MetLife (MET): Raising PT On Retail Separation - FBR
- Wall Street flat as countdown to Trump's swearing-in begins
- Netflix, Inc. (NFLX) Tops Q4 EPS by 1c; Subs Beat Views
- Apple (AAPL) PT Raised to $140 at BofA/Merrill Lynch; iPhone 8 Will be 'Super-Long' Cycle
- Morgan Stanley Upgrades Tesla Motors (TSLA) to Overweight
- CP's (CP) Outgoing CEO Hunter Harrison, Activist Paul Hilal Said Set to Target CSX Corp. (CSX)
Find out which companies are about to raise their dividend well before the news hits the Street with StreetInsider.com's Dividend Insider Elite. Sign-up for a FREE trial here.
FBR Capital analyst, Randy Binner, reiterated his Outperform rating on shares of MetLife (NYSE: MET) after hosting investor meetings with management. We continue to see the retail business separation, likely in 1Q17, as a favorable catalyst that moves our price target to $54 from $51.
The analyst stated "The retail separation story will unfold this fall as we see the S-1 in late September, restated financials ahead of 3Q16 earnings, and the November investor meeting. This fall, expect a legal/regulatory catalyst around the federal appeal of the MET v. FSOC case. At this point, we think this issue has asymmetric upside, given MET’s –13% performance YTD compared to peers at –5%. Separately, it appears that the 2Q16 annuity charge was taken to set up the retail separation, and we think operating results in 2H16 should be more stable. At 79% of BV ex-AOCI and with sentiment on lifecos clearly negative, we think the overall setup is good. However, with the execution of the separation and the beginning of a $1 billion expense reduction (11% of total) in 2017, MET is also becoming more of a 2018 story."
Even though MET is becoming more of a 2018 story, the analyst raised his price target to $54 from $51.
Shares of MetLife closed at $41.79 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Fastenal (FAST) PT Raised to $49 at Credit Suisse Following 4Q
- Tutor Perini Corporation (TPC) PT Raised to $35.00 at Canaccord Genuity
- Jefferies Downgrades Autoliv, Inc. (ALV) to Hold
Create E-mail Alert Related CategoriesAnalyst Comments, Analyst PT Change
Related EntitiesS1, Earnings
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!