MetLife Valuation

MET Stock  USD 74.11  0.19  0.26%   
At this time, the firm appears to be overvalued. MetLife secures a last-minute Real Value of $55.58 per share. The latest price of the firm is $74.11. Our model forecasts the value of MetLife from analyzing the firm fundamentals such as Profit Margin of 0.02 %, current valuation of 69.16 B, and Return On Equity of 0.0531 as well as examining its technical indicators and probability of bankruptcy. In general, most investors recommend acquiring undervalued stocks and selling overvalued stocks since, at some point, asset prices and their ongoing real values will merge together.
Price Book
1.7806
Enterprise Value
69.2 B
Price Sales
0.7989
Forward PE
8.4034
Trailing PE
40.8398
Overvalued
Today
74.11
Please note that MetLife's price fluctuation is very steady at this time. Calculation of the real value of MetLife is based on 3 months time horizon. Increasing MetLife's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for MetLife is useful when determining the fair value of the MetLife stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of MetLife. Since MetLife is currently traded on the exchange, buyers and sellers on that exchange determine the market value of MetLife Stock. However, MetLife's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  74.11 Real  55.58 Target  78.5 Hype  74.11 Naive  73.85
The real value of MetLife Stock, also known as its intrinsic value, is the underlying worth of MetLife Company, which is reflected in its stock price. It is based on MetLife's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of MetLife's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence MetLife's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
55.58
Real Value
81.52
Upside
Estimating the potential upside or downside of MetLife helps investors to forecast how MetLife stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of MetLife more accurately as focusing exclusively on MetLife's fundamentals will not take into account other important factors:
Earnings
Estimates (0)
LowProjectedHigh
1.821.962.10
Details
Hype
Prediction
LowEstimatedHigh
72.9674.1175.26
Details
Potential
Annual Dividend
LowForecastedHigh
1.331.361.39
Details
16 Analysts
Consensus
LowTarget PriceHigh
71.4478.5087.14
Details

MetLife Investments

(11.57 Billion)

MetLife Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining MetLife's current stock value. Our valuation model uses many indicators to compare MetLife value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across MetLife competition to find correlations between indicators driving MetLife's intrinsic value. More Info.
MetLife is considered to be number one stock in price to sales category among related companies. It is considered to be number one stock in annual yield category among related companies fabricating about  0.04  of Annual Yield per Price To Sales. The ratio of Price To Sales to Annual Yield for MetLife is roughly  28.43 . Comparative valuation analysis is a catch-all model that can be used if you cannot value MetLife by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for MetLife's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the MetLife's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates MetLife's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in MetLife and how it compares across the competition.

About MetLife Valuation

The stock valuation mechanism determines the current worth of MetLife on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of MetLife. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of MetLife based exclusively on its fundamental and basic technical indicators. By analyzing MetLife's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of MetLife's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of MetLife. We calculate exposure to MetLife's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to MetLife's related companies.
Last ReportedProjected for 2024
Gross Profit66.4 B52.8 B
Pretax Profit Margin 0.03  0.03 
Operating Profit Margin 0.02  0.02 
Net Profit Margin 0.02  0.02 
Gross Profit Margin 0.00  0.00 

MetLife Quarterly Retained Earnings

40.15 Billion

8 Steps to conduct MetLife's Valuation Analysis

Company's valuation is the process of determining the worth of any company in monetary terms. It estimates MetLife's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct MetLife's valuation analysis, follow these 8 steps:
  • Gather financial information: Obtain MetLife's financial statements, including balance sheets, income statements, and cash flow statements.
  • Determine MetLife's revenue streams: Identify MetLife's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
  • Analyze market data: Research MetLife's industry and market trends, including the size of the market, growth rate, and competition.
  • Establish MetLife's growth potential: Evaluate MetLife's management, business model, and growth potential.
  • Determine MetLife's financial performance: Analyze its financial statements to assess its historical performance and future potential.
  • Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
  • Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate MetLife's estimated value.
  • Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Note: This is a general outline, and different approaches and methods may be used depending on the type and size of the company being valued. We also recomment to seek professional assistance to ensure accuracy.
MetLife's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether MetLife's value is low or high relative to the company's performance and growth projections. Determining the market value of MetLife can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of MetLife represents a small ownership stake in the entity. As a stockholder of MetLife, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

MetLife Dividends Analysis For Valuation

Dividend Payout Ratio is likely to gain to 1.17 in 2024, despite the fact that Dividends Paid is likely to grow to (1.7 B). . Price Earnings Ratio is likely to gain to 33.34 in 2024, whereas Retained Earnings are likely to drop slightly above 24.7 B in 2024.
Last ReportedProjected for 2024
Dividends Paid-1.8 B-1.7 B
Dividend Yield 0.04  0.02 
Dividend Payout Ratio 1.12  1.17 
Dividend Paid And Capex Coverage Ratio 23.10  13.36 
There are various types of dividends MetLife can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of MetLife shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from MetLife directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When MetLife pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of MetLife by the value of the dividends paid out.

MetLife Growth Indicators

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as MetLife does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding762.3 M
Quarterly Earnings Growth Y O Y-0.607
Forward Price Earnings8.4034

MetLife Current Valuation Indicators

Valuation refers to the process of determining the present value of MetLife and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value MetLife we look at many different elements of the entity such as MetLife's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. MetLife's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final MetLife's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as MetLife, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use MetLife's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes MetLife's worth.
When determining whether MetLife is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if MetLife Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Metlife Stock. Highlighted below are key reports to facilitate an investment decision about Metlife Stock:
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in MetLife. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in income.
For more information on how to buy MetLife Stock please use our How to Invest in MetLife guide.
Note that the MetLife information on this page should be used as a complementary analysis to other MetLife's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.

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When running MetLife's price analysis, check to measure MetLife's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy MetLife is operating at the current time. Most of MetLife's value examination focuses on studying past and present price action to predict the probability of MetLife's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move MetLife's price. Additionally, you may evaluate how the addition of MetLife to your portfolios can decrease your overall portfolio volatility.
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Is MetLife's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of MetLife. If investors know MetLife will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about MetLife listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.61)
Dividend Share
2.06
Earnings Share
1.81
Revenue Per Share
88.295
Quarterly Revenue Growth
0.219
The market value of MetLife is measured differently than its book value, which is the value of MetLife that is recorded on the company's balance sheet. Investors also form their own opinion of MetLife's value that differs from its market value or its book value, called intrinsic value, which is MetLife's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because MetLife's market value can be influenced by many factors that don't directly affect MetLife's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between MetLife's value and its price as these two are different measures arrived at by different means. Investors typically determine if MetLife is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, MetLife's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.