Speak with a Registered Agent: 1-866-223-2121

Speak with a Registered Agent: 1-866-223-2121

Annuities Slam Analysts’ Predictions


By

In the Annuity News Journal article “Prudential and MetLife Top Analyst Expectations,” we learn from Henry Steelman that annuities really made the difference in improved numbers for both Prudential and MetLife.  Analysts’ expectations for the fourth quarter numbers of both insurance companies didn’t take into account the increased sales they would have for annuity products.  A net income of $51 million in the fourth quarter of 2010 for MetLife equates to five cents per share.  In the fourth quarter of 2009, MetLife had net income of $281 million which was 35 cents per share.  Analysts’ average prediction for MetLife’s operating profit was $1.09 per share, but their operating profit of $1.16 billion totals $1.14 per share, a significant increase over expectations.

Prudential had $213 million of income in the fourth quarter.  This makes for 45 cents per share.  In 2009, their income of $1.79 billion equated to $3.78 per share.  Much like the prediction for MetLife, analysts predicted an operating income of $1.49 per share while Prudential’s actual operating income of $861 million amounts to $1.78 per share.  Annuities were the main reason that both insurance companies outperformed their net income expectations.  Prudential set a new record as the value of their annuity accounts reached $106.2 billion.  They also saw a $1 billion increase in sales of variable annuities, from $3.2 billion in 2009 to $4.2 billion in the fourth quarter of 2010.  MetLife set a record for their variable annuity sales as well.  Their fourth quarter sales of $5.1 billion were a 38% increase from the same quarter in the previous year.

For more information about the product mentioned in this article contact us here:

Information Request Form

If you have questions or would like more information, please complete this form and a licensed professional will be happy to help. For the fastest response, please select 'Phone' as your Contact Preference.

By providing your information and clicking 'Submit' above, you acknowledge that you have read and agree to this site's privacy policy. You also provide your consent to be contacted at the email address or phone number provided above (including any wireless number) by licensed agents or representatives from or on behalf of AFYI Holdings Group, LLC and other companies to provide the information requested and/or offer annuities or financial products. You understand that these calls or SMS messages may be generated using an automated telephone dialing system, a pre-recorded message, or artificial voice. Consent to receive such messages is not a condition to purchase any goods or services. You may opt out at any time by following the instructions in the messages you receive.  Receiving quotes and information through our website is free, and you are under no obligation to purchase any goods or services as a result of this request. You affirm that you are the subscriber of the provided telephone number or that the subscriber authorized you to provide the number. Message and data rates may apply. AFYI Holdings Group, LLC is committed to respecting your privacy and adhering to all applicable laws and regulations, including the Telephone Consumer Protection Act (TCPA).