Recs

2

Reinsurance Group of America Earnings Preview

Reinsurance Group of America (NYSE: RGA  ) beat estimates by $0.17 last quarter and investors are hoping it can beat them again. The company will unveil its latest earnings on Monday, Jan. 30. Reinsurance Group of America is an insurance holding company engaged in traditional individual and group life, asset-intensive, critical illness, and financial reinsurance.

What analysts say:

  • Buy, sell, or hold?: Analysts strongly back Reinsurance Group of America, with six of eight rating it a buy and the remainder rating it a hold. Analysts like Reinsurance Group of America better than competitor PartnerRe overall. While analysts still rate the stock a moderate buy, they are a little more optimistic about it compared to three months ago.
  • Revenue Forecasts: On average, analysts predict $2.31 billion in revenue this quarter. That would represent a rise of 1.8% from the year-ago quarter.
  • Wall Street Earnings Expectations: The average analyst estimate is earnings of $1.84 per share. Estimates range from $1.76 to $1.87.

What our community says:
CAPS All-Stars are solidly backing the stock, with 97.1% giving it an "outperform" rating. The community at large is in line with the All-Stars, with 92.9% granting it a rating of "outperform." Fools have embraced Reinsurance Group of America, though the message boards have been quiet lately with only 26 posts in the past 30 days. Even with a robust four out of five stars, Reinsurance Group of America's CAPS rating falls a little short of the community's upbeat outlook.

Management:
Reinsurance Group of America's profit has risen year-over-year by an average of 31.5% over the past five quarters. Revenue has now gone up for three straight quarters.

Now let's look at how efficient management is at running the business. Traditionally, margins represent the efficiency with which companies capture portions of sales dollars. The following table shows net margins over the past four quarters.

Quarter

Q3

Q2

Q1

Q4

Net Margin

7.4%

6.0%

7.0%

8.6%

One final thing: If you want to keep tabs on Reinsurance Group of America movements, and for more analysis on the company, make sure you add it to your Watchlist.

The Steve Jobs Betrayal
You may already know that in the final year of his life, Jobs revealed a stunning betrayal — and told his biographer, "I will spend my last dying breath... and every penny of Apple's $40 billion in the bank to right this wrong." What was it that made Jobs so irate — and why could it make a few in-the-know investors some major profits over the coming months and years?

Enter your email address below to find out what made Jobs so enraged!

Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

DocumentId: 1765635, ~/Articles/ArticleHandler.aspx, 5/27/2012 2:42:12 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 1 day ago Sponsored by:
DOW 12,454.83 -74.92 -0.60%
S&P 500 1,317.82 -2.86 -0.22%
NASD 2,837.53 -1.85 -0.07%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

5/25/2012 4:05 PM
RGA $50.30 Down -0.06 -0.12%
Reinsurance Group… CAPS Rating: *****

Advertisement