Genworth Financial Inc (GNW) Upgraded to Buy at Zacks Investment Research
Genworth Financial Inc (NYSE:GNW) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a research note issued on Thursday. The brokerage presently has a $4.25 price objective on the financial services provider’s stock. Zacks Investment Research’s price objective would suggest a potential upside of 11.55% from the company’s current price.
According to Zacks, “Genworth’s first-quarter bottom line beat expectations and improved year over year. Genworth has agreed to be acquired by China Oceanwide as the transaction will enhance value for its customers through better services. Nonetheless, it will remain committed toward its key financial priorities of strengthening the balance sheet and stabilizing and improving ratings over time, particularly in its U.S. MI business. Genworth is intensifying focus on streamlining and rationalizing business to mainly improve performance, enhance financial and strategic flexibility. However, new products and pricing changes in the U.S. Life Insurance Division implemented over the past couple of years led to lower sales for Genworth. Shares of Genworth underperformed the Zacks categorized Life Insurance industry, year to date.”
Other analysts have also recently issued reports about the stock. Wells Fargo & Co restated a “hold” rating on shares of Genworth Financial in a report on Tuesday. BTIG Research restated a “neutral” rating on shares of Genworth Financial in a report on Wednesday, April 19th. Six analysts have rated the stock with a hold rating and two have assigned a buy rating to the stock. Genworth Financial presently has a consensus rating of “Hold” and a consensus target price of $4.17.
Genworth Financial (NYSE:GNW) traded down 2.36% during midday trading on Thursday, reaching $3.72. 1,514,930 shares of the company traded hands. The stock’s market capitalization is $1.85 billion. Genworth Financial has a one year low of $2.26 and a one year high of $5.27. The company has a 50 day moving average price of $4.03 and a 200-day moving average price of $4.04.
Genworth Financial (NYSE:GNW) last released its quarterly earnings results on Tuesday, May 2nd. The financial services provider reported $0.29 earnings per share for the quarter, beating analysts’ consensus estimates of $0.22 by $0.07. Genworth Financial had a negative net margin of 3.31% and a negative return on equity of 1.97%. The business had revenue of $2.14 billion for the quarter, compared to analysts’ expectations of $2.15 billion. Analysts forecast that Genworth Financial will post $0.88 EPS for the current fiscal year.
A number of hedge funds have recently added to or reduced their stakes in GNW. Alpine Associates Management Inc. bought a new stake in Genworth Financial during the fourth quarter worth approximately $52,275,000. Oxford Asset Management bought a new stake in Genworth Financial during the fourth quarter worth approximately $30,480,000. Norges Bank bought a new stake in Genworth Financial during the fourth quarter worth approximately $18,730,000. CNH Partners LLC bought a new stake in Genworth Financial during the fourth quarter worth approximately $17,869,000. Finally, Dimensional Fund Advisors LP boosted its stake in Genworth Financial by 35.4% in the fourth quarter. Dimensional Fund Advisors LP now owns 12,717,442 shares of the financial services provider’s stock worth $48,456,000 after buying an additional 3,328,178 shares during the period. Institutional investors own 75.85% of the company’s stock.
Genworth Financial Company Profile
Genworth Financial, Inc (Genworth) is a financial security company. The Company provides insurance, wealth management, investment and financial solutions. As of December 31, 2011, the Company had more than 15 million customers, with a presence in more than 25 countries. The Company operates in Insurance, Mortgage Insurance and Corporate and Runoff.
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