Jackson Financial Incorporation (JXN) AI Stock Analysis

• Market Cap: $5.23B
• Dividend Yield: 4.05%
• Average Volume (3M): 1.29M
• Price to Earnings (P/E): 6.1
• Beta (1Y): 1.55
• Revenue Growth: 3.55%
• EPS Growth: 8.91%
• Country: US
• Employees: 3,060
• Sector: Financial
• Sector Strength: 82
• Industry: Insurance - Life
• EPS (TTM): 11.44
• Shares Outstanding: 72,093,800
• 10 Day Avg. Volume: 1,114,872
• 30 Day Avg. Volume: 1,286,004
• PEG Ratio: 0.68
• Price to Book (P/B): N/A
• Price to Sales (P/S): 1.97
• Price to Cash Flow (P/CF): 1.00
• P/FCF Ratio: 1.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: $88.40
• Price Target Upside: 21.93% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 5

Jackson Financial's strong financial performance, attractive valuation, and strategic initiatives are offset by technical weakness and cash flow transparency concerns. Despite a robust earnings call and positive corporate events, the overall sentiment is cautious due to bearish technical indicators and cash flow issues.

Positive Factors

Capital Generation

Capital generation appears promising, and the capital return outlook exceeded expectations.

Retail Annuities Performance

Strong Retail Annuities performance with solid adjusted earnings of $468 million exceeded expectations due to higher fee and spread income.

Retail Annuity Sales

Retail Annuity sales remain robust at $5.3 billion for the quarter, with their RILA product continuing to gain momentum.

Negative Factors

Closed Life and Annuity Segment

The Closed Life and Annuity segment experienced an adjusted loss of $2 million, which was below expectations.

Operating EPS

Operating EPS comes in modestly below estimates, impacted by lower than expected alternative returns.

RILA Flows

RILA Flows had net inflows of $1.4 billion, which were below consensus expectations.

Jackson Financial Incorporation Business Overview & Revenue Model

Company Description

Jackson Financial Inc., through its subsidiaries, primarily provides a suite of annuities to retail investors in the United States. The company operates through three segments: Retail Annuities, Institutional Products, and Closed Life and Annuity Blocks. The Retail Annuities segment offers various retirement income and savings products, including variable, fixed index, fixed, and immediate payout annuities, as well as registered index-linked annuities and lifetime income solutions. The Institutional Products segment provides traditional guaranteed investment contracts; funding agreements comprising agreements issued in conjunction with its participation in the U.S. federal home loan bank program; and medium-term funding agreement-backed notes. The Closed Life and Annuity Blocks segment offers various protection products, such as whole life, universal life, variable universal life, and term life insurance products, as well as fixed, fixed index, and payout annuities. This segment also provides a block of group payout annuities. The company also offers investment management services. It sells its products through a distribution network that includes independent broker-dealers, banks and other financial institutions, wirehouses and regional broker-dealers, and independent registered investment advisors, third-party platforms, and insurance agents. Jackson Financial Inc. was formerly known as Brooke (Holdco1) Inc. and changed its name to Jackson Financial Inc. in July 2020. The company was incorporated in 2006 and is headquartered in Lansing, Michigan.

How the Company Makes Money

Jackson Financial Incorporation generates revenue primarily through the sale of annuity products. These products include fixed annuities, which provide clients with a guaranteed interest rate, and variable annuities, which offer investment options tied to market performance. The company earns money through the fees associated with these products, including management fees, mortality and expense risk charges, and administrative fees. Additionally, Jackson Financial benefits from investment income generated from managing the assets underlying its annuity products. The company's earnings are influenced by factors such as interest rate conditions, market performance, and its ability to effectively manage risks associated with its product offerings. Strategic partnerships with financial advisors and institutions also play a key role in distributing its products and expanding its market reach.

Jackson Financial Incorporation Financial Statement Overview

Summary

Jackson Financial presents a robust financial position with strong equity utilization and steady revenue growth. The balance sheet is solid with prudent leverage management, but there is a lack of recent cash flow data and a slight decline in net profit margin, which are areas to monitor.

Income Statement

The income statement shows a positive trajectory in revenue growth from 2023 to 2024, with a growth rate of approximately 3.55%. The gross profit margin is strong at 100% for the latest period due to the company's business model. However, the net profit margin decreased slightly from 29.57% to 27.57%, indicating some pressure on profitability. EBIT and EBITDA margins were not available for 2024, which limits further margin analysis.

