HomeEntrepreneurReinsurance Group (RGA) Experiences This autumn Loss, Tops Income Estimates

Reinsurance Group (RGA) Experiences This autumn Loss, Tops Income Estimates

This story initially appeared on Zacks

Reinsurance Group (RGA) got here out with a quarterly lack of $0.56 per share versus the Zacks Consensus Estimate of $0.83. This compares to earnings of $1.19 per share a 12 months in the past. These figures are adjusted for non-recurring objects.

– Zacks

This quarterly report represents an earnings shock of -167.47%. 1 / 4 in the past, it was anticipated that this reinsurance firm would submit earnings of $2.45 per share when it truly produced a lack of $1.11, delivering a shock of -145.31%.

During the last 4 quarters, the corporate has surpassed consensus EPS estimates simply as soon as.

Reinsurance Group, which belongs to the Zacks Insurance coverage – Life Insurance coverage trade, posted revenues of $4.27 billion for the quarter ended December 2021, surpassing the Zacks Consensus Estimate by 2.13%. This compares to year-ago revenues of $4.04 billion. The corporate has topped consensus income estimates 4 occasions over the past 4 quarters.

The sustainability of the inventory’s instant value motion primarily based on the recently-released numbers and future earnings expectations will largely depend upon administration’s commentary on the earnings name.

Reinsurance Group shares have added about 3.9% for the reason that starting of the 12 months versus the S&P 500’s decline of -3.7%.

What’s Subsequent for Reinsurance Group?

Whereas Reinsurance Group has outperformed the market thus far this 12 months, the query that involves traders’ minds is: what’s subsequent for the inventory?

There aren’t any straightforward solutions to this key query, however one dependable measure that may assist traders handle that is the corporate’s earnings outlook. Not solely does this embody present consensus earnings expectations for the approaching quarter(s), but in addition how these expectations have modified these days.

Empirical analysis reveals a powerful correlation between near-term inventory actions and tendencies in earnings estimate revisions. Traders can observe such revisions by themselves or depend on a tried-and-tested ranking instrument just like the Zacks Rank, which has a formidable observe report of harnessing the ability of earnings estimate revisions.

Forward of this earnings launch, the estimate revisions development for Reinsurance Group: blended. Whereas the magnitude and path of estimate revisions might change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #3 (Maintain) for the inventory. So, the shares are anticipated to carry out in step with the market within the close to future. You may see the whole listing of at this time’s Zacks #1 Rank (Sturdy Purchase) shares right here.

It is going to be attention-grabbing to see how estimates for the approaching quarters and present fiscal 12 months change within the days forward. The present consensus EPS estimate is $1.37 on $3.95 billion in revenues for the approaching quarter and $11.33 on $16.36 billion in revenues for the present fiscal 12 months.

Traders ought to be aware of the truth that the outlook for the trade can have a fabric impression on the efficiency of the inventory as properly. When it comes to the Zacks Business Rank, Insurance coverage – Life Insurance coverage is at the moment within the backside 31% of the 250 plus Zacks industries. Our analysis reveals that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.

Voya Monetary (VOYA), one other inventory in the identical trade, has but to report outcomes for the quarter ended December 2021. The outcomes are anticipated to be launched on February 8.

This retirement, funding and insurance coverage firm is predicted to submit quarterly earnings of $1.48 per share in its upcoming report, which represents a year-over-year change of +2.8%. The consensus EPS estimate for the quarter has been revised 1.8% decrease over the past 30 days to the present stage.

Voya Monetary’s revenues are anticipated to be $233.58 million, down 41.3% from the year-ago quarter.

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Reinsurance Group of America, Integrated (RGA): Free Inventory Evaluation Report
Voya Monetary, Inc. (VOYA): Free Inventory Evaluation Report
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