Global life reinsurance provider Reinsurance Group of America (NYSE:RGA) will be reporting results this Thursday after the bell. Here’s what investors should know.
Reinsurance Group of America beat analysts’ revenue expectations last quarter, reporting revenues of $6.79 billion, up 23.6% year on year. It was an incredible quarter for the company, with an impressive beat of analysts’ book value per share estimates and a beat of analysts’ EPS estimates.
Is Reinsurance Group of America a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Reinsurance Group of America’s revenue to grow 20.6% year on year, a reversal from the 17.5% decrease it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Reinsurance Group of America rarely misses Wall Street’s revenue estimates.
Looking at Reinsurance Group of America’s peers in the reinsurance segment, some have already reported their Q1 results, giving us a hint as to what we can expect. Hamilton Insurance Group’s revenues decreased 1.3% year on year, beating analysts’ expectations by 14.1%, and RenaissanceRe reported a revenue decline of 36.8%, falling short of estimates by 21.4%. Hamilton Insurance Group traded down 3.6% following the results while RenaissanceRe was also down 2.2%.
Read our full analysis of Hamilton Insurance Group’s results here and RenaissanceRe’s results here.
There has been positive sentiment among investors in the reinsurance segment, with share prices up 2.8% on average over the last month. Reinsurance Group of America is up 2.4% during the same time and is heading into earnings with an average analyst price target of $248.44 (compared to the current share price of $213.57).
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