(RGA) Reinsurance of America - Overview
Sector: Financial Services | Industry: Insurance - Reinsurance | Exchange: NYSE (USA) | Market Cap: 14.087m USD | Total Return: 7.5% in 12m
Avg Turnover: 69.9M
EPS Trend: 56.1%
Qual. Beats: 0
Rev. Trend: 92.1%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Reinsurance Group of America (RGA) is a global provider of life and health reinsurance, operating across North America, Europe, the Middle East, Africa, and Asia-Pacific. The company manages a diverse portfolio of mortality, morbidity, and investment-related risks, offering solutions such as longevity reinsurance, pension risk transfers, and asset-intensive products.
As a specialist in the reinsurance sector, RGA acts as an insurer for insurance companies, helping primary carriers manage capital requirements and volatility by assuming portions of their policy liabilities. Unlike property and casualty reinsurers, life reinsurers typically focus on long-duration liabilities, which requires sophisticated actuarial modeling and long-term investment management.
To evaluate how these long-term risk management strategies impact shareholder equity, you may want to review the detailed performance metrics available on ValueRay.
- Favorable mortality trends drive higher margins in traditional life reinsurance segments
- Rising interest rates increase yields on substantial asset-intensive investment portfolios
- Global demand for pension risk transfers accelerates capital-intensive solution revenue
- Mortality and morbidity volatility significantly impacts quarterly earnings per share consistency
- Expansion into Asian markets provides critical long-term growth in premium volume
| Net Income: 1.23b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.03 > 0.02 and ΔFCF/TA -0.58 > 1.0 |
| NWC/Revenue: 24.68% < 20% (prev 18.52%; Δ 6.16% < -1%) |
| CFO/TA 0.03 > 3% & CFO 5.54b > Net Income 1.23b |
| Net Debt (1.11b) to EBITDA (1.66b): 0.67 < 3 |
| Current Ratio: 2.91 > 1.5 & < 3 |
| Outstanding Shares: last quarter (66.7m) vs 12m ago -0.19% < -2% |
| Gross Margin: 20.33% > 18% (prev 0.12%; Δ 2.02k% > 0.5%) |
| Asset Turnover: 16.83% > 50% (prev 16.35%; Δ 0.47% > 0%) |
| Interest Coverage Ratio: 4.18 > 6 (EBITDA TTM 1.66b / Interest Expense TTM 386.0m) |
| A: 0.04 (Total Current Assets 9.25b - Total Current Liabilities 3.18b) / Total Assets 164b |
| B: 0.06 (Retained Earnings 10.4b / Total Assets 164b) |
| C: 0.01 (EBIT TTM 1.61b / Avg Total Assets 146b) |
| D: 0.08 (Book Value of Equity 12.7b / Total Liabilities 151b) |
| Altman-Z'' = 0.61 = B |
| DSRI: 0.97 (Receivables 4.26b/3.75b, Revenue 24.6b/21.0b) |
| GMI: 0.61 (GM 20.33% / 12.48%) |
| AQI: 1.01 (AQ_t 0.94 / AQ_t-1 0.93) |
| SGI: 1.17 (Revenue 24.6b / 21.0b) |
| TATA: -0.03 (NI 1.23b - CFO 5.54b) / TA 164b) |
| Beneish M = -3.30 (Cap -4..+1) = AA |
As of May 23, 2026, the stock is trading at USD 215.17 with a total of 430,477 shares traded.
Over the past week, the price has changed by +2.29%,
over one month by +3.78%,
over three months by -0.74% and
over the past year by +7.46%.
Reinsurance of America has received a consensus analysts rating of 3.90. Therefore, it is recommended to buy RGA.
