and synthetic guaranteed interest contracts, as well as private floating rate funding agreements.

MetLife Fundamentals Summary

How do MetLife's earnings and revenue compare to its market cap?
MET fundamental statistics
Market CapUS$52.89b
Earnings (TTM)US$4.41b
Revenue (TTM)US$69.52b

12.0x

P/E Ratio

0.8x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
MET income statement (TTM)
RevenueUS$69.52b
Cost of RevenueUS$50.73b
Gross ProfitUS$18.79b
ExpensesUS$14.38b
EarningsUS$4.41b

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)4.95
Gross Margin27.03%
Net Profit Margin6.35%
Debt/Equity Ratio157.9%

How did MET perform over the long term?

See historical performance and comparison

Dividends

3.1%

Current Dividend Yield

38%

Payout Ratio

Valuation

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

45.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: MET ($61.72) is trading below our estimate of fair value ($113.18)

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 (12x) compared to the US Insurance industry average (9.5x).

PE vs Market: MET is good value based on its PE Ratio (12x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

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


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 10 analysts?

-4.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: MET's earnings are forecast to decline over the next 3 years (-4.2% per year).

Earnings vs Market: MET's earnings are forecast to decline over the next 3 years (-4.2% per year).

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

Revenue vs Market: MET's revenue (0.2% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: MET's revenue (0.2% 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 (11.6%).


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 (6.3%) are lower than last year (10.4%).


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 (-38%) over the past year, making it difficult to compare to the Insurance industry average (76%).


Return on Equity

High ROE: MET's Return on Equity (6.7%) is considered low.


Financial Health

How is MetLife's financial position?


Financial Position Analysis

Short Term Liabilities: MET's short term assets ($70.8B) exceed its short term liabilities ($69.1B).

Long Term Liabilities: MET's short term assets ($70.8B) do not cover its long term liabilities ($634.7B).


Debt to Equity History and Analysis

Debt Level: MET's debt to equity ratio (157.9%) is considered high.

Reducing Debt: MET's debt to equity ratio has increased from 92.3% to 157.9% over the past 5 years.

Debt Coverage: MET's debt is not well covered by operating cash flow (11.6%).

Interest Coverage: MET's interest payments on its debt are well covered by EBIT (7.4x coverage).


Balance Sheet


Dividend

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

3.11%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: MET's dividend (3.11%) is higher than the bottom 25% of dividend payers in the US market (1.33%).

High Dividend: MET's dividend (3.11%) is low compared to the top 25% of dividend payers in the US market (3.6%).


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 reasonably low payout ratio (37.6%), MET's dividend payments are 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 (32.3% payout ratio).


Next Steps

Management

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

3.4yrs

Average management tenure


CEO

Michel Khalaf (57 yo)

2.33yrs

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 ($USD15.43M) is above average for companies of similar size in the US market ($USD11.33M).

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 (3.4 years average tenure).


Board Members

Experienced Board: MET's board of directors are considered experienced (5.8 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold 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 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$52.888b
  • Shares outstanding: 856.90m
  • Website: https://www.metlife.com

Number of Employees


Location

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

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/09/19 22:02
End of Day Share Price2021/09/17 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.