Here's What Analysts Are Forecasting For Globe Life Inc. (NYSE:GL) After Its Second-Quarter Results
Globe Life Inc. (NYSE:GL) shareholders are probably feeling a little disappointed, since its shares fell 6.1% to US$173 in the week after its latest quarterly results. Results were roughly in line with estimates, with revenues of US$1.6b and statutory earnings per share of US$3.65. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. We thought readers would find it interesting to see the analysts latest (statutory) post-earnings forecasts for next year.
Taking into account the latest results, the most recent consensus for Globe Life from eight analysts is for revenues of US$6.39b in 2026. If met, it would imply a reasonable 3.2% increase on its revenue over the past 12 months. Statutory per-share earnings are expected to be US$15.49, roughly flat on the last 12 months. Before this earnings report, the analysts had been forecasting revenues of US$6.40b and earnings per share (EPS) of US$15.41 in 2026. So it's pretty clear that, although the analysts have updated their estimates, there's been no major change in expectations for the business following the latest results.
View our latest analysis for Globe Life
There were no changes to revenue or earnings estimates or the price target of US$191, suggesting that the company has met expectations in its recent result. There's another way to think about price targets though, and that's to look at the range of price targets put forward by analysts, because a wide range of estimates could suggest a diverse view on possible outcomes for the business. Currently, the most bullish analyst values Globe Life at US$225 per share, while the most bearish prices it at US$150. These price targets show that analysts do have some differing views on the business, but the estimates do not vary enough to suggest to us that some are betting on wild success or utter failure.
Of course, another way to look at these forecasts is to place them into context against the industry itself. It's clear from the latest estimates that Globe Life's rate of growth is expected to accelerate meaningfully, with the forecast 6.6% annualised revenue growth to the end of 2026 noticeably faster than its historical growth of 4.4% p.a. over the past five years. By contrast, our data suggests that other companies (with analyst coverage) in a similar industry are forecast to grow their revenue at 2.7% per year. Factoring in the forecast acceleration in revenue, it's pretty clear that Globe Life is expected to grow much faster than its industry.
The Bottom Line
The most important thing to take away is that there's been no major change in sentiment, with the analysts reconfirming that the business is performing in line with their previous earnings per share estimates. Fortunately, they also reconfirmed their revenue numbers, suggesting that it's tracking in line with expectations. Additionally, our data suggests that revenue is expected to grow faster than the wider industry. The consensus price target held steady at US$191, with the latest estimates not enough to have an impact on their price targets.
With that in mind, we wouldn't be too quick to come to a conclusion on Globe Life. Long-term earnings power is much more important than next year's profits. At Simply Wall St, we have a full range of analyst estimates for Globe Life going out to 2028, and you can see them free on our platform here..
Before you take the next step you should know about the 1 warning sign for Globe Life that we have uncovered.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.