Reinsurance Group (RGA) AI Stock Analysis

• Market Cap: $11.93B
• Dividend Yield: 1.9%
• Average Volume (3M): 408.39K
• Price to Earnings (P/E): 14.0
• Beta (1Y): 0.74
• Revenue Growth: 2.10%
• EPS Growth: 19.23%
• Country: US
• Employees: 4,100
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Reinsurance
• EPS (TTM): 4.66
• Shares Outstanding: 65,713,840
• 10 Day Avg. Volume: 447,528
• 30 Day Avg. Volume: 408,387
• PEG Ratio: -0.99
• Price to Book (P/B): 1.30
• Price to Sales (P/S): 0.64
• P/FCF Ratio: 1.50
• Enterprise Value/Market Cap: 1.57
• Enterprise Value/Revenue: 0.86
• Enterprise Value/Gross Profit: 2.78
• Enterprise Value/Ebitda: 15.91
• 1Y Price Target: $234.00
• Price Target Upside: 28.90% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6

• Rating: 66 Neutral
• Price Target: $197.00 ▲(8.52% Upside)

RGA's overall stock score is driven by a strong earnings call performance and reasonable valuation, offset by technical analysis indicating bearish trends. Financial performance shows stability but highlights operational efficiency challenges. The positive sentiment from the earnings call and strategic capital deployment are significant strengths.

Positive Factors

Strong Regional Performance

Strong regional performance indicates RGA's ability to effectively leverage its global presence, enhancing its competitive edge and market position across diverse geographies.

Capital Deployment

Strategic capital deployment and share repurchases reflect RGA's robust financial health and commitment to enhancing shareholder value, supporting long-term growth.

Strategic Investment

The strategic investment in FoxPath Capital Partners enhances RGA's investment portfolio and aligns with its strategy to expand global investment reach, fostering long-term value creation.

Negative Factors

Operational Efficiency Challenges

Operational efficiency challenges and declining free cash flow growth could hinder RGA's ability to sustain profitability and invest in future growth initiatives.

U.S. Claims Experience

Unfavorable claims experience in the U.S. may impact RGA's profitability and necessitate adjustments in underwriting practices to manage risk effectively.

Higher General Expenses

Higher general expenses indicate potential cost management issues, which could pressure margins and affect RGA's long-term financial performance.

Reinsurance Group Business Overview & Revenue Model

Company Description

Reinsurance Group of America, Incorporated engages in reinsurance business. It offers individual and group life and health insurance products, such as term life, credit life, universal life, whole life, group life and health, joint and last survivor insurance, critical illness, disability, and longevity products; asset-intensive and financial reinsurance products; and other capital motivated solutions. The company also provides reinsurance for mortality, morbidity, lapse, and investment-related risk associated with products; and reinsurance for investment-related risks. In addition, it develops and markets technology solutions; and provides consulting and outsourcing solutions for the insurance and reinsurance industries. The company serves life insurance companies in the United States, Latin America, Canada, Europe, the Middle East, Africa, Australia, and the Asia Pacific. Reinsurance Group of America, Incorporated was founded in 1973 and is headquartered in Chesterfield, Missouri.

How the Company Makes Money

RGA generates revenue primarily through the premiums it receives from ceding insurers for the reinsurance coverage it provides. The company underwrites reinsurance contracts, which can encompass life, health, and financial products, allowing ceding insurers to transfer a portion of their risk in exchange for premium payments. Key revenue streams include traditional life reinsurance, health reinsurance, and financial reinsurance, with the latter involving products like longevity risk and capital management solutions. RGA also earns investment income from the premiums it holds before claims are paid out, as well as from its investment portfolio. Strategic partnerships with various insurance firms globally enhance RGA's market position and contribute to its earnings by broadening its customer base and diversifying its risk exposure.

Reinsurance Group Financial Statement Overview

Summary

Reinsurance Group demonstrates a stable financial position with consistent revenue growth and strong gross profit margins. However, challenges in operational efficiency and declining free cash flow growth in the TTM period could pose risks. The company maintains a healthy balance sheet with a manageable debt level, supporting its long-term financial stability.

Income Statement

The income statement shows a moderate performance with a consistent revenue growth rate over the years, although the TTM period saw a slight decline. Gross profit margins are strong, but net profit margins are relatively low, indicating potential cost management issues. The EBIT margin has decreased significantly in the TTM period, suggesting operational challenges.

