Brighthouse Financial (BHF) AI Stock Analysis

• Market Cap: $2.79B
• Dividend Yield: N/A
• Average Volume (3M): 757.02K
• Price to Earnings (P/E): 5.3
• Beta (1Y): 0.99
• Revenue Growth: 59.27%
• EPS Growth: N/A
• Country: US
• Employees: 1,400
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Life
• EPS (TTM): 3.43
• Shares Outstanding: 57,152,370
• 10 Day Avg. Volume: 887,617
• 30 Day Avg. Volume: 757,020
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 2.27
• Enterprise Value/Revenue: 1.01
• Enterprise Value/Gross Profit: 2.67
• Enterprise Value/Ebitda: 6.93
• 1Y Price Target: $59.20
• Price Target Upside: 21.11% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 11

• Rating: 64 Neutral
• Price Target: $52.00 ▲(6.38% Upside)

Brighthouse Financial's overall stock score reflects a balance of strengths and challenges. The undervaluation based on the P/E ratio and strong capital position are significant positives. However, declining revenue, weak cash flow, and technical indicators suggest caution. Recent corporate events and strategic initiatives provide some optimism for future performance.

Positive Factors

Strong Annuity and Life Insurance Sales

The growth in annuity and life insurance sales indicates strong demand for Brighthouse's products, which supports long-term revenue stability and market position.

Capital and Liquidity Position

A robust capital and liquidity position ensures financial stability and flexibility, allowing the company to invest in growth opportunities and withstand economic fluctuations.

Leadership Changes

The appointment of experienced executives is expected to enhance strategic direction and operational efficiency, supporting long-term business growth and competitiveness.

Negative Factors

Declining Revenue

The decline in revenue suggests challenges in maintaining market share or product competitiveness, which could impact long-term growth prospects if not addressed.

Weak Cash Flow

Weak cash flow generation limits the company's ability to invest in growth initiatives and meet financial obligations, potentially affecting long-term financial health.

Adjusted Earnings Decline

The decline in adjusted earnings reflects challenges in profitability, which could hinder the company's ability to deliver consistent returns to shareholders over time.

Brighthouse Financial Business Overview & Revenue Model

Company Description

Brighthouse Financial (BHF) is a leading provider of life insurance and annuity products in the United States. Established as a spin-off from MetLife, Brighthouse focuses on offering solutions that help individuals and families achieve financial security, particularly in retirement. The company operates primarily in the insurance and financial services sectors, providing a range of products including term and whole life insurance, fixed and variable annuities, and investment solutions designed to meet the long-term savings and protection needs of its customers.

How the Company Makes Money

Brighthouse Financial generates revenue primarily through the sale of its insurance and annuity products. The company's key revenue streams include premiums collected from life insurance policies and fees from annuity contracts. Additionally, Brighthouse earns income from the investment of premiums and reserves in various financial assets. The company also benefits from asset management fees associated with its investment products. Significant partnerships with financial advisors and broker-dealers enhance its distribution capabilities, allowing Brighthouse to reach a wider customer base and drive sales. Furthermore, the company's focus on innovative product offerings and customer-centric solutions contributes to its financial performance.

Brighthouse Financial Financial Statement Overview

Summary

Brighthouse Financial shows a mixed financial picture. While profitability and operational efficiency are evident, declining revenue and weak cash flow growth are concerning. The balance sheet is stable with manageable leverage, but overall financial health could be improved by addressing cash flow challenges and reversing the revenue decline.

Income Statement

Brighthouse Financial's income statement shows a mixed performance. The TTM (Trailing-Twelve-Months) revenue has decreased by 8.13%, indicating a decline in sales. However, the company maintains a healthy net profit margin of 10.56% and an EBIT margin of 14.52%, suggesting operational efficiency. Despite these strengths, the negative revenue growth rate is a concern.

Balance Sheet

The balance sheet reflects a moderate financial position with a debt-to-equity ratio of 0.56, indicating manageable leverage. The return on equity (ROE) is 12.41%, which is a positive sign of profitability. The equity ratio stands at 2.34%, showing a stable capital structure. Overall, the balance sheet is stable but not exceptionally strong.

