Financial Performance - The financial supplement for Primerica, Inc. covers the fourth quarter of 2024, providing insights into ongoing business metrics and performance evaluations[5] - Total revenues for Q4 2023 reached $854.74 million, reflecting a year-over-year increase of 20.4%[19] - Net income for the quarter ending December 2023 was $167.071 million, up from $151.935 million in the previous quarter, indicating a growth of approximately 9.4%[12] - The company reported a year-to-date net income of $601 million, which is a 4% increase compared to the previous year[19] - Adjusted net operating income for Q4 2023 was $231,000, reflecting a 43.2% increase compared to Q4 2022[15] - Adjusted operating income for the quarter was $39.08 million, reflecting a 14.2% increase year-over-year[23] - The overall performance indicates a strong financial position with positive trends in revenue and net income growth[19] Adjusted Financial Metrics - Adjusted net operating income and diluted adjusted operating earnings per share exclude the tax effect of pre-tax operating adjustments and non-recurring items, ensuring comparability in financial results[5] - Adjusted stockholders' equity removes the impact of net unrealized gains and losses on invested assets, providing a clearer picture of the company's financial health[6] - The document includes reconciliations of non-GAAP to GAAP financial measures, emphasizing the importance of these metrics in management's decision-making process[8] - Adjusted stockholders' equity per share increased to $65.8, reflecting a 1.3% growth compared to the previous period[16] Segment Performance - The financial results will be analyzed across different segments, including Term Life Insurance and Investment and Savings Products, highlighting key statistics and performance[2] - Term Life Insurance direct premiums increased to $850.6 million in Q4 2023, representing a 2.5% year-over-year growth[22] - The company anticipates continued growth in the Term Life Insurance segment, with a projected increase in direct premiums for 2024[22] - Investment & Savings product sales totaled $12,070 million in Q1 2024, a significant increase from $9,211 million in Q4 2023, marking a growth of 31.1%[61] Asset and Liability Management - Total assets increased from $14,433 million in September 2023 to $15,027 million in December 2023, representing a growth of approximately 4.1%[12] - Total liabilities rose from $12,120 million in September 2023 to $12,961 million in December 2023, an increase of about 6.9%[12] - Stockholders' equity at the end of December 2023 was $2,197.05 million, reflecting a decrease from $2,275.0 million in September 2023[12] - The company’s retained earnings increased from $2,215.3 million in September 2023 to $2,276.9 million in December 2023, reflecting a growth of approximately 2.8%[12] Investment Performance - Primerica's investment portfolio details will be provided, showcasing the company's asset management strategies and performance metrics[2] - Net investment income increased to $38.134 million in Q4 2023, a rise of 1.3% from the previous quarter, with year-to-date growth of 14.5%[19] - Adjusted net investment income reached $2,551 million, reflecting a 7.0% increase compared to the previous year[22] - The fixed income portfolio represents 80.5% of total invested assets, with an amortized cost of $3,155,494,000[49] Guidance and Future Outlook - The company provided a guidance for Q1 2024 with expected earnings per share in the range of $4.20 to $4.30[15] - Future outlook includes continued market expansion and potential new product launches, although specific details were not provided[23] - The company plans to expand its market presence and invest in new product development to drive future growth[19] - The company anticipates continued growth in revenues and income for 2024, driven by new product launches and market expansion[37] Operational Metrics - Basic earnings per share for Q4 2023 was $4.36, a decrease of 1.8% compared to Q4 2022[15] - Share count at the end of Q4 2023 was 34.9 million, a decrease of 4.7% year-over-year[15] - Life-insurance licensed sales force increased from 139.0 thousand in Q4 2023 to 141.5 thousand in Q1 2024, representing a 1.8% growth[33] - Non-renewal and terminated representatives decreased from 11.06 thousand in Q3 2023 to 10.51 thousand in Q4 2023, a decline of 4.9%[33] Credit Ratings and Financial Stability - Moody's and S&P maintained the company's credit ratings at A1 and AA- respectively, indicating strong financial stability[16] - The company has consistently received an A+ rating from A.M. Best, showcasing its strong insurance financial strength[16]