Balance Sheet

The balance sheet reflects a stable financial position with a manageable debt-to-equity ratio, which has been improving over time. Return on equity is moderate, indicating efficient use of equity to generate profits. The equity ratio is healthy, suggesting a solid capital structure.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth in the TTM period, which could be a concern for liquidity. However, the operating cash flow to net income ratio is strong, indicating good cash generation relative to net income. The free cash flow to net income ratio is consistently high, reflecting efficient cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	21.82B	22.11B	18.57B	16.26B	16.66B	14.60B
Gross Profit	6.73B	22.11B	17.48B	15.25B	15.72B	13.78B
EBITDA	1.18B	1.33B	1.42B	909.00M	1.57B	736.00M
Net Income	867.00M	717.00M	902.00M	517.00M	617.00M	415.00M
Balance Sheet
Total Assets	152.00B	118.67B	97.62B	84.90B	92.17B	84.66B
Cash, Cash Equivalents and Short-Term Investments	104.20B	5.50B	63.66B	55.98B	63.78B	60.37B
Total Debt	5.73B	5.04B	4.43B	4.36B	3.85B	3.96B
Total Liabilities	138.94B	107.77B	88.45B	77.73B	79.16B	70.30B
Stockholders Equity	12.98B	10.82B	9.08B	7.08B	13.01B	14.35B
Cash Flow
Free Cash Flow	4.84B	9.37B	4.04B	1.34B	4.16B	3.29B
Operating Cash Flow	4.84B	9.37B	4.04B	1.34B	4.18B	3.32B
Investing Cash Flow	-12.99B	-12.54B	-4.07B	-5.69B	-4.63B	-2.68B
Financing Cash Flow	7.61B	3.66B	78.00M	4.44B	20.00M	1.25B

Reinsurance Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 181.54
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RGA, the sentiment is Negative. The current price of 181.54 is below the 20-day moving average (MA) of 190.27, below the 50-day MA of 191.23, and below the 200-day MA of 194.80, indicating a bearish trend. The MACD of -1.89 indicates Positive momentum. The RSI at 34.18 is Neutral, neither overbought nor oversold. The STOCH value of 36.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RGA.

Reinsurance Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HG	―	$2.35B	6.27	15.86%	―	28.86%	-11.22%
RNR	―	$11.80B	7.05	15.12%	0.63%	-4.26%	-47.61%
SPNT	―	$2.21B	11.94	8.09%	―	7.87%	-4.68%
Sector *	―	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
RGA	―	$11.93B	14.03	7.19%	1.90%	2.10%	19.23%
EG	―	$13.16B	23.26	3.59%	2.54%	8.62%	-78.92%
GLRE	―	$416.88M	11.13	5.82%	―	2.18%	-41.11%

Reinsurance Group Corporate Events

Reinsurance Group of America Faces Integration Challenges Post-Transaction

Reinsurance Group Of America faces significant challenges in integrating the liabilities and assets acquired through its recent Reinsurance Transaction. The anticipated benefits of this transaction may not be realized as expected due to potential inefficiencies and disruptions during the integration process. Management’s focus on this integration could divert attention from other critical business operations, potentially affecting ongoing processes and relationships. These risks and uncertainties could hinder the realization of the transaction’s benefits, impacting the company’s future business prospects and financial performance.

Reinsurance Group of America Faces Integration Challenges Post-Transaction: Risks to Future Prospects and Financial Health

Reinsurance Group Of America faces significant challenges in integrating the liabilities and assets acquired through its recent Reinsurance Transaction, which may impede the realization of anticipated benefits. The integration process demands substantial management resources, potentially diverting attention from other critical operations and disrupting existing business processes and relationships. This complexity introduces risks and uncertainties, casting doubt on whether the expected advantages will materialize within the projected timeframe. Failure to achieve these benefits could negatively impact the company’s future business prospects, financial condition, and operational results.

Reinsurance Group Reports Strong Q3 2025 Results

On October 30, 2025, Reinsurance Group of America reported its third-quarter results, highlighting a net income of $253 million, or $3.81 per diluted share, up from $156 million the previous year. The company achieved a record adjusted operating income of $6.37 per diluted share, excluding notable items, and deployed $1.7 billion into in-force block transactions, including a significant $1.5 billion transaction with Equitable Holdings. The company’s strong performance was driven by its diverse global platform and exclusive client arrangements, positioning it well for future growth and capital returns to shareholders.

The most recent analyst rating on (RGA) stock is a Hold with a $208.00 price target. To see the full list of analyst forecasts on Reinsurance Group stock, see the RGA Stock Forecast page.

RGA Earnings Call: Strategic Wins Amid Challenges

The recent earnings call for Reinsurance Group of America (RGA) revealed a generally positive sentiment, highlighting strong strategic achievements and improvements in capital position. Despite facing challenges such as claims volatility and issues in the healthcare excess business, the company demonstrated resilience and a commitment to growth.