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1. Company Snapshot

1.a. Company Description

Globe Life Inc., through its subsidiaries, provides various life and supplemental health insurance products, and annuities to lower middle to middle income households in the United States.The company operates through four segments: Life Insurance, Supplemental Health Insurance, Annuities, and Investments.It offers whole life, term life, and other life insurance products; Medicare supplement and supplemental health insurance, such as critical illness and accident plans; and single-premium and flexible-premium deferred annuities.


The company was formerly known as Torchmark Corporation and changed its name to Globe Life Inc.in August 2019.Globe Life Inc.


was incorporated in 1979 and is headquartered in McKinney, Texas.

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1.b. Last Insights on GL

Globe Life Inc.'s recent performance was driven by strong Q2 earnings, with a 10% increase, fueled by robust Life and Health premiums. The company's American Income and Liberty National divisions performed well, and its invested assets and liquidity position remained strong. Additionally, Globe Life was cleared of a regulatory investigation, and analysts issued optimistic updates, contributing to a positive outlook. The company's solid underwriting results and growing premiums helped offset declines in investment income and rising expenses.

1.c. Company Highlights

2. Globe Life Inc. Delivers Strong Q4 Earnings with 8% Growth in Net Operating Income

Globe Life Inc. reported net income of $266 million or $3.29 per share for the fourth quarter, compared to $255 million or $3.01 per share a year ago. Net operating income for the quarter was $274 million or $3.39 per share, an increase of 8% over the $3.14 per share from a year ago. Total premium revenue in the fourth quarter grew 5% over the year ago quarter, driven by a 9% growth in health insurance premium revenue to $392 million. The company's actual EPS came out at $3.39, slightly below estimates of $3.44.

Publication Date: Feb -08

📋 Highlights
  • Net Income Growth:: Q4 net income rose to $266 million ($3.29/share) from $255 million ($3.01/share) YoY, reflecting 8% EPS growth.
  • Health Premium Surge:: Health premium revenue grew 9% to $392 million in Q4, with 2026 guidance of 14-16% growth driven by Medicare Supplement sales and rate hikes.
  • Administrative Efficiency:: Administrative expenses remained stable at 7.4% of premium (Q4), with 2026 guidance targeting 7.3% despite $92 million spent in Q4.
  • Share Repurchases:: $170 million repurchased in Q4 (1.3M shares) and $685 million for 2025, with 2026 plans for $535-585 million in buybacks/dividends.
  • Underwriting Margins:: Life underwriting margin reached 41% in 2025 (up from 39.7%), while health margin dipped to 25.4% (from 27.3%), but both expect 2026 margin stability/normalization.

Segment Performance

The company's life premium revenue increased 3% from the year ago quarter to $850 million, while health underwriting margin was also up 9% to $99 million. American Income Life's life premiums were up 6% over the year ago quarter to $457 million, while Liberty National's life premiums were up 4% to $98 million. Family Heritage's health premiums increased 10% over the year ago quarter to $121 million.

Outlook and Guidance

For the full year 2026, Globe Life expects total premium revenue to grow approximately 7% to 8%, with life premium revenue growing between 4% and 4.5% and health premium revenue growing 14% to 16%. The company anticipates net operating earnings per diluted share to be in the range of $14.95 to $15.65 for the full year 2026, representing 5% earnings per share growth at the midpoint of the range.

Valuation and Dividend Yield

With a Price-to-Book Ratio (P/B) of 2.08, Globe Life's valuation appears reasonable compared to its peers. The company's Dividend Yield is 0.74%, which is relatively modest. Analysts estimate next year's revenue growth at 5.1%, which is slightly lower than the company's expected growth rate. The company's Return on Equity (ROE) is 21.27%, indicating a strong ability to generate profits from shareholder equity.

3. NewsRoom

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Globe Life Inc (GL) Q4 2025 Earnings Call Highlights: Strong Premium Growth and Strategic Reinsurance Moves

Feb -05

Source: gurufocus.com

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Globe Life Inc. (GL) Q4 2025 Earnings Call Transcript

Feb -05

Source: seekingalpha.com

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Compared to Estimates, Globe Life (GL) Q4 Earnings: A Look at Key Metrics

Feb -05

Source: zacks.com

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Globe Life (GL) Q4 Earnings and Revenues Lag Estimates

Feb -04

Source: zacks.com

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GLOBE LIFE INC. REPORTS FOURTH QUARTER 2025 RESULTS

Feb -04

Source: prnewswire.com

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Strategy Asset Managers LLC Purchases New Holdings in Globe Life Inc. $GL

Feb -02

Source: defenseworld.net

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GL Outperforms Industry, Trades at a Discount: How to Play the Stock

Jan -16

Source: zacks.com

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Globe Life Inc. Announces Fourth Quarter 2025 Earnings Release and Conference Call

Jan -15

Source: prnewswire.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (4.49%)

6. Segments

Life

Expected Growth: 4.5%

Globe Life's 4.5% growth in Life segment is driven by increasing demand for term life insurance, expansion in the middle market, and strategic acquisitions. Additionally, the company's focus on underwriting excellence, diversified distribution channels, and effective expense management contribute to its growth momentum.

