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Globe life co-chairman sells $1.56 million in stock

Published 04/12/2024, 22:04
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Frank M. Svoboda, Co-Chairman and CEO of Globe Life Inc. (NYSE:GL), recently executed a significant stock transaction, according to a filing with the Securities and Exchange Commission. On December 3, Svoboda sold 14,340 shares of Globe Life's common stock. The shares were sold at prices ranging from $108.51 to $109.24 per share, totaling approximately $1.56 million. The transaction comes as Globe Life, an $8.9 billion market cap company, trades near its InvestingPro Fair Value with a modest P/E ratio of 9.0x.

In addition to the sale, Svoboda exercised options to acquire 16,250 shares at a price of $87.60 per share, valued at approximately $1.42 million. Following these transactions, Svoboda holds 16,396 shares directly and additional shares through indirect holdings, including a family trust and a 401(k) plan. According to InvestingPro, the company maintains a "GOOD" financial health score, and management has been actively buying back shares. Subscribers can access 8 additional ProTips and a comprehensive Pro Research Report for deeper insights.

These transactions come as part of Svoboda's regular management of his equity holdings in the company, where he serves as a key executive. The stock has shown strong momentum with a 34.5% gain over the past six months, despite recent market volatility.

In other recent news, Globe Life Inc. has been the subject of various developments. The company reported significant growth in its Q3 2024 financial results, with net income surging to $303 million, a 29% increase in net operating income to $308 million, and increases in both life and health insurance premium revenues. Following these results, Truist Securities revised its earnings per share estimates for 2024 and 2025, leading to a price target increase to $105.00.

Globe Life also addressed accusations from a report by Viceroy Research, asserting the claims are unfounded. The company emphasized its successful shift to a virtual business model for its subsidiary, American Income Life (AIL), which has expanded its agent workforce and increased policy issuance.

In addition, the company introduced an executive severance plan, detailed in a recent SEC 8-K filing, outlining severance benefits and conditions for the company's Co-CEOs and other Named Executive Officers. Globe Life also expanded its stock buyback program to $1.8 billion, highlighting its commitment to optimizing shareholder value.

Lastly, the company temporarily suspended trading under its employee benefit plans due to a change in record keepers, affecting transactions in the company's Savings and Investment Plan. These are the recent developments surrounding Globe Life Inc.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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