Core Viewpoint - Primerica (PRI) is expected to report quarterly earnings of $4.96 per share, reflecting a 16.7% increase year-over-year, with revenues projected at $767.24 million, a 5.9% increase from the previous year [1] Earnings Estimates - Over the past 30 days, the consensus EPS estimate has been adjusted downward by 2.2%, indicating a reassessment by analysts [1][2] - Changes in earnings estimates are crucial for predicting investor reactions to stock performance [2] Revenue Projections - Analysts predict 'Revenues- Other, net' to be $17.22 million, a year-over-year increase of 1.7% [4] - 'Revenues- Commissions and fees' are estimated at $269.24 million, reflecting a 9.1% increase from the prior year [4] - 'Revenues- Net premiums' are expected to reach $441.28 million, indicating a 4.1% year-over-year change [4] Adjusted Operating Revenues - 'Adjusted Operating Revenues- Investment and Savings Products' is forecasted at $263.01 million, a significant increase of 18.7% from the previous year [5] - 'Adjusted Operating Revenues- Term Life Insurance' is expected to be $447.61 million, showing a 3.8% increase [5] - 'Adjusted Operating Revenues- Corporate and Other Distributed Products' is projected at $52.46 million, a 2.6% year-over-year change [6] Key Metrics - The consensus estimate for 'Life-Licensed Sales Force, End of period' is 152,342, up from 141,572 a year ago [7] - 'Life Insurance Policies Issued' are expected to reach 91,743, compared to 88,757 last year [7] - 'Recruits' are projected to be 93,175, an increase from 89,992 [7] Client Asset Values - 'Average Client Asset Values' are anticipated to reach $112.64 billion, up from $91 billion year-over-year [8] - 'New Life-Licensed Representatives' are expected to total 15,575, compared to 13,029 last year [8] Stock Performance - Over the past month, Primerica shares have increased by 6.3%, outperforming the Zacks S&P 500 composite's 2.1% change [8][9] - Based on its Zacks Rank 3 (Hold), PRI is expected to perform in line with the overall market in the upcoming period [9]

Company Overview - Primerica (PRI) is positioned well in the Zacks Insurance - Life Insurance industry and has a strong track record of exceeding earnings estimates, with an average surprise of 12.34% over the past two quarters [1][3]. Recent Earnings Performance - In the most recent quarter, Primerica reported earnings of $5.68 per share, surpassing the expected $4.78 per share by 18.83%. The previous quarter also saw a positive surprise, with actual earnings of $4.71 per share against an expectation of $4.45 per share, resulting in a 5.84% surprise [2]. Earnings Estimates and Predictions - Recent estimates for Primerica have been increasing, and the Zacks Earnings ESP (Expected Surprise Prediction) is positive, indicating a strong likelihood of another earnings beat. The company currently has an Earnings ESP of +0.03% and a Zacks Rank of 2 (Buy) [3][6]. Statistical Insights - Research indicates that stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise. This suggests that out of 10 stocks with this combination, up to seven may beat consensus estimates [4]. Importance of Earnings ESP - The Earnings ESP metric compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions. A positive Earnings ESP indicates bullish sentiment among analysts regarding the company's earnings prospects [5][6]. Upcoming Earnings Report - Primerica's next earnings report is anticipated to be released on February 11, 2025, and the current positive indicators suggest a potential for continued strong performance [6].

Industry Overview - The Zacks Life Insurance industry includes companies offering life insurance, retirement benefits, and wealth management solutions, with products such as annuities, term life insurance, and health insurance [3] - The industry is expected to grow, with gross written premiums projected to reach $1.34 trillion in 2025, driven by increasing demand for protection products and retirement benefits [4] - The global life insurance market is forecasted to reach $2.5 trillion by 2026, with a CAGR of 3.54% from 2025 to 2029 [9] Key Trends - **Interest Rate Cuts**: The Fed cut interest rates three times in 2024, totaling 150 basis points, with two more cuts expected in 2025, impacting life insurers' investment returns [5][6] - **Product Redesign**: Insurers are shifting from long-duration term life insurance to bundled investment products offering guaranteed retirement income, life, and healthcare benefits [7] - **Technology Adoption**: Increased automation, digital platforms, and online sales are driving premium growth and operational efficiency, with investments in AI, blockchain, and cognitive intelligence [11][12] Industry Performance - The life insurance industry has collectively gained 26.9%, outperforming the Finance sector's 22% increase and matching the S&P 500's 26.9% growth [15] - The industry's trailing 12-month price-to-book (P/B) ratio is 1.91X, lower than the S&P 500's 8.67X and the Finance sector's 3.97X [16] Companies to Watch - **Reinsurance Group of America (RGA)**: Zacks Rank 1, with a 5.5% YoY earnings increase expected in 2025 and a four-quarter average earnings surprise of 17.74% [18][19] - **Primerica (PRI)**: Zacks Rank 2, with a 7.2% YoY earnings increase expected in 2025 and a four-quarter average earnings surprise of 4.89% [20][21] - **Sun Life Financial (SLF)**: Zacks Rank 3, with a 10.6% YoY earnings increase expected in 2025 and a long-term earnings growth rate of 7% [22][23] - **Lincoln National (LNC)**: Zacks Rank 3, with a 9% YoY earnings increase expected in 2025 and a long-term earnings growth rate of 17% [24][25] - **Voya Financial (VOYA)**: Zacks Rank 3, with a 26.3% YoY earnings increase expected in 2025 and a long-term earnings growth rate of 15.9% [26][27] Growth Drivers - Rising demand for retirement benefits due to the aging baby boomer population [4] - Strong sales in emerging markets like China, India, and Latin America, expected to boost premiums by 5.7% in 2025 [10] - Increased automation and digitalization driving premium growth and operational efficiency [11][12]

