Voya Financial (VOYA) AI Stock Analysis

• Market Cap: $7.16B
• Dividend Yield: 2.42%
• Average Volume (3M): 834.79K
• Price to Earnings (P/E): 12.9
• Beta (1Y): 0.99
• Revenue Growth: 2.91%
• EPS Growth: -7.66%
• Country: US
• Employees: 10,000
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Conglomerates
• EPS (TTM): 2.45
• Shares Outstanding: 95,162,926
• 10 Day Avg. Volume: 994,493
• 30 Day Avg. Volume: 834,786
• PEG Ratio: 1.03
• Price to Book (P/B): 1.70
• Price to Sales (P/S): 0.85
• P/FCF Ratio: 7.49
• Enterprise Value/Market Cap: 1.27
• Enterprise Value/Revenue: 1.13
• Enterprise Value/Gross Profit: 2.22
• Enterprise Value/Ebitda: 8.66
• 1Y Price Target: $85.71
• Price Target Upside: 13.84% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 8
• EPS Forecast (FY): 9.02
• Revenue Forecast (FY): $7.71B

• Rating: 77 Outperform
• Price Target: $85.00 ▲(12.90% Upside)

Voya Financial's strong earnings growth and positive technical indicators are the most significant factors driving the score. The company's attractive valuation and robust earnings call performance further support the positive outlook. However, challenges in cash flow management and potential risks in asset management slightly temper the overall score.

Positive Factors

Earnings Growth

The significant increase in adjusted operating EPS indicates strong profitability across segments, showcasing effective business strategies and potential for sustained earnings growth.

Retirement Segment Performance

The robust performance in the retirement segment, driven by organic net flows, highlights Voya's strong market position and ability to capture growth in retirement solutions.

Wealth Management Expansion

The expansion in wealth management, with significant sales growth, underscores Voya's strategic focus on diversifying revenue streams and enhancing its competitive edge in financial services.

Negative Factors

Free Cash Flow Decline

A significant decline in free cash flow can constrain Voya's ability to invest in growth opportunities and manage debt, potentially impacting long-term financial health.

Stop Loss Segment Challenges

Challenges in the Stop Loss segment, due to increased claims, could pressure margins and necessitate strategic adjustments to maintain profitability in this area.

Higher Corporate Expenses

Rising corporate expenses, driven by increased compensation, may reduce net margins and require careful cost management to sustain profitability.

Voya Financial Business Overview & Revenue Model

Company Description

Voya Financial, Inc. operates as a retirement, investment, and employee benefits company in the United States. The company's Wealth Solutions segment offers tax-deferred employer-sponsored retirement savings plans and administrative services; and individual retirement accounts, and other retail financial products and services, as well as financial planning and advisory services. This segment serves corporate, education, healthcare, and other non-profit and government entities, as well as institutional and individual customers. Its Investment Management segment provides fixed income, equity, multi-asset, and alternative products and solutions to individual investors and institutional clients through its direct sales force, consultant channel, banks, broker-dealers, and independent financial advisers. The company's Health Solutions segment offers stop loss, group life, voluntary employee-paid, and disability products through consultants, brokers, third-party administrators, enrollment firms, and technology partners to mid-sized and large businesses. The company was formerly known as ING U.S., Inc. and changed its name to Voya Financial, Inc. in April 2014. Voya Financial, Inc. was incorporated in 1999 and is based in New York, New York.

How the Company Makes Money

Voya Financial generates revenue through several key streams. The primary source of income comes from its Retirement segment, which includes fees from managed retirement accounts and plans. The Investment Management segment contributes through asset management fees charged on mutual funds and institutional investments. Employee Benefits revenue is derived from premiums collected for various insurance products, such as life and disability insurance. Additionally, Voya earns income from Individual Life products and investment income from its general account. Strategic partnerships with employers and financial advisors further enhance their distribution channels, contributing to overall earnings. Market performance and interest rates can significantly impact revenues, particularly in investment management and insurance products.

Voya Financial Financial Statement Overview

Summary

Voya Financial shows solid revenue growth and profitability with strong gross and net profit margins. The balance sheet reflects improved leverage and strong return on equity, though asset management poses a potential risk. Cash flow performance is mixed, with a significant drop in free cash flow growth, but overall cash generation remains robust.

Income Statement

Voya Financial shows a consistent revenue growth trend with a TTM growth rate of 2.17%. The gross profit margin is healthy at 50.68%, and the net profit margin is stable at 7.55%. However, the EBIT and EBITDA margins have slightly decreased compared to the previous year, indicating some pressure on operational efficiency.

