Morgan Stanley Maintains Overweight on Globe Life, Raises PT to $171.

Morgan Stanley Maintains Overweight on Globe Life, Raises PT to $171.

Morgan Stanley has maintained its "Overweight" rating on Globe Life Inc. (GL) while raising its price target to $171, according to a recent report [2]. The upgrade comes following the conclusion of investigations by the Department of Justice (DoJ) and the Securities and Exchange Commission (SEC) into Globe Life's sales practices and earnings uncertainties in its Health segment. These investigations, which ended on July 31, 2023, have removed considerable uncertainty surrounding the company.

Globe Life's stock has shown strong performance over the past year, with a 49.2% gain over the last 52 weeks, outperforming the broader S&P 500 Index, which has gained 19% over the same period [1]. The company's stock has also outperformed the sector-specific Financial Select Sector SPDR Fund (XLF), which has gained 22.7% over the past 52 weeks and 9.3% year-to-date (YTD). Analysts expect a 15.8% year-over-year (YOY) growth in earnings per share (EPS) for the current year, with a mean price target of $159.77, indicating a premium of 14.9% from the current market prices [1].

The company's latest quarterly earnings, released on July 23, 2023, saw a net operating income increase of 10.1% YOY to $3.27 per share, higher than the consensus estimate of $3.25 per share. The company also repurchased 1.9 million shares of its common stock for $226 million during the quarter. This positive earnings report led to a more than 5% surge in the stock's price the following trading session.

Morgan Stanley's upgrade to "Overweight" and the subsequent price target increase reflect the investment firm's belief that the removal of uncertainty surrounding Globe Life's operations will drive further growth and stock performance. The firm's analysts have adjusted their rating and price target in response to the favorable earnings report and the resolution of the DoJ and SEC investigations.

Globe Life's stock has a current market capitalization of $11.32 billion, with institutional investors owning 81.61% of the stock. The company's latest quarterly dividend was $0.27 per share, with an annualized yield of 0.8% and a payout ratio of 8.63%.

References:
[1] https://finance.yahoo.com/news/globe-life-stock-outlook-wall-150617001.html
[2] https://www.marketbeat.com/instant-alerts/filing-mitsubishi-ufj-asset-management-co-ltd-acquires-14546-shares-of-globe-life-inc-nysegl-2025-08-12/