On Sep 14, Zacks Investment Research upgraded
StanCorp Financial Group Inc
) to a Zacks Rank #1 (Strong Buy).
HEALTH INS INN (HIIQ): Free Stock Analysis
CHINA LIFE INS (LFC): Free Stock Analysis
LINCOLN NATL-IN (LNC): Free Stock Analysis
STANCORP FNL CP (SFG): Free Stock Analysis
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Why the Upgrade?
StanCorp Financial has been witnessing rising earnings estimates
on the back of strong second-quarter 2013 results. Moreover, this
life insurer delivered positive earnings surprises in the last 4
quarters with an average beat of 31.5%. The long-term expected
earnings growth rate for this stock is 7%.
StanCorp Financial reported second quarter results on Jul 23.
Non-GAAP earnings per share came in at $1.31 per share,
surpassing the Zacks Consensus Estimate by 33%. Results were way
ahead of the 51 cents earned in the prior-year quarter.
The improvement came on the back of a decline in operating
expenses, more favorable claims experience in the group long-term
disability insurance business, and higher earnings in the
company's Asset Management segment.
Net investment income of StanCorp improved 1.8% year over year in
the reported quarter.
Total benefits and expenses of StanCorp declined 9.1% year over
year, attributable to lower benefits to policyholders, operating
expense, premium taxes, and interest expense.
StanCorp Financial spent $16.9 million to buy back 0.38 million
shares in the reported quarter and is left with 2.4 million
shares under its authorization.
Cash and cash equivalents for StanCorp improved 24.3% from
Book value per share increased 7.8% year over year to $44.16, as
of Jun 30, 2013.
The Zacks Consensus Estimate for fiscal 2013 increased 10.7% to
$4.43 per share as most of the estimates were revised higher over
the last 60 days. For 2014, most of the estimates were revised
higher over the same time frame, lifting the Zacks Consensus
Estimate by 5.5% to $4.60 per share.
Other Stocks to Consider
Lincoln National Corporation
China Life Insurance Co. Ltd.
Health Insurance Innovations, Inc
), each carrying a Zacks Rank #1 (Strong Buy) are worth