Balance Sheet

The company's debt-to-equity ratio has improved to 0.65 in the TTM, reflecting better leverage management. Return on equity is strong at 13.60%, indicating effective use of equity to generate profits. The equity ratio is stable, suggesting a balanced capital structure, but the high total assets indicate potential risks if asset management is not optimized.

Cash Flow

The free cash flow has decreased significantly by 40.49% in the TTM, which is a concern. However, the operating cash flow to net income ratio remains strong at 1.38, indicating good cash generation relative to net income. The free cash flow to net income ratio is stable at 1.0, showing that the company is maintaining its cash flow relative to its net income.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	8.09B	8.05B	7.35B	5.93B	4.17B	7.65B
Gross Profit	4.10B	3.88B	3.69B	2.97B	5.67B	3.01B
EBITDA	1.05B	1.10B	976.00M	611.00M	3.31B	538.00M
Net Income	611.00M	667.00M	625.00M	510.00M	2.37B	-206.00M
Balance Sheet
Total Assets	177.45B	163.89B	157.09B	146.61B	171.26B	180.52B
Cash, Cash Equivalents and Short-Term Investments	28.21B	25.70B	26.71B	28.41B	35.37B	45.40B
Total Debt	3.21B	3.60B	3.43B	3.47B	3.48B	3.83B
Total Liabilities	170.37B	157.88B	151.03B	141.61B	161.44B	169.34B
Stockholders Equity	4.96B	4.00B	4.19B	3.35B	8.25B	10.11B
Cash Flow
Free Cash Flow	810.00M	911.00M	1.14B	483.00M	22.00M	1.36B
Operating Cash Flow	810.00M	911.00M	1.14B	483.00M	22.00M	1.36B
Investing Cash Flow	-1.02B	-141.00M	-818.00M	724.00M	-327.00M	-2.46B
Financing Cash Flow	-59.00M	-759.00M	-320.00M	-1.20B	-265.00M	1.70B

Voya Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 75.29
• 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 75.29 is above the 20-day moving average (MA) of 71.96, above the 50-day MA of 71.93, and above the 200-day MA of 69.17, indicating a bullish trend. The MACD of 1.06 indicates Negative momentum. The RSI at 62.92 is Neutral, neither overbought nor oversold. The STOCH value of 80.56 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
OMF	79 Outperform	$8.04B	11.59	21.41%	6.11%	9.51%	29.38%
VOYA	77 Outperform	$7.16B	12.92	12.63%	2.42%	2.91%	-7.66%
MAIN	75 Outperform	$5.39B	9.98	19.07%	7.03%	11.60%	9.38%
SNV	74 Outperform	$7.31B	9.83	14.32%	2.96%	8.90%	142.83%
PNFP	73 Outperform	$7.81B	12.78	9.44%	0.95%	7.76%	49.85%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
UPST	55 Neutral	$4.63B	208.91	4.81%	―	73.29%	―

Voya Financial Corporate Events

Voya Financial Announces Q4 2025 Share Repurchase Plan

Voya Financial announced its capital deployment plans during the 2025 Goldman Sachs Financial Services Conference, revealing a $100 million share repurchase for Q4 2025 and a new $150 million repurchase plan for Q1 2026. Additionally, the company expects alternative investment income for Q4 2025 to be between $42 million and $57 million, indicating a strong annualized return of 9%, which could positively impact its financial performance and investor confidence.

Voya Financial Reports Strong Q3 2025 Earnings Growth

On November 4, 2025, Voya Financial announced its third-quarter 2025 results, reporting a net income of $176 million and a significant year-over-year increase in adjusted operating earnings per share by nearly 30%. The company’s strategic investments and strong balance sheet have positioned it for continued growth and capital returns to shareholders. Voya’s retirement, investment management, and employee benefits segments all showed earnings growth, with the retirement segment benefiting from acquired business and positive capital markets. The company also increased its quarterly dividend and extended its share repurchase authorization, reflecting confidence in its long-term growth strategy.

Voya Financial Reveals Q3 2025 AUM Figures

Voya Financial disclosed its Investment Management segment’s assets under management (AUM) for the quarter ended September 30, 2025, ahead of its quarterly earnings release. The preliminary AUM was approximately $366 billion, with a breakdown of asset types and client categories, indicating the company’s robust market presence and diversified asset portfolio.

Voya Financial Projects Q3 2025 Investment Income

Voya Financial has disclosed its alternative investment income expectations for the third quarter of 2025, estimating a pre-tax income of $55 million to $65 million. These preliminary results, which have not been audited, suggest a quarterly return of 2.6% and an annualized return of 10.6%, but the company cautions that actual results may differ after completing financial closing procedures.