Primerica Reloads Buyback Canon With a Fresh $475M Program

Primerica, Inc. PRI has strengthened its capital-return strategy with a newly authorized $475 million share repurchase program running through Dec. 31, 2026. This follows steady momentum across its Term Life and investment businesses. As of Sept. 30, 2025, it had more than $967 billion of Term Life face amount in force and an expanding fee-based investment platform. The company continues to generate reliable capital that supports long-term growth and returns for shareholders.

As of the third quarter, PRI still had about $73.9 million remaining under its prior repurchase authorization. During the quarter alone, it bought back 480,272 shares for $129 million and paid $34 million in dividends. While these actions reinforce management’s commitment to shareholder value, the stock’s 1.62% dividend yield remains below the industry average of 3.27%.

Liquidity remains solid, with $644.9 million in cash and cash equivalents at quarter-end, but leverage is elevated. PRI’s total debt-to-capital ratio of 44.4% stands well above the industry’s 14.5% average. Operating cash flow also softened slightly, down 4.8% to $562.9 million over the first nine months of 2025. Even so, performance is being supported by a stable block of in-force Term Life policies and improving sales trends and asset values in the ISP segment.

Third-quarter 2025 adjusted operating earnings per share came in strong at $6.33, up 11% year over year, surpassing the Zacks Consensus Estimate by 14.7%. New Term Life products in New York and enhanced agent training initiatives are expected to lift productivity further, reinforcing Primerica’s capacity to pursue shareholder-friendly actions.

How Did Other Companies Fare?

Lincoln National Corporation LNC reported adjusted EPS of $2.04, which surpassed the Zacks Consensus Estimate by 10.9%. However, the bottom line fell 1% year over year. Higher net investment income, stable mortality results and a decline in expenses contributed to the upside. Nevertheless, the positives were partly offset by a decline in LNC’sinsurance premiums of Annuities.

The Hartford Insurance Group, Inc. HIG reported third-quarter 2025 adjusted operating earnings of $3.78 per share, which surpassed the consensus estimate by 20.8%. The bottom line climbed 49% year over year. HIG’s results were aided by increased earned premiums and investment income, solid segmental performance, improved loss ratios and reduced catastrophe losses.

Primerica’s Price Performance, Valuation and Estimates

Shares of Primerica have lost 1.9% year to date against the industry’s growth of 1.1%.

From a valuation standpoint, PRI trades at a forward price-to-earnings ratio of 10.95X, higher than the industry average. Primerica carries a Value Score of B.

The Zacks Consensus Estimate for PRI’s 2025 and 2026 earnings implies 11.7% and 6.9% increases year over year, respectively.

The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research