Reinsurance Group of America Third Quarter Earnings Sneak Peek

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Reinsurance Group of America (NYSE:RGA) will unveil its latest earnings on Monday, October 24, 2011. Reinsurance Group of America is an insurance holding company engaged in traditional individual and group life, asset-intensive, critical illness and financial reinsurance.

Reinsurance Group of America Earnings Preview Cheat Sheet

Wall St. Earnings Expectations: The average estimate of analysts is for profit of $1.89 per share, a rise of 9.9% from the company’s actual earnings for the same quarter a year ago. During the past three months, the average estimate has moved down from $1.91. Between one and three months ago, the average estimate moved down. It has been unchanged at $1.89 during the last month. Analysts are projecting profit to rise by 4.6% versus last year to $7.06.

Past Earnings Performance: The company missed estimates last quarter after beating forecasts in the prior two. In the second quarter, the company reported net income of $1.72 per share versus a mean estimate of profit of $1.82 per share. In the first quarter, the company beat estimates by 4 cents.

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Wall St. Revenue Expectations: On average, analysts predict $2.22 billion in revenue this quarter, a rise of 13.3% from the year ago quarter. Analysts are forecasting total revenue of $8.87 billion for the year, a rise of 7.4% from last year’s revenue of $8.26 billion.

Analyst Ratings: Analysts are bullish on this stock with six analysts rating it as a buy, none rating it as a sell and one rating it as a hold.

A Look Back: In the second quarter, profit rose 4.6% to $132.9 million ($1.78 a share) from $127 million ($1.70 a share) the year earlier, but fell short analyst expectations. Revenue rose 14.1% to $2.2 billion from $1.93 billion.

Key Stats:

The company has seen net income rise in three straight quarters. Net income rose 31.3% in the first quarter and 75% in the fourth quarter of the last fiscal year.

Revenue has risen the past four quarters. Revenue rose 8.7% in the first quarter from the year earlier, climbed 17% in the fourth quarter of the last fiscal year from the year-ago quarter and 9.9% in the third quarter of the last fiscal year.

Competitors to Watch: American Independence Corp. (NASDAQ:AMIC), Transatlantic Hldgs., Inc. (NYSE:TRH), PartnerRe Ltd. (NYSE:PRE), Everest Re Group, Ltd. (NYSE:RE).

Stock Price Performance: During July 25, 2011 to October 18, 2011, the stock price had fallen $10.15 (-16.5%) from $61.55 to $51.40. It saw one of its worst periods between July 21, 2011 and August 8, 2011 when shares fell for 13-straight days, falling 26.5% (-$16.54) over that span. The stock price saw one of its best stretches over the last year between December 31, 2010 and January 12, 2011 when shares rose for nine-straight days, rising 8.1% (+$4.31) over that span. Shares are down $1.93 (-3.6%) year to date.

(Source: Xignite Financials)

Investing Insights: Amazon.com has a Stock Chart Technical Analysts Dream About.

 

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