Globe Life Inc. Reports Mixed Q4 Results Amid Strong Stock Growth

Globe Life Inc. (GL), valued at a market capitalization of $11.1 billion, operates as an insurance holding company. The Texas-based firm offers a range of life and supplemental health insurance products, as well as annuities, primarily targeting lower middle- and middle-income families. Globe Life runs its business through three segments: Life Insurance, Supplemental Health Insurance, and Investments.

As a large-cap stock, defined as companies valued at $10 billion or more, Globe Life is well positioned in its sector. The company markets its offerings through its direct-to-consumer segment, exclusive agencies, and independent agents. Their product lineup includes whole and term life insurance, along with various limited-benefit supplemental health insurance options such as accident, cancer, and critical illness coverage.

The company’s stock has experienced a slight decline from its 52-week high of $133.76, achieved on April 2. However, GL shares have risen 18.6% over the last three months, surpassing the modest downturn of the Dow Jones Industrial Average ($DOWI) during that timeframe.

In the longer perspective, Globe Life’s stock has surged 26.5% over the previous six months, again outperforming the Dow’s marginal gain. Over the past year, GL shares have increased by 19.2%, while the Dow Jones saw a rise of 7.8% in the same period.

Since early January, Globe Life has maintained its position above both its 50-day and 200-day moving averages. Despite this overall growth, shares dipped 2.5% following the release of mixed Q4 2024 results on February 5. The company’s earnings per share (EPS) came in at $3.01 but missed revenue expectations, reporting $1.5 billion against analyst forecasts. Nevertheless, Globe Life’s net investment income experienced a 4% annual increase, totaling $282.4 million. For fiscal year 2025, the company anticipates earnings between $13.45 and $14.05 per share.

When compared to competitors, Lincoln National Corporation (LNC) has underperformed relative to Globe Life. LNC shares have increased by only 14.6% over the past six months and 10.4% over the last year.

While Globe Life’s stock has outperformed the Dow, analysts maintain a cautiously optimistic outlook. With 12 analysts covering the stock, the consensus rating rests at “Moderate Buy.” Currently, Globe Life trades below the mean price target of $141.83.

On the date of publication, Sohini Mondal did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information, please view the Barchart Disclosure Policy here.

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