Cash Flow

Cash flow analysis reveals significant challenges. The free cash flow growth rate is negative at -86.79%, indicating declining cash generation. The operating cash flow to net income ratio is 3.0, suggesting some cash flow efficiency. However, the overall cash flow position is weak, impacting the company's liquidity.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	6.29B	4.37B	3.95B	6.63B	3.58B	8.50B
Gross Profit	2.37B	2.01B	336.00M	6.57B	3.07B	697.00M
EBITDA	913.00M	574.00M	-1.32B	4.88B	2.17B	-1.24B
Net Income	664.00M	388.00M	-1.11B	3.88B	1.64B	-1.06B
Balance Sheet
Total Assets	242.65B	238.54B	236.34B	225.72B	259.84B	247.87B
Cash, Cash Equivalents and Short-Term Investments	86.38B	86.97B	3.85B	80.77B	94.00B	89.84B
Total Debt	3.15B	3.15B	3.16B	3.16B	3.16B	3.44B
Total Liabilities	236.91B	234.24B	231.33B	220.19B	243.63B	229.78B
Stockholders Equity	5.67B	4.96B	4.94B	5.46B	16.14B	18.02B
Cash Flow
Free Cash Flow	51.00M	-290.00M	-137.00M	-1.15B	746.00M	888.00M
Operating Cash Flow	51.00M	-290.00M	-137.00M	-1.15B	746.00M	888.00M
Investing Cash Flow	188.00M	-2.19B	-3.20B	-8.28B	-12.24B	-5.84B
Financing Cash Flow	860.00M	3.68B	3.07B	9.14B	11.86B	6.19B

Brighthouse Financial Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 48.88
• 50DMA: Positive
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BHF, the sentiment is Neutral. The current price of 48.88 is above the 20-day moving average (MA) of 46.35, above the 50-day MA of 47.95, and below the 200-day MA of 53.15, indicating a neutral trend. The MACD of -0.24 indicates Negative momentum. The RSI at 58.49 is Neutral, neither overbought nor oversold. The STOCH value of 89.43 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for BHF.

Brighthouse Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FG	80 Outperform	$4.64B	14.02	8.40%	2.50%	1.78%	0.77%
CNO	73 Outperform	$3.83B	14.46	11.35%	1.67%	0.82%	-29.29%
LNC	71 Outperform	$7.99B	7.25	12.97%	4.27%	11.33%	-38.17%
Sector *	68 Neutral	$18.10B	11.52	9.93%	3.73%	9.70%	1.14%
GNW	67 Neutral	$3.62B	19.91	2.42%	―	2.61%	465.03%
BHF	64 Neutral	$2.79B	5.27	13.53%	―	59.27%	―
JXN	63 Neutral	$6.90B	82.50	0.30%	3.03%	27.18%	-100.02%

Brighthouse Financial Corporate Events

Brighthouse Financial Appoints New COO and CAO

On August 27, 2025, Brighthouse Financial announced the appointment of Myles J. Lambert as Executive Vice President and Chief Operating Officer, effective August 30, 2025. Lambert, who has been with the company since 2017, will continue to lead distribution and marketing while overseeing operations. Additionally, Melissa Pavlovich was appointed as Chief Accounting Officer, succeeding Richard Cook, who will now serve as Deputy CAO. These leadership changes are expected to enhance the company’s strategic direction and operational efficiency.

Brighthouse Financial Reports Q2 2025 Earnings Increase

On August 7, 2025, Brighthouse Financial announced its financial results for the second quarter ended June 30, 2025. The company reported a significant increase in net income available to shareholders, reaching $60 million compared to $9 million in the same quarter of 2024. Despite a decrease in adjusted earnings from $346 million in 2024 to $198 million in 2025, the company saw an 8% increase in annuity sales quarter-over-quarter and a 16% sequential rise, driven by fixed annuity sales. Brighthouse Financial also repurchased $102 million of its common stock year-to-date and maintained a robust risk-based capital ratio, reflecting a stable financial position.

Brighthouse Financial Stockholders Vote on Key Proposals

At the 2025 Annual Meeting, Brighthouse Financial‘s stockholders voted on four proposals. The stockholders elected nine directors for a one-year term, ratified Deloitte & Touche LLP as the independent auditor for 2025, approved executive compensation, and endorsed the Employee Plan.