MetLife beats Q4 adjusted EPS expectations

Reuters
Feb 05
MetLife beats Q4 adjusted EPS expectations

Overview

  • Insurance provider's Q4 revenue missed analyst expectations

  • Adjusted EPS for Q4 beat analyst expectations

  • Company reported strong volume growth and improved expense margins

Outlook

  • MetLife did not provide specific future guidance in the press release

Result Drivers

  • PREMIUM GROWTH - Record sales in pension risk transfers and U.K. longevity reinsurance drove a 29% increase in premiums, fees, and other revenues

  • INVESTMENT INCOME - Higher variable investment income, particularly from private equity, contributed to a 10% rise in net investment income

  • EXPENSE MANAGEMENT - Improved expense margins supported a 13% increase in adjusted earnings

Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q4 Revenue

Miss

$23.81 bln

$27.73 bln (7 Analysts)

Q4 Adjusted EPS

Beat

$2.49

$2.34 (15 Analysts)

Q4 EPS

$1.17

Q4 Adjusted Net Income

$1.65 bln

Q4 Net Income

$778 mln

Analyst Coverage

  • The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 12 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

  • The average consensus recommendation for the life & health insurance peer group is "buy"

  • Wall Street's median 12-month price target for MetLife Inc is $93.50, about 21.6% above its February 3 closing price of $76.90

  • The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nBw9ZB55Fa

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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