Voya Financial (VOYA) AI Stock Analysis

• Market Cap: $6.97B
• Dividend Yield: 2.48%
• Average Volume (3M): 798.78K
• Price to Earnings (P/E): 13.7
• Beta (1Y): 0.94
• Revenue Growth: 5.34%
• EPS Growth: -25.43%
• Country: US
• Employees: 10,000
• Sector: Financial
• Sector Strength: 82
• Industry: Financial - Conglomerates
• EPS (TTM): 2.00
• Shares Outstanding: 96,293,940
• 10 Day Avg. Volume: 730,236
• 30 Day Avg. Volume: 798,785
• PEG Ratio: -0.17
• Price to Book (P/B): 1.39
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 4.58
• Enterprise Value/Market Cap: 1.08
• Enterprise Value/Revenue: 0.29
• Enterprise Value/Gross Profit: 1.28
• Enterprise Value/Ebitda: 8.93
• 1Y Price Target: $80.18
• Price Target Upside: 10.23% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12

• Rating: 67 Neutral
• Price Target: $71.00 ▼(-2.39%Downside)

Voya Financial's strong revenue growth and strategic earnings guidance are positive. However, concerns over cash flow variability, macroeconomic uncertainty, and lower-than-expected investment income slightly dampen the overall outlook.

Positive Factors

Earnings Accretion

Improvements in the Health Solutions segment, resumption of buybacks, and earnings accretion from the OneAmerica integration are expected to drive the long-term thesis.

Strategic Initiatives

Strategic initiatives in 2025 are anticipated to help Voya meaningfully rebound from 2024 and establish an attractive growth profile in 2026 and beyond.

Turnaround Strategy

Management provided a sensible turnaround strategy that gives confidence in Voya's long-term growth profile.

Negative Factors

EPS Growth

There is an anticipation of slower earnings per share growth through 2026 due to debt issues and integration costs.

Medical Stop-Loss Product

The company has faced material losses from its medical stop-loss product, which could affect future financial performance.

Stock Downgrade

The stock has been downgraded to 'Underperform' due to what appears to be a 'reset' year for the company.

Voya Financial Business Overview & Revenue Model

Company Description

Voya Financial, Inc. is a premier American financial services company that operates in the sectors of retirement, investment management, and employee benefits. The company is committed to helping individuals and organizations achieve financial wellness, offering a range of products and services that include retirement plans, investment management, and insurance solutions. Voya serves a diverse clientele, including individual investors, employers, and institutions, with a focus on providing innovative and customer-centric solutions.

How the Company Makes Money

Voya Financial makes money primarily through its three core business segments: Retirement, Investment Management, and Employee Benefits. In the Retirement segment, the company earns revenue from fees associated with managing defined contribution plans, such as 401(k) plans, IRAs, and other retirement savings products. The Investment Management segment generates income through management fees from institutional and retail clients, offering a range of investment products, including mutual funds and separately managed accounts. Additionally, Voya's Employee Benefits segment provides group life, disability, and stop-loss insurance products, which generate revenue through premium collections. The company also benefits from strategic partnerships and collaborations that enhance its product offerings and expand its market reach, contributing to its overall earnings.

Voya Financial Financial Statement Overview

Summary

Voya Financial demonstrates strong revenue growth and improved operational efficiency. The balance sheet shows a reduction in leverage and solid equity positioning, but cash flow metrics are concerning due to data unavailability and previous variability.

Income Statement

Voya Financial shows strong improvements in revenue, with a notable revenue growth rate of 9.53% from 2023 to 2024. The gross profit margin remains high at 100%, indicating efficient cost management. However, the net profit margin has seen a slight improvement to 9.21% in 2024 from 8.51% in 2023, suggesting room for enhancing profitability further. EBIT margin significantly improved to 61.70% in 2024, indicating better operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.61, reflecting a reduction in leverage risk. The return on equity (ROE) stands at 18.53% for 2024, showing strong returns on shareholder investments despite a decline from previous years. The equity ratio is at 60.72%, indicating a solid equity base relative to total assets.

Cash Flow

The cash flow situation shows challenges, with free cash flow data unavailable for 2024. The operating cash flow to net income ratio in previous years indicated variability, and without current data, assessing cash flow health remains difficult. The company needs to ensure stable cash flow generation to support operations and growth.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.99B	7.89B	7.35B	5.90B	3.63B	7.65B
Gross Profit	5.85B	7.89B	7.35B	5.90B	3.63B	7.39B
EBITDA	368.00M	1.10B	991.00M	629.00M	3.02B	584.00M
Net Income	572.00M	667.00M	625.00M	510.00M	2.37B	-206.00M
Balance Sheet
Total Assets	163.95B	153.00B	157.09B	146.61B	171.26B	180.31B
Cash, Cash Equivalents and Short-Term Investments	27.14B	25.70B	937.00M	2.52B	2.94B	45.40B
Total Debt	3.13B	3.60B	3.43B	3.47B	3.48B	3.83B
Total Liabilities	157.59B	157.88B	151.03B	141.53B	161.44B	169.00B
Stockholders Equity	4.38B	4.00B	4.19B	3.35B	8.25B	10.11B
Cash Flow
Free Cash Flow	501.00M	911.00M	1.64B	1.35B	22.00M	1.21B
Operating Cash Flow	501.00M	911.00M	1.64B	1.35B	22.00M	1.21B
Investing Cash Flow	-978.00M	-141.00M	2.53B	-1.95B	-327.00M	-2.46B
Financing Cash Flow	-74.00M	-759.00M	-4.06B	28.00M	-265.00M	1.70B

