Overview
Financial services firm's Q4 adjusted EPS was $1.73, missing analyst expectations
Company reported Q4 net income of $215 million
Assets under management rose 10% yr/yr to $1.1 trillion
Outlook
Equitable Holdings expects 2026 cash generation to increase to approximately $1.8 bln
Company targets 12-15% EPS CAGR for 2023-2027
Equitable Holdings aims to reach $2 bln cash generation by 2027
Result Drivers
REINSURANCE TRANSACTION - Executed reinsurance deal with RGA, freeing $2 bln capital and reducing mortality exposure by 75%
WEALTH MANAGEMENT GROWTH - Wealth Management advisory net inflows of $8.4 bln for the year, with total assets under administration reaching $122 bln
RETIREMENT SEGMENT GROWTH - Retirement segment saw net inflows of $5.9 bln and first year premiums up 11%
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 Adjusted EPS | Miss | $1.73 | $1.76 (13 Analysts) |
Q4 EPS | $0.70 | ||
Q4 Net Income | $215 mln | ||
Q4 Adjusted Operating Earnings | $513 mln | ||
Q4 Assets Under Management | $1.12 trln |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the diversified investment services peer group is "hold."
Wall Street's median 12-month price target for Equitable Holdings Inc is $61.50, about 37.6% above its February 3 closing price of $44.68
The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 6 three months ago
Press Release: ID:nBw1cfvba
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(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.)