Globe Life (GL) to Report Q3 Earnings: What's in the Cards?

Globe Life GL is slated to report third-quarter 2019 results on Oct 23, after market close. The company delivered positive earnings surprise in the two reported quarters of 2019.   

Let’s see how things are shaping up for this announcement.

Better performance across distribution channels is likely to have aided Globe Life’s third-quarter premiums. Increased agent count is expected to have boosted sales.

Continued superior performance at American Income, consistent operations at Global Life and growth at Liberty National likely are likely to have aided life premiums.

Focus on growth of the supplemental health insurance line of business, with a return-of-premium feature, is likely to have aided margin.

Higher pension costs and investments in IT systems are likely to have resulted in increase in administrative expenses, which, in turn, may reflect in the bottom line.

Nonetheless, continued buyback is expected to have boosted the bottom line.

The Zacks Consensus Estimate for earnings stands at $1.70, implying 6.9% growth from the year-ago quarter figure on 3.8% higher revenues of $1.1 billion.

Globe Life Inc. Price and EPS Surprise

Globe Life Inc. price-eps-surprise | Globe Life Inc. Quote

What Our Quantitative Model States

Our proven model does not conclusively predict an earnings beat for Globe Life this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. But that’s not the case here.

Earnings ESP: Globe Life has an Earnings ESP of 0.00%. This is because both he Zacks Consensus Estimate and the Most Accurate Estimate are pegged at $1.70. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Globe Life carries a Zacks Rank #3.

Stocks to Consider

Some stocks from the finance sector with the apt combination of elements to surpass estimates this reporting cycle are as follows:

Synchrony Financial SYF is set to report third-quarter earnings on Oct 18 and has an Earnings ESP of +0.24%. The company has a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Agree Realty Corporation ADC has an Earnings ESP of +0.56% and is a Zacks #2 Ranked player. The company is slated to announce third-quarter earnings on Oct 21.

The Allstate Corporation ALL has an Earnings ESP of +4.42% and a Zacks Rank of 1. The company is set to release third-quarter earnings on Oct 29.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.