Voya Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 72.74
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For VOYA, the sentiment is Positive. The current price of 72.74 is above the 20-day moving average (MA) of 69.31, above the 50-day MA of 66.75, and above the 200-day MA of 70.44, indicating a bullish trend. The MACD of 1.76 indicates Negative momentum. The RSI at 67.98 is Neutral, neither overbought nor oversold. The STOCH value of 81.99 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for VOYA.

Voya Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MTG	79 Outperform	$6.51B	9.12	15.12%	1.90%	4.64%	15.36%
SIGI	75 Outperform	$5.20B	23.34	7.48%	1.77%	13.37%	-35.09%
JXN	69 Neutral	$6.29B	85.79	1.24%	3.64%	3.55%	8.91%
VOYA	67 Neutral	$6.97B	13.66	13.40%	2.48%	5.34%	-25.43%
SLM	66 Neutral	$7.22B	12.39	27.60%	1.51%	-0.70%	-12.72%
Sector *	64 Neutral	$6.48B	11.45	7.19%	225.06%	23.75%	4.96%
PFSI	62 Neutral	$5.17B	15.37	9.32%	1.20%	23.79%	121.61%

Voya Financial Corporate Events

Voya Financial Reveals Q2 2025 Investment Income Estimate

Voya Financial has disclosed its alternative investment income for the second quarter of 2025, estimating it to be between $45 million and $55 million pre-tax, which is slightly above or below its long-term expectations. The company cautions that these preliminary results, which include investment income from its general account and investment capital returns, are subject to change as they have not yet completed their financial closing procedures, nor have they been audited by Ernst & Young LLP.

The most recent analyst rating on (VOYA) stock is a Hold with a $76.00 price target. To see the full list of analyst forecasts on Voya Financial stock, see the VOYA Stock Forecast page.

Voya Financial Elects Directors at Annual Meeting

On May 22, 2025, Voya Financial held its Annual Meeting of Stockholders, where twelve directors were elected to serve a one-year term, and the compensation for named executive officers was approved. Additionally, the appointment of Ernst & Young LLP as the independent registered public accounting firm for the fiscal year 2025 was ratified, indicating continued confidence in the company’s financial oversight.

The most recent analyst rating on (VOYA) stock is a Hold with a $76.00 price target. To see the full list of analyst forecasts on Voya Financial stock, see the VOYA Stock Forecast page.

Voya Financial Completes $600M P-Caps Issuance

On May 21, 2025, Voya Financial, Inc. completed a significant financial transaction involving the issuance and sale of Pre-Capitalized Trust Securities (P-Caps) worth $600 million. This transaction, conducted through a private placement, provides Voya with a new source of contingent liquidity for general corporate purposes. The P-Caps, which are redeemable by May 15, 2035, offer an annual distribution rate of 6.012% and are available only to qualified institutional buyers. The arrangement includes a facility agreement allowing Voya to issue Senior Notes to the Trust in exchange for eligible assets, with various conditions and rights for redemption and repurchase. This move is expected to strengthen Voya’s financial flexibility and operational strategy.

The most recent analyst rating on (VOYA) stock is a Hold with a $76.00 price target. To see the full list of analyst forecasts on Voya Financial stock, see the VOYA Stock Forecast page.

Voya Financial Reports Q1 2025 Earnings and Growth

On May 6, 2025, Voya Financial reported its first-quarter 2025 financial results, highlighting a net income of $139 million and after-tax adjusted operating earnings of $195 million. The results were driven by the acquisition of OneAmerica Financial’s retirement plan business, positive capital markets, and disciplined spending. Despite a decrease in net income compared to the previous year due to the absence of prior investment gains and higher expenses, Voya showed growth in adjusted operating earnings. The company returned $43 million to shareholders and invested $200 million in strategic growth, maintaining a strong balance sheet and capital generation. Voya’s Wealth Solutions segment saw a significant increase in earnings and client assets, while Health Solutions faced challenges with declining revenues and margins. Investment Management experienced growth in fee-based revenues and net inflows, contributing to an improved operating margin.

Voya Financial Reports $345 Billion in Managed Assets

Voya Financial disclosed that as of March 31, 2025, its Investment Management segment managed assets totaling $345 billion. This includes a diverse portfolio of asset types and client categories, with significant holdings in equity and fixed income assets. The announcement provides stakeholders with an early insight into the company’s financial performance ahead of its scheduled quarterly earnings release.

Voya Financial Reports Lower Than Expected Q1 Investment Income

Voya Financial announced preliminary results for the first quarter of 2025, revealing alternative investment income below long-term expectations, estimated at $24 million – $34 million pre-tax. The company cautions that these preliminary figures are subject to change and have not been audited, urging investors to exercise caution in relying on this information.