- StrongBuy: 3
- Buy: 3
- Hold: 4
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 250.6 | 16.4% |
P/E Forward = 8.2781
P/S = 0.565
P/B = 1.0356
P/EG = 1.1437
Revenue TTM = 24.6b USD
EBIT TTM = 1.61b USD
EBITDA TTM = 1.66b USD
Long Term Debt = 6.11b USD (from longTermDebt, last quarter)
Short Term Debt = unknown (none)
Debt = 6.11b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 1.11b USD (calculated: Debt 6.11b - CCE 4.99b)
Enterprise Value = 15.2b USD (14.1b + Debt 6.11b - CCE 4.99b)
Interest Coverage Ratio = 4.18 (Ebit TTM 1.61b / Interest Expense TTM 386.0m)
EV/FCF = 2.75x (Enterprise Value 15.2b / FCF TTM 5.54b)
FCF Yield = 36.42% (FCF TTM 5.54b / Enterprise Value 15.2b)
FCF Margin = 22.51% (FCF TTM 5.54b / Revenue TTM 24.6b)
Net Margin = 4.98% (Net Income TTM 1.23b / Revenue TTM 24.6b)
Gross Margin = 20.33% ((Revenue TTM 24.6b - Cost of Revenue TTM 19.6b) / Revenue TTM)
Gross Margin QoQ = 28.61% (prev 26.26%)
Tobins Q-Ratio = 0.09 (Enterprise Value 15.2b / Total Assets 164b)
Interest Expense / Debt = 6.32% (Interest Expense 386.0m / Debt 6.11b)
Taxrate = 24.94% (110.0m / 441.0m)
NOPAT = 1.21b (EBIT 1.61b * (1 - 24.94%))
Current Ratio = 2.91 (Total Current Assets 9.25b / Total Current Liabilities 3.18b)
Debt / Equity = 0.46 (Debt 6.11b / totalStockholderEquity, last quarter 13.3b)
Debt / EBITDA = 0.67 (Net Debt 1.11b / EBITDA 1.66b)
Debt / FCF = 0.20 (Net Debt 1.11b / FCF TTM 5.54b)
Total Stockholder Equity = 12.9b (last 4 quarters mean from totalStockholderEquity)
RoA = 0.84% (Net Income 1.23b / Total Assets 164b)
RoE = 9.47% (Net Income TTM 1.23b / Total Stockholder Equity 12.9b)
RoCE = 8.46% (EBIT 1.61b / Capital Employed (Equity 12.9b + L.T.Debt 6.11b))
RoIC = 0.75% (NOPAT 1.21b / Invested Capital 161b)
WACC = 7.42% (E(14.1b)/V(20.2b) * Re(8.58%) + D(6.11b)/V(20.2b) * Rd(6.32%) * (1-Tc(0.25)))
Discount Rate = 8.58% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 7.16 | Cagr: 0.01%
[DCF] Terminal Value 76.59% ; FCFF base≈5.35b ; Y1≈5.78b ; Y5≈7.11b
[DCF] Fair Price = 1.64k (EV 109b - Net Debt 1.11b = Equity 108b / Shares 65.5m; r=8.35% [WACC [floored]]; 5y FCF grow 9.32% → 2.50% )
EPS Correlation: 56.14 | EPS CAGR: 5.97% | SUE: 0.83 | # QB: 0
Revenue Correlation: 92.05 | Revenue CAGR: 12.36% | SUE: 0.04 | # QB: 0
EPS current Quarter (2026-06-30): EPS=6.51 | Chg30d=+0.26% | Revisions=+14% | Analysts=7
EPS next Quarter (2026-09-30): EPS=6.93 | Chg30d=+1.56% | Revisions=+14% | Analysts=7
EPS current Year (2026-12-31): EPS=26.85 | Chg30d=+2.95% | Revisions=+0% | GrowthEPS=+18.2% | GrowthRev=+12.2%
EPS next Year (2027-12-31): EPS=29.04 | Chg30d=+0.57% | Revisions=+0% | GrowthEPS=+8.2% | GrowthRev=+6.8%
[Analyst] Revisions Ratio: +14%