Equitable Holdings (EQH) AI Stock Analysis

• Market Cap: $15.80B
• Dividend Yield: 1.89%
• Average Volume (3M): 2.89M
• Price to Earnings (P/E): 42.5
• Beta (1Y): 1.11
• Revenue Growth: 5.05%
• EPS Growth: -47.26%
• Country: US
• Employees: 8,000
• Sector: Financial
• Sector Strength: 75
• Industry: Insurance - Diversified
• EPS (TTM): 1.10
• Shares Outstanding: 299,536,470
• 10 Day Avg. Volume: 2,771,360
• 30 Day Avg. Volume: 2,889,497
• 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: 1.54
• Enterprise Value/Revenue: 1.65
• Enterprise Value/Gross Profit: 1.86
• Enterprise Value/Ebitda: 7.88
• 1Y Price Target: $64.67
• Price Target Upside: 19.60% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 9

• Rating: 71 Outperform
• Price Target: $60.00 ▲(10.97% Upside)

Equitable Holdings' strong financial performance and strategic initiatives, such as the reinsurance transaction, are significant positives. However, high valuation metrics and mixed earnings call results temper the overall outlook.

Positive Factors

Long-term Growth Strategy

Equitable's transformation is expected to result in better earnings power and a higher valuation.

Retirement Market Position

EQH is seen as best positioned in the US retirement market due to its integrated retirement model and history of innovation.

Stock Buyback

Management expects to deploy $500 million of incremental buyback, indicating confidence in the value of the company's stock.

Negative Factors

Earnings Expectations

The price target is adjusted down to $63 from $66 due to lower earnings expectations.

Earnings Miss

Mortality and lower fees contributed to the earnings miss in key segments like Protection Solutions, Individual Retirement, and Legacy.

EPS Growth Pressure

Elevated mortality and lower markets could put 2025 EPS growth below the expected range, leading to near-term pressure on the stock.

Equitable Holdings Business Overview & Revenue Model

Company Description

Equitable Holdings, Inc., together with its consolidated subsidiaries, operates as a diversified financial services company worldwide. The company operates through four segments: Individual Retirement, Group Retirement, Investment Management and Research, and Protection Solutions. The Individual Retirement segment offers a suite of variable annuity products primarily to affluent and high net worth individuals. The Group Retirement segment provides tax-deferred investment and retirement services or products to plans sponsored by educational entities, municipalities, and not-for-profit entities, as well as small and medium-sized businesses. The Investment Management and Research segment offers diversified investment management, research, and related solutions to various clients through institutional, retail, and private wealth management channels; and distributes its institutional research products and solutions. The Protection Solutions segment provides various variable universal life, indexed universal life, and term life products to help affluent and high net worth individuals, as well as small and medium-sized business owners; and a suite of life, short- and long-term disability, dental, and vision insurance products to small and medium-size businesses. The company was formerly known as AXA Equitable Holdings, Inc. and changed its name to Equitable Holdings, Inc. in January 2020. Equitable Holdings, Inc. was founded in 1859 and is based in New York, New York.

How the Company Makes Money

Equitable Holdings generates revenue primarily through the sale of insurance products, annuities, and investment management services. Key revenue streams include premiums collected from life insurance policies, fees from annuity contracts, and asset management fees from investment products. The company also earns income through its investment portfolio, which consists of bonds, stocks, and other financial instruments. Strategic partnerships with financial advisors and distributors further enhance its market reach and customer acquisition. Additionally, Equitable Holdings benefits from a growing customer base seeking retirement and protection solutions, contributing to its overall earnings.

Equitable Holdings Financial Statement Overview

Summary

Equitable Holdings shows strong financial recovery with robust revenue and profit growth, improved operating margins, and enhanced cash flow generation. Despite a low equity ratio, the company effectively manages leverage and maintains substantial liquidity.

Income Statement

Equitable Holdings exhibited strong revenue growth with a substantial increase from $10.53B in 2023 to $14.78B in TTM, indicating a robust upward trajectory. Gross profit margin remained healthy at 74.02% in TTM. Net profit margin improved to 9.41% in TTM compared to lower past performances, demonstrating enhanced profitability. The EBIT margin recovered to 14.16% after previous losses, and EBITDA margin stood at 19.49%, both showing significant improvement in operational efficiency.

Balance Sheet

The company maintains a strong liquidity position with $127.07B in cash and equivalents in TTM. Debt-to-equity ratio improved to 1.80, indicating better leverage management compared to previous years. However, the equity ratio remains low at 0.83% in TTM, suggesting potential risk due to limited equity buffer. ROE was notably high at 57.92% in TTM, reflecting effective use of equity to generate income.

