Let’s dig into the relative performance of Equitable Holdings (NYSE: EQH) and its peers as we unravel the now-completed Q3 life insurance earnings season.

Life insurance companies collect premiums from policyholders in exchange for providing a future death benefit or retirement income stream. Interest rates matter for the sector (and make it cyclical), with higher rates allowing insurers to reinvest their fixed-income portfolios at more attractive yields and vice versa. Additionally, favorable demographic shifts, such as an aging population, are driving strong demand for retirement products while AI and data analytics offer significant opportunities to improve underwriting accuracy and operational efficiency. Conversely, the industry faces headwinds from persistent competition from agile insurtechs that threaten traditional distribution models.

The 15 life insurance stocks we track reported a slower Q3. As a group, revenues beat analysts’ consensus estimates by 4.9%.

Thankfully, share prices of the companies have been resilient as they are up 5.5% on average since the latest earnings results.

Equitable Holdings (NYSE: EQH)

Tracing its roots back to 1859 as one of America's oldest financial institutions, Equitable Holdings (NYSE: EQH) provides retirement planning, asset management, and life insurance products through its two main franchises, Equitable and AllianceBernstein.

Equitable Holdings reported revenues of $3.74 billion, flat year on year. This print exceeded analysts’ expectations by 3.2%. Despite the top-line beat, it was still a slower quarter for the company with a significant miss of analysts’ EPS estimates.

Unsurprisingly, the stock is down 2.2% since reporting and currently trades at $47.80.

Read our full report on Equitable Holdings here, it’s free for active Edge members.

Best Q3: Aflac (NYSE: AFL)

Known for its iconic duck mascot that has quacked "Aflac!" in commercials since 2000, Aflac (NYSE: AFL) provides supplemental health and life insurance policies that pay cash benefits directly to policyholders for expenses not covered by their primary insurance.

Aflac reported revenues of $4.41 billion, up 2.8% year on year, falling short of analysts’ expectations by 0.9%. However, the business still had a very strong quarter with an impressive beat of analysts’ book value per share estimates and a beat of analysts’ EPS estimates.

The market seems content with the results as the stock is up 1.5% since reporting. It currently trades at $110.45.

Is now the time to buy Aflac? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: Brighthouse Financial (NASDAQ: BHF)

Spun off from MetLife in 2017 to focus specifically on retail financial products, Brighthouse Financial (NASDAQ: BHF) provides annuity contracts and life insurance products designed to help individuals protect wealth, generate income, and transfer assets.

Brighthouse Financial reported revenues of $2.17 billion, flat year on year, falling short of analysts’ expectations by 4%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue and net premiums earned estimates.

As expected, the stock is down 1.1% since the results and currently trades at $64.97.

Read our full analysis of Brighthouse Financial’s results here.

Horace Mann Educators (NYSE: HMN)

Founded in 1945 and named after the 19th-century education reformer known as the "father of American public education," Horace Mann Educators (NYSE: HMN) is an insurance company that specializes in providing auto, property, life, and retirement products tailored for educators and other public service employees.

Horace Mann Educators reported revenues of $438.5 million, up 6.4% year on year. This result beat analysts’ expectations by 0.9%. Aside from that, it was a satisfactory quarter as it also recorded a beat of analysts’ EPS estimates but a significant miss of analysts’ book value per share estimates.

The stock is up 3.2% since reporting and currently trades at $46.68.

Read our full, actionable report on Horace Mann Educators here, it’s free for active Edge members.

Corebridge Financial (NYSE: CRBG)

Spun off from insurance giant AIG in 2022 to focus on the growing retirement market, Corebridge Financial (NYSE: CRBG) provides retirement solutions, annuities, life insurance, and institutional risk management products in the United States.

Corebridge Financial reported revenues of $5.63 billion, up 34% year on year. This print surpassed analysts’ expectations by 49.7%. Zooming out, it was a slower quarter as it logged a significant miss of analysts’ EPS estimates.

Corebridge Financial delivered the biggest analyst estimates beat and fastest revenue growth among its peers. The stock is down 1.1% since reporting and currently trades at $30.61.

Read our full, actionable report on Corebridge Financial here, it’s free for active Edge members.

Market Update

As a result of the Fed’s rate hikes in 2022 and 2023, inflation has come down from frothy levels post-pandemic. The general rise in the price of goods and services is trending towards the Fed’s 2% goal as of late, which is good news. The higher rates that fought inflation also didn't slow economic activity enough to catalyze a recession. So far, soft landing. This, combined with recent rate cuts (half a percent in September 2024 and a quarter percent in November 2024) have led to strong stock market performance in 2024. The icing on the cake for 2024 returns was Donald Trump’s victory in the U.S. Presidential Election in early November, sending major indices to all-time highs in the week following the election. Still, debates around the health of the economy and the impact of potential tariffs and corporate tax cuts remain, leaving much uncertainty around 2025.

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