Health

Expected Growth: 4.2%

Globe Life Inc.'s 4.2% growth in Health segment is driven by increasing demand for supplemental health insurance, expansion of Medicare Advantage plans, and rising healthcare costs. Additionally, strategic acquisitions, such as the purchase of Liberty Bankers Life, have contributed to the growth. Furthermore, the company's focus on digital transformation and customer engagement has improved sales and retention rates.

Investment

Expected Growth: 4.8%

Globe Life Inc.'s 4.8% growth is driven by increasing demand for life insurance and supplemental health products, expansion into new markets, and strategic acquisitions. Additionally, the company's focus on digital transformation, cost savings initiatives, and strong capital management have contributed to its growth momentum.

Corporate & Other

Expected Growth: 3.8%

Globe Life's Corporate & Other segment growth of 3.8% is driven by increased investment income, favorable mortality experience, and expense management. Additionally, the company's strategic investments in technology and digital capabilities have improved operational efficiency, contributing to the segment's growth.

7. Detailed Products

Life Insurance

Globe Life offers a range of life insurance products, including term life, whole life, and universal life insurance, to provide financial protection for loved ones in the event of death.

Accident Insurance

Globe Life's accident insurance provides financial protection against unexpected medical expenses resulting from accidents, including injuries and illnesses.

Supplemental Health Insurance

Globe Life's supplemental health insurance products provide additional financial protection against unexpected medical expenses, including hospital stays, surgeries, and other medical procedures.

Mortgage Protection Insurance

Globe Life's mortgage protection insurance provides financial protection for homeowners, paying off the mortgage balance in the event of death or disability.

Annuities

Globe Life's annuity products provide a guaranteed income stream for a set period or for life, helping individuals plan for retirement and ensure a steady income.

8. Globe Life Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

The threat of substitutes for Globe Life Inc. is medium due to the presence of alternative insurance providers and financial institutions offering similar products.

Bargaining Power Of Customers

The bargaining power of customers is low for Globe Life Inc. as individual customers have limited negotiating power, and the company has a diversified customer base.

Bargaining Power Of Suppliers

The bargaining power of suppliers is medium for Globe Life Inc. as the company relies on a network of independent agents and brokers, but has some negotiating power due to its size and scale.

Threat Of New Entrants

The threat of new entrants is low for Globe Life Inc. due to the high barriers to entry in the insurance industry, including regulatory hurdles and capital requirements.

Intensity Of Rivalry

The intensity of rivalry is high for Globe Life Inc. due to the competitive nature of the insurance industry, with many established players competing for market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 32.04%
Debt Cost 5.95%
Equity Weight 67.96%
Equity Cost 7.84%
WACC 7.23%
Leverage 47.15%

11. Quality Control: Globe Life Inc. passed 6 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Globe Life

A-Score: 6.3/10

Value: 6.8

Growth: 6.3

Quality: 7.8

Yield: 1.0

Momentum: 8.5

Volatility: 7.7

1-Year Total Return ->

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Stock-Card
Primerica

A-Score: 5.9/10

Value: 5.4

Growth: 7.2

Quality: 6.8

Yield: 3.0

Momentum: 4.0

Volatility: 9.0

1-Year Total Return ->

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Stock-Card
F&G Annuities & Life

A-Score: 5.7/10

Value: 8.8

Growth: 8.6

Quality: 5.9

Yield: 5.0

Momentum: 0.5

Volatility: 5.7

1-Year Total Return ->

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Stock-Card
American Equity

A-Score: 5.4/10

Value: 9.5

Growth: 7.3

Quality: 6.2

Yield: 0.0

Momentum: 6.0

Volatility: 3.3

1-Year Total Return ->

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Stock-Card
Genworth Financial

A-Score: 4.9/10

Value: 7.5

Growth: 2.4

Quality: 4.9

Yield: 0.0

Momentum: 7.0

Volatility: 7.3

1-Year Total Return ->

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Stock-Card
Brighthouse Financial

A-Score: 4.8/10

Value: 8.2

Growth: 2.8

Quality: 6.7

Yield: 0.0

Momentum: 8.5

Volatility: 2.7

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

144.99$

Current Price

144.99$

Potential

-0.00%

Expected Cash-Flows