Sectors & IndustriesFinancial ServicesInsurance - Diversified

Best Life Insurance Stocks to Buy Now (2023)

Top life insurance stocks in 2023 ranked by overall Zen Score. See the best life insurance stocks to buy now, according to analyst forecasts for the insurance - diversified industry.

According to Zen Score, the 3 best life insurance stocks to buy right now are:

Principal Financial Group (NASDAQ:PFG) is the top life insurance stock with a Zen Score of 52, which is 12 points higher than the life insurance industry average of 40. It passed 19 out of 38 due diligence checks and has strong fundamentals. Principal Financial Group has seen its stock lose -0.36% over the past year, overperforming other life insurance stocks by 13 percentage points.

Principal Financial Group has an average 1 year price target of $81.11, an upside of 13.3% from Principal Financial Group's current stock price of $71.59.

Principal Financial Group stock has a consensus Sell recommendation according to Wall Street analysts. Of the 9 analysts covering Principal Financial Group, 0% have issued a Strong Buy rating, 0% have issued a Buy, 33.33% have issued a hold, while 33.33% have issued a Sell rating, and 33.33% have issued a Strong Sell.

American International Group (NYSE:AIG) is the second best life insurance stock with a Zen Score of 52, which is 12 points higher than the life insurance industry average of 40. It passed 19 out of 38 due diligence checks and has strong fundamentals. American International Group has seen its stock lose -25.05% over the past year, underperforming other life insurance stocks by -12 percentage points.

American International Group has an average 1 year price target of $66.80, an upside of 41.11% from American International Group's current stock price of $47.34.

American International Group stock has a consensus Buy recommendation according to Wall Street analysts. Of the 10 analysts covering American International Group, 50% have issued a Strong Buy rating, 10% have issued a Buy, 40% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

International General Insurance Holdings (NASDAQ:IGIC) is the third best life insurance stock with a Zen Score of 46, which is 6 points higher than the life insurance industry average of 40. It passed 17 out of 38 due diligence checks and has strong fundamentals. International General Insurance Holdings has seen its stock return 15.49% over the past year, overperforming other life insurance stocks by 28 percentage points.

International General Insurance Holdings has an average 1 year price target of $11.00, an upside of 31.74% from International General Insurance Holdings's current stock price of $8.35.

International General Insurance Holdings stock has a consensus Buy recommendation according to Wall Street analysts. Of the 1 analyst covering International General Insurance Holdings, 0% have issued a Strong Buy rating, 100% have issued a Buy, 0% have issued a hold, while 0% have issued a Sell rating, and 0% have issued a Strong Sell.

Out of 8 life insurance stocks that have issued dividends in the past year, the 3 life insurance stocks with the highest dividend yields are:

Old Republic International (NYSE:ORI) has an annual dividend yield of 8.06%, which is 4 percentage points higher than the life insurance industry average of 4.11%. Old Republic International's dividend payout is not stable, having dropped more than 10% five times in the last 10 years. Old Republic International's dividend has shown consistent growth over the last 10 years.

Old Republic International's dividend payout ratio of 84.2% indicates that its high dividend yield is sustainable for the long-term.

Aegon Nv (NYSE:AEG) has an annual dividend yield of 5.25%, which is 1 percentage points higher than the life insurance industry average of 4.11%. Aegon Nv's dividend payout is not stable, having dropped more than 10% three times in the last 10 years. Aegon Nv's dividend has not shown consistent growth over the last 10 years.

Aegon Nv's dividend payout ratio of -27.8% indicates that its high dividend yield might not be sustainable for the long-term.

Sun Life Financial (NYSE:SLF) has an annual dividend yield of 4.79%, which is 1 percentage points higher than the life insurance industry average of 4.11%. Sun Life Financial's dividend payout is not stable, having dropped more than 10% two times in the last 10 years. Sun Life Financial's dividend has shown consistent growth over the last 10 years.

Sun Life Financial's dividend payout ratio of 54.2% indicates that its dividend yield is sustainable for the long-term.

Life insurance stocks were up 0.82% in the last day, and up 1.87% over the last week.

We couldn't find a catalyst for why life insurance stocks are up.

Based on WallStreetZen's Valuation Score, the 3 most undervalued life insurance stocks right now are:

International General Insurance Holdings (NASDAQ:IGIC) is the most undervalued life insurance stock based on WallStreetZen's Valuation Score. International General Insurance Holdings has a valuation score of 100, which is 54 points higher than the life insurance industry average of 46. It passed 7 out of 7 valuation due diligence checks.

International General Insurance Holdings's stock has gained 15.49% in the past year. It has overperformed other stocks in the life insurance industry by 28 percentage points.

Principal Financial Group (NASDAQ:PFG) is the second most undervalued life insurance stock based on WallStreetZen's Valuation Score. Principal Financial Group has a valuation score of 86, which is 40 points higher than the life insurance industry average of 46. It passed 6 out of 7 valuation due diligence checks.

Principal Financial Group's stock has dropped -0.36% in the past year. It has overperformed other stocks in the life insurance industry by 13 percentage points.

American International Group (NYSE:AIG) is the third most undervalued life insurance stock based on WallStreetZen's Valuation Score. American International Group has a valuation score of 71, which is 25 points higher than the life insurance industry average of 46. It passed 5 out of 7 valuation due diligence checks.

American International Group's stock has dropped -25.05% in the past year. It has underperformed other stocks in the life insurance industry by -12 percentage points.