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10 Best Insurance Stocks Under $70

In this article, we discuss 10 best insurance stocks under $70. If you want to read about some more insurance stocks, go directly to 5 Best Insurance Stocks Under $70.

The insurance sector has been one of the standout performers in a volatile marketplace in the United States over the past few months, demonstrating remarkable flexibility and resilience in overcoming a series of challenges, including the impact of the pandemic and the economic fallout from the Russian invasion of Ukraine. According to a report by research firm Deloitte, this outperformance continues to be threatened by rising inflation, interest rates, loss costs, the looming threats of recession, climate change, and geopolitical upheaval. 

Some of the best insurance companies include Humana Inc. (NYSE:HUM), Cigna Corporation (NYSE:CI), and MetLife, Inc. (NYSE:MET). Deloitte estimates that property-casualty price hikes were among the primary drivers pumping up premium volume and sending US consolidated surplus over the $1 trillion mark for the first time, even as inflation was driving loss costs even higher and faster in most markets. 

Per the research firm, as of May 12, average replacement costs were up 16.3% — nearly twice the Consumer Price Index rise. These numbers highlight the core contention that inflation is continuing to hamper non-life profitability even while boosting prices and top-line growth in the insurance industry. Research firm RSM claims that two key trends that investors should monitor in the space moving forward include artificial intelligence and machine learning. These, per RSM, can provide flexibility that allows insurers to innovate and transform faster. 

Our Methodology

The companies that operate in the insurance sector and are trading at under $70 were selected for the list. In order to provide readers with some context for their investment choices, the business fundamentals and analyst ratings for the stocks are also discussed. Data from around 900 elite hedge funds tracked by Insider Monkey in the second quarter of 2022 was used to identify the number of hedge funds that hold stakes in each firm.

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Best Insurance Stocks Under $70

10. Aegon N.V. (NYSE:AEG)

Number of Hedge Fund Holders: 7  

Share Price as of October 13: $3.77   

Aegon N.V. (NYSE:AEG) provides insurance, pensions, and asset management services in the Americas, the Netherlands, and the United Kingdom. It is one of the best insurance stocks to invest in. The shares of the firm have risen recently after the company announced that it would buy back $413 million of debt and $300 million of common shares after it completed the sale of its Hungarian business for gross proceeds of EUR 620 million. 

On September 13, Societe Generale analyst Nick Holmes upgraded Aegon N.V. (NYSE:AEG) stock to Buy from Hold with an unchanged price target of EUR 5.25, noting that the company has a strong case for additional buybacks in 2023.

At the end of the second quarter of 2022, 7 hedge funds in the database of Insider Monkey held stakes worth $16.9 million in Aegon N.V. (NYSE:AEG), compared to 7 the preceding quarter worth $34.4 million.

Just like Humana Inc. (NYSE:HUM), Cigna Corporation (NYSE:CI), and MetLife, Inc. (NYSE:MET), Aegon N.V. (NYSE:AEG) is one of the best insurance stocks to buy now. 

9. American Equity Investment Life Holding Company (NYSE:AEL)

Number of Hedge Fund Holders: 14  

Share Price as of October 13: $38.75     

American Equity Investment Life Holding Company (NYSE:AEL) provides life insurance products in the United States. It is one of the top insurance stocks to invest in. On August 8, the company posted earnings for the second quarter of 2022, reporting earnings per share of $0.98, beating expectations by $0.27. The revenue over the period was $121.4 million. 

On August 11, Truist analyst Mark Hughes maintained a Buy rating on American Equity Investment Life Holding Company (NYSE:AEL) stock and raised the price target to $51 from $45, highlighting the earnings beat of the company in Q2 2022.

Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Pzena Investment Management is a leading shareholder in American Equity Investment Life Holding Company (NYSE:AEL), with 1.7 million shares worth more than $63.7 million. 

In its Q2 2022 investor letter, First Pacific Advisors, an asset management firm, highlighted a few stocks and American Equity Investment Life Holding Company (NYSE:AEL) was one of them. Here is what the fund said:

“American Equity Investment Life Holding Company (NYSE:AEL), a leading writer of fixed index annuities, has continued to transition to its American Equity Investment (AEL) 2.0 business model. The plan’s main goals are to diversify the company’s assets into a broader array of investments, including private debt through strategic partnerships, and to increase its use of reinsurance to free up capital. We think this is an interesting, but somewhat aggressive plan. Thus far, the results have been impressive, but we continue to monitor the credit quality of their assets as they move toward achieving their target of having 40% of their portfolio invested in private assets, up from 15.4%.”

8. Manulife Financial Corporation (NYSE:MFC)

Number of Hedge Fund Holders: 15

Share Price as of October 13: $21.23     

Manulife Financial Corporation (NYSE:MFC) provides financial products and services in Asia, Canada, the United States, and internationally. It is one of the premier insurance stocks to invest in. On June 29, the company announced that the application to gain full control of its Chinese joint venture was accepted by Chinese regulators as the world’s second largest economy continues to open up its financial sector to allow foreign firms full ownership of their operations there. 

On July 27, Scotiabank analyst Meny Grauman upgraded Manulife Financial Corporation (NYSE:MFC) stock to Outperform from Sector Perform with an unchanged price target of C$27, noting that analysts remain constructive on the insurance sector despite falling equity markets. 

At the end of the second quarter of 2022, 15 hedge funds in the database of Insider Monkey held stakes worth $155 million in Manulife Financial Corporation (NYSE:MFC), compared to 19 in the previous quarter worth $517.5 million.

