Corebridge Financial (NYSE:CRBG) Hits New 52-Week High - Is It Time to Invest?

Corebridge Financial, Inc. (NYSE:CRBG) experienced an impressive milestone recently as its stock price reached a new 52-week high during trading on Friday. The shares peaked at $34.84 before closing at $34.71, with a substantial trading volume of 3,794,964 shares, significantly up from its previous closing price of $33.32.

Recent Analyst Ratings and Price Targets

In light of this growth, Corebridge Financial has been the subject of several recent analyst reviews. On January 23, BMO Capital Markets began covering the stock, granting it an “outperform” rating and a target price of $43.00. Meanwhile, Barclays upgraded the stock from “equal weight” to “overweight,” setting a target price of $37.00 in a report dated January 6. Morgan Stanley followed suit by raising its rating from “equal weight” to “overweight,” and increasing its target price from $35.00 to $43.00 as of Friday. Wells Fargo also noted an uptick in their target price for the stock from $35.00 to $38.00 and assigned an “overweight” rating as of February 19. In contrast, DOWLING & PARTNERS downgraded Corebridge from a “strong buy” to a “hold” on November 26. Currently, two equity analysts rate the stock as a hold, while thirteen recommend buying, leading to a consensus rating of "Moderate Buy" and a target average price of $37.29 according to MarketBeat data.

Corebridge Financial's Stock Performance

Corebridge Financial's stock has risen by 4.2% recently. The company has shown solid financial metrics, boasting a current ratio of 0.13, a quick ratio of 0.13, and a debt-to-equity ratio of 0.16. With a market capitalization of $19.30 billion, it has a price-to-earnings ratio of 9.18 and a PEG ratio of 0.43. Furthermore, the company’s 50-day moving average stands at $32.06, while the 200-day moving average is at $30.64.

On February 12, Corebridge Financial released its quarterly earnings report, showing an earnings per share (EPS) of $1.23 for the quarter, falling short of the consensus estimate of $1.27 by $0.04. The company reported a net margin of 11.39% and a return on equity of 22.69%. Analysts are forecasting an EPS of 5.43 for the current fiscal year for Corebridge Financial.

Dividend Announcement

Recently, Corebridge Financial announced an increase in its quarterly dividend, set to be paid on March 31. Shareholders who are on record by March 17 will receive a dividend of $0.24 per share, an increase from the previous dividend of $0.23. This elevates the annualized dividend to $0.96, providing shareholders with a dividend yield of 2.77%. The ex-dividend date is also set for March 17, with a payout ratio currently at 25.40%.

Insider Activity

In insider trading news, a significant transaction took place where major shareholder International Group American sold 121,956,256 shares on December 9. These shares were sold at an average price of $31.47, resulting in a hefty total transaction amount of approximately $3.84 billion. Following this transaction, the insider retained ownership of around 127.3 million shares, valued at roughly $4 billion, marking a 48.93% decrease in their holdings. This sale was reported to the Securities and Exchange Commission, highlighting the transparency required in such transactions. It is noteworthy that insiders own about 0.08% of the company’s stock.

Institutional Investment Movements

In terms of institutional investment, several hedge funds and institutional investors have made adjustments to their positions in Corebridge Financial. For instance, Nippon Life Insurance Co. acquired a new stake valued around $3.65 billion in the fourth quarter. Additionally, Price T. Rowe Associates increased their holdings by 31.2%, obtaining an additional nearly 7.8 million shares last quarter, which brings their total ownership to approximately $986.5 million. Vanguard Group and Massachusetts Financial Services also expanded their stakes, indicating a strong interest from major institutional players in Corebridge Financial. Currently, approximately 98.25% of the stock is held by hedge funds and institutional investors.

Company Overview

Corebridge Financial, Inc. specializes in providing retirement solutions and insurance products across the United States. The firm's operations are segmented into Individual Retirement, Group Retirement, Life Insurance, and Institutional Markets, with offerings that include fixed and variable annuities, fixed index annuities, and retail mutual funds.

Conclusion

As Corebridge Financial continues to reach new highs, investors are faced with the question of whether now is the time to buy. Given the mixed analyst ratings and the company's growing dividend, it may be worth considering the broader market context and individual investment strategies before making a decision.

Corebridge, Stock, Investment