Primerica Inc. (PRI) provides term life insurance and distributes third-party investment and savings products to middle-income households in the US and Canada. With 9% expected EPS growth and a 1.7% dividend yield, we estimate annual total returns of 14% through 2031
Primerica’s products are sold through independent contractors, with a total of 148,612 life-licensed representatives on June 30. At the end of 2025, Primerica insured more than 5.5 million lives and served approximately 3.1 million client investment accounts.
On Aug. 5, Primerica announced second-quarter results. Total revenue increased 9% to $865 million, and adjusted operating revenue rose 8% to $863 million. Diluted earnings per share (EPS) grew 19% to $6.45, while adjusted operating EPS rose 17% to $6.41.
Primerica repurchased $135 million of stock during the quarter. Its expected 19% payout ratio leaves room to absorb weaker earnings if need be. Plus, Primerica has raised its dividend for 16 consecutive years and trades at only 11.1 times expected 2026 earnings.
Recommended Action: Buy PRI.
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