Cash Flow

Equitable Holdings improved its cash flow stability, with operating cash flow increasing to $1.88B in TTM. Free cash flow grew significantly, evidenced by a positive $1.61B in TTM, recovering from previous negative figures. Operating cash flow to net income ratio of 1.35 in TTM indicates efficient cash conversion. The free cash flow to net income ratio of 1.16 highlights the company's ability to generate free cash flow relative to net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.78B	12.44B	10.53B	13.92B	9.93B	12.41B
Gross Profit	13.14B	10.00B	2.86B	5.87B	7.28B	807.00M
EBITDA	3.10B	3.20B	1.78B	3.83B	5.63B	864.00M
Net Income	1.26B	1.31B	1.30B	2.15B	1.75B	-648.00M
Balance Sheet
Total Assets	287.37B	295.87B	276.81B	252.70B	292.26B	275.40B
Cash, Cash Equivalents and Short-Term Investments	34.16B	83.61B	75.27B	67.64B	5.82B	11.73B
Total Debt	6.59B	6.78B	5.63B	5.23B	5.12B	5.28B
Total Liabilities	282.87B	292.30B	271.66B	249.11B	278.70B	258.08B
Stockholders Equity	2.40B	1.58B	2.65B	1.40B	11.52B	15.58B
Cash Flow
Free Cash Flow	2.03B	1.85B	-325.00M	-417.00M	-313.00M	-168.00M
Operating Cash Flow	2.13B	2.01B	-208.00M	-250.00M	-193.00M	-61.00M
Investing Cash Flow	-14.37B	-15.86B	-4.85B	-7.49B	-12.69B	-7.82B
Financing Cash Flow	9.72B	12.44B	9.00B	7.04B	11.95B	9.67B

Equitable Holdings Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 54.07
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For EQH, the sentiment is Positive. The current price of 54.07 is above the 20-day moving average (MA) of 53.17, above the 50-day MA of 52.97, and above the 200-day MA of 50.86, indicating a bullish trend. The MACD of 0.25 indicates Negative momentum. The RSI at 56.41 is Neutral, neither overbought nor oversold. The STOCH value of 61.60 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for EQH.

Equitable Holdings Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HIG	80 Outperform	$37.09B	11.96	19.55%	1.54%	7.67%	15.99%
ACGL	79 Outperform	$34.08B	9.60	17.09%	―	23.79%	-32.09%
AIG	75 Outperform	$44.90B	15.02	7.61%	2.02%	-33.87%	-5.72%
PFG	73 Outperform	$17.81B	16.10	10.16%	3.71%	-3.34%	-3.32%
EQH	71 Outperform	$15.80B	42.55	34.30%	1.89%	5.05%	-47.26%
AEG	69 Neutral	$11.96B	8.46	14.42%	5.84%	-6.19%	―
Sector *	68 Neutral	$18.05B	11.73	10.24%	3.73%	9.66%	1.70%

Equitable Holdings Corporate Events

Equitable Holdings Amends Reimbursement Agreements with Banks

On August 25, 2025, Equitable Holdings, Inc. amended its Reimbursement Agreements with Commerzbank AG and MUFG Bank to align with its Revolving Credit Agreement, introducing changes to financial covenants and extending the Commitment Termination Date by two years. Earlier, on August 21 and August 26, 2025, the company terminated several bilateral letter of credit facilities with multiple banks, including Barclays Bank PLC and Citibank Europe PLC, marking a strategic shift in its financial operations.

Equitable Holdings Reports Q2 2025 Financial Results

Equitable Holdings reported its second-quarter 2025 financial results, highlighting a net loss of $349 million and Non-GAAP operating earnings of $352 million. Despite a decrease in earnings compared to the previous year, the company achieved significant milestones, including a reinsurance transaction with RGA that generated over $2 billion in value and reduced mortality exposure by 75%. The company also reported positive net flows in its Retirement and Wealth Management segments, while Asset Management experienced net outflows. Equitable Holdings returned $318 million to shareholders and maintained a strong financial condition with a combined NAIC RBC ratio over 500%. Looking forward, the company expects earnings growth to accelerate in the second half of 2025, supported by its integrated business model and strategic initiatives.

Equitable Holdings Completes Major Reinsurance Transaction

On July 31, 2025, Equitable Holdings completed a significant reinsurance transaction with RGA Reinsurance Company, involving its subsidiaries Equitable Financial Life Insurance Company, Equitable Financial Life Insurance Company of America, and Equitable Financial Life and Annuity Company. The transaction, which was initially announced on February 23, 2025, allows Equitable to reinsure 75% of its in-force individual life insurance block, generating over $2 billion in value and reducing exposure to future mortality volatility. This strategic move enables Equitable Holdings to enhance its focus on core businesses such as retirement, asset management, and wealth management.

Equitable Holdings Enters New Revolving Credit Agreement

On July 29, 2025, Equitable Holdings, Inc. entered into a new Revolving Credit Agreement with a syndicate of banks, including JPMorgan Chase Bank, N.A. as the Administrative Agent. This agreement establishes a $1 billion five-year senior unsecured revolving credit facility, allowing for extensions of credit up to $1 billion at any one time, including letters of credit for subsidiary accounts. Concurrently, Equitable Holdings terminated its previous $1.5 billion revolving credit facility established in 2018, indicating a strategic shift in its financial arrangements.