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PRI

PrimericaNYSE:PRI Stock Report

Last Price

US$151.26

Market Cap

US$6.0b

7D

-2.0%

1Y

12.1%

Updated

26 Jan, 2022

Data

Company Financials +
PRI fundamental analysis
Snowflake Score
Valuation3/6
Future Growth2/6
Past Performance4/6
Financial Health3/6
Dividends4/6

PRI Stock Overview

Primerica, Inc., together with its subsidiaries, provides financial products to middle-income households in the United States and Canada.

Primerica Competitors

MetLife

NYSE:MET

US$55.0b

Prudential Financial

NYSE:PRU

US$41.9b

Aflac

NYSE:AFL

US$40.9b

Principal Financial Group

NasdaqGS:PFG

US$19.2b

Price History & Performance

Summary of all time highs, changes and price drops for Primerica
Historical stock prices
Current Share PriceUS$151.26
52 Week HighUS$179.51
52 Week LowUS$130.70
Beta1.41
1 Month Change-1.50%
3 Month Change-8.34%
1 Year Change12.14%
3 Year Change39.01%
5 Year Change100.48%
Change since IPO669.77%

Recent News & Updates

Oct 18
Is Now The Time To Put Primerica (NYSE:PRI) On Your Watchlist?

Is Now The Time To Put Primerica (NYSE:PRI) On Your Watchlist?

Like a puppy chasing its tail, some new investors often chase 'the next big thing', even if that means buying 'story...

Shareholder Returns

PRIUS InsuranceUS Market
7D-2.0%-2.2%-5.1%
1Y12.1%21.3%3.3%

Return vs Industry: PRI underperformed the US Insurance industry which returned 20.9% over the past year.

Return vs Market: PRI exceeded the US Market which returned 4.2% over the past year.

Price Volatility

Is PRI's price volatile compared to industry and market?
PRI volatility
PRI Average Weekly Movement4.1%
Insurance Industry Average Movement4.2%
Market Average Movement6.7%
10% most volatile stocks in US Market15.4%
10% least volatile stocks in US Market2.4%

Stable Share Price: PRI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: PRI's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19272,230Glenn Williamshttps://www.primerica.com

Primerica, Inc., together with its subsidiaries, provides financial products to middle-income households in the United States and Canada. The company operates in three segments: Term Life Insurance; Investment and Savings Products; and Corporate and Other Distributed Products. It underwrites individual term life insurance products.

Primerica Fundamentals Summary

How do Primerica's earnings and revenue compare to its market cap?
PRI fundamental statistics
Market CapUS$5.97b
Earnings (TTM)US$436.74m
Revenue (TTM)US$2.65b

13.7x

P/E Ratio

2.3x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
PRI income statement (TTM)
RevenueUS$2.65b
Cost of RevenueUS$1.01b
Gross ProfitUS$1.63b
ExpensesUS$1.20b
EarningsUS$436.74m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)11.06
Gross Margin61.78%
Net Profit Margin16.51%
Debt/Equity Ratio94.7%

How did PRI perform over the long term?

See historical performance and comparison

Dividends

1.2%

Current Dividend Yield

17%

Payout Ratio

Valuation

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

50.0%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: PRI ($151.26) is trading below our estimate of fair value ($302.44)

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


Price To Earnings Ratio

PE vs Industry: PRI is poor value based on its PE Ratio (13.7x) compared to the US Insurance industry average (11.2x).

PE vs Market: PRI is good value based on its PE Ratio (13.7x) compared to the US market (16.5x).


Price to Earnings Growth Ratio

PEG Ratio: PRI is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: PRI is overvalued based on its PB Ratio (2.8x) compared to the US Insurance industry average (1.1x).


Future Growth

How is Primerica forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

11.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: PRI's forecast earnings growth (11.9% per year) is above the savings rate (2%).

Earnings vs Market: PRI's earnings (11.9% per year) are forecast to grow slower than the US market (13% per year).

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

Revenue vs Market: PRI's revenue (7% per year) is forecast to grow slower than the US market (9.1% per year).

High Growth Revenue: PRI's revenue (7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: PRI's Return on Equity is forecast to be high in 3 years time (22.3%)


Past Performance

How has Primerica performed over the past 5 years?

11.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: PRI has high quality earnings.

Growing Profit Margin: PRI's current net profit margins (16.5%) are lower than last year (17.1%).


Past Earnings Growth Analysis

Earnings Trend: PRI's earnings have grown by 11.7% per year over the past 5 years.

Accelerating Growth: PRI's earnings growth over the past year (15.5%) exceeds its 5-year average (11.7% per year).

Earnings vs Industry: PRI earnings growth over the past year (15.5%) underperformed the Insurance industry 38.1%.


Return on Equity

High ROE: PRI's Return on Equity (20.8%) is considered high.


Financial Health

How is Primerica's financial position?


Financial Position Analysis

Short Term Liabilities: PRI's short term assets ($5.4B) exceed its short term liabilities ($1.8B).

Long Term Liabilities: PRI's short term assets ($5.4B) do not cover its long term liabilities ($11.9B).


Debt to Equity History and Analysis

Debt Level: PRI's net debt to equity ratio (76.1%) is considered high.

Reducing Debt: PRI's debt to equity ratio has increased from 75.5% to 94.7% over the past 5 years.

Debt Coverage: PRI's debt is well covered by operating cash flow (33.8%).

Interest Coverage: PRI's interest payments on its debt are well covered by EBIT (7.5x coverage).


Balance Sheet


Dividend

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

1.24%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: PRI's dividend (1.24%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.36%).

High Dividend: PRI's dividend (1.24%) is low compared to the top 25% of dividend payers in the US market (3.57%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (17%), PRI's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: PRI's dividends in 3 years are forecast to be well covered by earnings (15.1% payout ratio).


Next Steps

  • Explore strong dividend paying companies in the Insurance industry.

Management

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

6.8yrs

Average management tenure


CEO

Glenn Williams (62 yo)

6.75yrs

Tenure

US$5,279,867

Compensation

Mr. Glenn Jackson Williams has been the Chief Executive Officer and Director of Primerica, Inc. since April 1, 2015. Mr. Williams served as the President of Primerica, Inc. from 2005 to April 1, 2015. He s...


CEO Compensation Analysis

Compensation vs Market: Glenn's total compensation ($USD5.28M) is about average for companies of similar size in the US market ($USD6.49M).

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


Leadership Team

Experienced Management: PRI's management team is seasoned and experienced (6.8 years average tenure).


Board Members

Experienced Board: PRI's board of directors are considered experienced (8.5 years average tenure).


Ownership

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


Insider Trading Volume

Insider Buying: PRI 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

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


Key Information

  • Name: Primerica, Inc.
  • Ticker: PRI
  • Exchange: NYSE
  • Founded: 1927
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Implied Market Cap: US$5.973b
  • Shares outstanding: 39.49m
  • Website: https://www.primerica.com

Number of Employees


Location

  • Primerica, Inc.
  • 1 Primerica Parkway
  • Duluth
  • Georgia
  • 30099
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/26 00:58
End of Day Share Price2022/01/25 00:00
Earnings2021/09/30
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.