Balance Sheet

The balance sheet shows a solid equity base with an equity ratio of approximately 2.88% as of 2024. The company maintains a low debt-to-equity ratio of 0.21, indicating prudent leverage management. Return on equity (ROE) is strong at 9.24%, showing efficient use of equity to generate profits. The company's asset base continues to grow, supporting future expansion opportunities.

Cash Flow

Cash flow analysis reveals a stable free cash flow generation in previous years, but no free cash flow is reported for 2024, raising concerns about cash management. Operating cash flow to net income and free cash flow to net income ratios could not be calculated for 2024, but past data showed a robust conversion of operating profits into cash. The lack of recent data limits comprehensive cash flow assessment.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
3.27B	3.16B	9.72B	8.86B	9.59B
	Gross Profit
3.27B	610.00M	7.29B	6.40B	5.79B
	EBIT
0.00	1.08B	7.67B	3.69B	5.25B
	EBITDA
0.00	0.00	0.00	8.61B	-2.39B
	Net Income Common Stockholders
902.00M	934.00M	6.19B	3.42B	-1.64B
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
44.06B	2.69B	46.79B	54.17B	61.09B
	Total Assets
338.45B	330.25B	311.06B	375.48B	353.46B
	Total Debt
2.03B	4.03B	4.37B	2.65B	322.00M
	Net Debt
-1.73B	1.34B	69.00M	26.00M	-1.70B
	Total Liabilities
328.47B	319.92B	301.90B	2.65B	343.53B
	Stockholders Equity
9.76B	10.17B	8.42B	10.39B	9.43B
Cash Flow		Free Cash Flow
5.79B	5.31B	5.21B	5.74B	3.78B
	Operating Cash Flow
5.79B	5.31B	5.21B	5.74B	3.78B
	Investing Cash Flow
1.53B	-592.00M	-1.37B	-1.30B	-4.33B
	Financing Cash Flow
2.37B	-6.33B	-2.16B	-3.83B	639.70M

Jackson Financial Incorporation Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 72.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JXN, the sentiment is Negative. The current price of 72.5 is below the 20-day moving average (MA) of 78.67, below the 50-day MA of 83.37, and below the 200-day MA of 87.80, indicating a bearish trend. The MACD of -3.60 indicates Positive momentum. The RSI at 40.17 is Neutral, neither overbought nor oversold. The STOCH value of 50.71 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JXN.

Jackson Financial Incorporation Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
JXN	71 Outperform	$5.23B	6.10	9.49%	4.05%	3.55%	8.91%
FG	70 Outperform	$4.69B	7.26	18.12%	2.50%	27.35%	―
LNC	68 Neutral	$5.13B	1.63	43.24%	5.99%	47.95%	―
CNO	66 Neutral	$3.82B	10.19	17.14%	1.68%	7.83%	55.84%
GNW	64 Neutral	$2.73B	9.88	3.87%	―	4.06%	10092.54%
Sector *	63 Neutral	$12.75B	9.36	8.64%	84.32%	13.82%	-3.89%
BHF	52 Neutral	$2.89B	9.80	7.84%	―	14.74%	―

Jackson Financial Incorporation Corporate Events

Jackson Financial Appoints New Executive Leadership Team

On April 4, 2025, Jackson Financial Inc. announced the appointment of Christopher A. Raub as Executive Vice President and President of Jackson National Life Insurance Company, effective April 14, 2025. Raub, who has been with the company for over 25 years, will oversee various operational functions and drive growth. Additionally, Savvas (Steve) Panagiotis Binioris was appointed as the new Executive Vice President and Chief Risk Officer, succeeding Raub. These leadership changes are part of Jackson’s strategic priorities to ensure smooth transitions and continued value delivery to stakeholders.

Spark’s Take on JXN Stock

According to Spark, TipRanks’ AI Analyst, JXN is a Outperform.

Jackson Financial’s strong financial performance and attractive valuation are key strengths, supported by robust earnings call results. However, concerns about cash flow transparency and some technical indicators suggest caution. The company is well-positioned for growth with a focus on capital returns and strategic initiatives.

To see Spark’s full report on JXN stock, click here.

Jackson Financial Releases Q4 2024 Earnings Presentation

Jackson Financial Inc. has released a slide presentation to accompany its earnings call for the fourth quarter and full year ending December 31, 2024. The presentation, which is not considered filed under certain sections of the Securities Exchange Act, includes forward-looking statements that are subject to risks and uncertainties. The company reported $902 million in GAAP earnings and $1.4 billion in non-GAAP earnings for 2024, with significant capital returns to shareholders and a robust statutory capital position. The estimated risk-based capital ratio at year-end was 572%, reflecting strong financial performance, although investors are advised not to place undue reliance on non-GAAP financial measures.