In its Q2 2022 investor letter, Harding Loevner, an asset management firm, highlighted a few stocks and Manulife Financial Corporation (NYSE:MFC) was one of them. Here is what the fund said:

“Manulife Financial Corporation (NYSE:MFC), the Canadian life insurer operating primarily in North America and Asia, is a new holding. Manulife offers a full suite of life insurance products as well as retirement and wealth management services. While the wealth management and retirement products appeal to the aging populations of the Western world, long-term life insurance products address the needs of the growing number of middle-class families in places like China and southeast Asia. COVID-19-induced lockdowns in China brought the shares down to a significant discount to our estimate of long-term value. The holding now serves as a nice diversifier to our Asia-centered insurers AIA and Ping An.”

7. Unum Group (NYSE:UNM)

Number of Hedge Fund Holders: 25     

Share Price as of October 13: $40.66  

Unum Group (NYSE:UNM) provides financial protection benefit solutions primarily in the United States, the United Kingdom, and Poland. It is one of the major insurance stocks to invest in. On September 14, Steve Zabel, the CFO of the firm, said that the relationship between IT and finance at the firm has solidified over the years with a focus on accountability. He added that finance has gotten more involved directly and was not only prioritizing where to spend dollars, but also focusing on value creation. 

On September 22, Raymond James analyst Wilma Burdis initiated coverage of Unum Group (NYSE:UNM) stock with a Market Perform rating and no price target, noting that the company’s valuation reflects an expectation for continued reserve strengthening within the LTC block. 

At the end of the second quarter of 2022, 25 hedge funds in the database of Insider Monkey held stakes worth $436 million in Unum Group (NYSE:UNM), compared to 30 in the previous quarter worth $323.5 million.

6. Lincoln National Corporation (NYSE:LNC)

Number of Hedge Fund Holders: 34  

Share Price as of October 13: $48.22   

Lincoln National Corporation (NYSE:LNC) operates multiple insurance and retirement businesses. Some of the insurance products offered by the firm include life insurance products, including term insurance, such as single and survivorship versions of universal life insurance; variable universal life insurance, indexed universal life insurance products, and critical illness and long-term care riders.

Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Lyrical Asset Management is a leading shareholder in Lincoln National Corporation (NYSE:LNC), with 3.9 million shares worth more than $185 million. 

In addition to Humana Inc. (NYSE:HUM), Cigna Corporation (NYSE:CI), and MetLife, Inc. (NYSE:MET), Lincoln National Corporation (NYSE:LNC) is one of the best insurance stocks to buy now according to hedge funds. 

In its Q2 2022 investor letter, Chartwell Investment Partners, an asset management firm, highlighted a few stocks and Lincoln National Corporation (NYSE:LNC) was one of them. Here is what the fund said:

“The three worst-performing stocks in the Dividend Equity accounts includes Lincoln National (NYSE:LNC, 1.9%), down 27.9%. Lincoln’s quarterly results were weak in both life insurance and annuity sales, but we remain positive on the stock given the company’s ongoing de-risking initiatives, leverage to higher rates, and discounted valuation.”

Click to continue reading and see 5 Best Insurance Stocks Under $70.

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Disclosure. None. 10 Best Insurance Stocks Under $70 is originally published on Insider Monkey.

AI, Tariffs, Nuclear Power: One Undervalued Stock Connects ALL the Dots (Before It Explodes!)

Artificial intelligence is the greatest investment opportunity of our lifetime. The time to invest in groundbreaking AI is now, and this stock is a steal!

AI is eating the world—and the machines behind it are ravenous.

Each ChatGPT query, each model update, each robotic breakthrough consumes massive amounts of energy. In fact, AI is already pushing global power grids to the brink.

Wall Street is pouring hundreds of billions into artificial intelligence—training smarter chatbots, automating industries, and building the digital future. But there’s one urgent question few are asking:

Where will all of that energy come from?

AI is the most electricity-hungry technology ever invented. Each data center powering large language models like ChatGPT consumes as much energy as a small city. And it’s about to get worse.

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Elon Musk was even more blunt:

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One little-known company—almost entirely overlooked by most AI investors—could be the ultimate backdoor play. It’s not a chipmaker. It’s not a cloud platform. But it might be the most important AI stock in the US owns critical energy infrastructure assets positioned to feed the coming AI energy spike.

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The “Toll Booth” Operator of the AI Energy Boom

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The Hedge Fund Secret That’s Starting to Leak Out

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A New Dawn is Coming to U.S. Stocks

I work for one of the largest independent financial publishers in the world – representing over 1 million people in 148 countries.

We’re independently funding today’s broadcast to address something on the mind of every investor in America right now…

Should I put my money in Artificial Intelligence?

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Marc’s been a trader, stockbroker, and analyst. He was the head of the options department at a major brokerage firm and is a sought-after expert for CNBC, Fox Business, Barron’s, and Yahoo! Finance…

But what Marc’s most known for is his award-winning stock-rating system. Which determines whether a stock could shoot sky-high in the next three to six months… or come crashing down.

That’s why Marc’s work appears in every Bloomberg and Reuters terminal on the planet…

And is still used by hundreds of banks, hedge funds, and brokerages to track the billions of dollars flowing in and out of stocks each day.

He’s used this system to survive nine bear markets… create three new indices for the Nasdaq… and even predict the brutal bear market of 2022, 90 days in advance.

Click to continue reading…