William Blair analyst Jeff Schmitt has maintained their neutral stance on PRI stock, giving a Hold rating today.
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Jeff Schmitt has given his Hold rating due to a combination of factors impacting Primerica’s financial outlook. Despite the company reporting strong quarterly earnings per share (EPS) of $5.46, surpassing market expectations, the growth rate of EPS has slowed to 10%. This deceleration comes amid favorable market conditions and significant share buybacks, suggesting that future earnings growth may face challenges.
Additionally, the investment and savings products (ISP) segment, which has been a strong performer, is expected to encounter tougher comparisons following a robust period. Moreover, ongoing cost-of-living pressures are affecting the term life segment, and net investment income growth is slowing, with potential improvement contingent on Federal Reserve policy changes. These elements contribute to a projected EPS growth of 8% for 2025 and 7% for 2026, which is below the historical average, leading to the Hold rating.
In another report released today, Piper Sandler also maintained a Hold rating on the stock with a $294.00 price target.
Based on the recent corporate insider activity of 55 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of PRI in relation to earlier this year.