Primerica (PRI) has been on a downward spiral lately with significant selling pressure. After declining 10% over the past four weeks, the stock looks well positioned for a trend reversal as it is now in oversold territory and there is strong agreement among Wall Street analysts that the company will report better earnings than they predicted earlier.How to Determine if a Stock is OversoldWe use Relative Strength Index (RSI), one of the most commonly used technical indicators, for spotting whether a stock is ...

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.While many investors like to look for moment ...

The Future Investor with Albert Anthony is a new series of curated research articles on the Seeking Alpha platform, focusing on growing a diversified portfolio and unlocking future drivers of performance.Albert Anthony is the pen name of a contributing analyst who has covered over +200 stocks on this platform since 2023, growing to over 1.07K followers. Based on this new article series, he is also working on a new book on Amazon to be called The Future Investor: Growing a Diversified Portfolio (2025 edition ...

Core Insights - Primerica, Inc. (PRI) reported strong third-quarter earnings driven by robust Term Life and Investment and Savings Product sales, with shares increasing by 3.4% post-earnings announcement [1][2] Financial Performance - Adjusted earnings per share for Q3 2024 were $5.68, exceeding the Zacks Consensus Estimate by 18.8% and reflecting a 32.7% increase year-over-year [2] - Total revenue rose 8% year-over-year to $770.1 million, surpassing the consensus estimate by 4.1% [3] - Net premiums reached $439.8 million, a 4.6% increase from the previous year, beating the consensus by 2.3% [5] - Net investment income increased by 18.4% year-over-year to $41.1 million, exceeding the consensus by 10% [5] - Commissions and fees grew by 19.5% year-over-year to $271.9 million, beating the consensus by 6.2% [5] - Total benefits and expenses rose 5.8% to $519.6 million, influenced by higher claims and operating expenses [6] - Adjusted net operating income increased by 21% year-over-year to $193.2 million [6] Segment Performance - Term Life Insurance segment saw adjusted operating revenues climb 5% year-over-year to $450.3 million, with adjusted operating income before taxes increasing by 26% to $178.4 million, beating the consensus by 24.8% [7] - Investment and Savings Products segment reported a 22% year-over-year increase in adjusted operating revenues to $266.1 million, with adjusted operating income before taxes rising 24% to $79.9 million, exceeding the consensus by 11.9% [8] - Corporate and Other Distributed Products segment had adjusted operating revenues of $53.7 million, a 3% increase year-over-year, but reported an adjusted operating loss of $5.7 million due to various factors [9] Financial Position - As of September 30, 2024, Primerica had cash and cash equivalents of $550.1 million, down from $594.1 million at the end of 2023 [10] - Total assets decreased to $14.8 billion from $15 billion at the end of 2023 [10] - Total shareholders' equity was $1.9 billion, down from $2.1 billion at the end of 2023 [12] Capital Management - In Q3 2024, Primerica repurchased shares worth $129 million and paid dividends totaling $31 million [14] - A dividend of 90 cents per share was approved, to be paid on December 12, 2024 [14] Guidance - Primerica anticipates a 3% growth in full-year life sales for 2024 and expects the benefits and claims ratio for the Term Life insurance segment to be around 58% in Q4 2024 [15] - Investment and Savings Product sales are projected to grow between 22% and 25% in 2024 [16] - The company expects a 9% increase in insurance and other operating expenses in 2024 [17]

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the 'long' context, investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Even ...

Investors in Primerica, Inc. (PRI) need to pay close attention to the stock based on moves in the options market lately. That is because the Dec 20, 2024 $175 Put had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean ...