10 Hot Insurance Stocks To Buy Now

Published on February 3, 2023 at 1:06 pm by Usman Kabir in Hedge Funds, Market Movers, News

In this article, we discuss the 10 hot insurance stocks to buy now. If you want to read about some more hot insurance stocks to buy now, go directly to 5 Hot Insurance Stocks To Buy Now.

The insurance industry had a challenging year in 2022, with the COVID-19 pandemic leading to an increase in claims for areas such as business interruption and pandemic insurance. Even before 2020, the insurance sector was facing challenges. These challenges then became even more pressing in the year 2022. The 2nd largest insurance company, Ping An Insurance (China), was valued at around $140 billion by the end of 2022, and the price of its stock fell by –6.74% which is quite good compared to the rest of the market. The total insurance industry was worth $1.4 trillion at end of 2022.

In 2023, the insurance industry is expected to recover, with a focus on digital transformation and the use of data and analytics. A report by PwC predicts that the insurance industry will invest heavily in technology in 2023. The proliferation of digital platforms, the expansion of distribution channels through strategic alliances and integration options, and the improvement of data analysis are bringing markets together. The availability of regulatory choices will continue to increase and obstacles to market entry will become less of an issue.

According to McKinsey, the 2023 outlook remains favorable as a growing number of individuals are recognizing their personal responsibility for their health and retirement expenses. As government debt in developed economies rises and funding shortfalls occur in public health and retirement programs (e.g. Social Security in the US and National Pension System in Japan), a $41 trillion shortfall in global pensions has emerged. Despite this challenge, the industry presents opportunities for insurance providers.

Overall, the systemic risk within the insurance industry remains at a moderate level in 2023. However, there is a growing upward trend in the total systemic risk assessments of insurance companies, largely due to elevated exposures to assets that are illiquid, hard to determine in value, and involve over-the-counter derivatives, short-term funding, and intra-financial assets. In 2021, the solvency and financial performance of insurers improved due to favorable conditions in financial markets. However, since 2022, rising geopolitical tensions, inflation, stricter monetary policies, and a deteriorating economic outlook have led to a rise in market, credit, and liquidity risks.

According to experts, Blockchain can benefit insurance companies through cost savings, improved efficiency, increased transparency, and better product and market development. Blockchain enables the real-time sharing of data among parties in a secure and verifiable manner and can also facilitate new insurance practices. The adoption of blockchain represents an opportunity for positive change and growth in the competitive insurance industry. Some of the top insurance stocks to monitor in this context include Humana Inc. (NYSE:HUM), Cigna Corporation (NYSE:CI), and MetLife, Inc. (NYSE:MET).

It’s not surprising that AI can bring about change in the insurance industry as well. According to Forbes, AI will play a major role in transforming the insurance industry. As AI becomes more popular, it is becoming an increasingly important tool for companies in the sector. The use of AI can help companies analyze vast amounts of data to identify patterns and trends, allowing them to make more informed decisions. The integration of technology, data, AI, and modern design has created a formidable force that is transforming the traditionally policy-focused industry into one that prioritizes the customer experience.

Our Methodology

For this article we first used stock screeners to identify insurance stocks that have gained at least 15% year to date in 2023. From this resultant dataset we picked the stocks with highest share price gains. We reported the number of hedge funds in each of these stocks, so you can determine which insurance stocks that hedge funds think are the best investments. The list is ranked in ascending order of year-to-date performance of each stock.

austin-distel-jpHw8ndwJ_Q-unsplash

Hot Insurance Stocks To Buy Now

10. Fidelity National Financial, Inc. (NYSE:FNF)

Number of Hedge Fund Holders: 30

YTD Perf: 17.04%

Fidelity National Financial, Inc. (NYSE:FNF) provides various insurance products in the United States. On November 18, Fidelity National revealed that it is ready to acquire Titlepoint, a part of Black Knight’s data and analytics division, for $225 million in liquid cash. The stock of Black Knight advanced 3.3% after the report.

On January 6, 2023, Barclays analyst Mark DeVries maintained an Overweight rating on Fidelity National Financial, Inc. (NYSE:FNF) stock and raised the price target to $53 from $50.

Among the hedge funds being tracked by Insider Monkey, Chicago-based investment firm Brave Warrior Capital is a leading shareholder of Fidelity National Financial, Inc. (NYSE:FNF) with 9.4 million shares worth more than $339.9 million.

Just like Humana Inc. (NYSE:HUM), Cigna Corporation (NYSE:CI), and MetLife, Inc. (NYSE:MET), Fidelity National Financial, Inc. (NYSE:FNF) is one of the hot insurance stocks to buy now.

In its Q3 2022 investor letter, Third Avenue Management, an asset management firm, highlighted a few stocks and Fidelity National Financial, Inc. (NYSE:FNF) was one of them. Here is what the fund said:

“Fidelity National Financial, Inc. (NYSE:FNF) (2.4% of Fund Assets), which is planning to distribute a 15% stake in its wholly-owned life-insurance subsidiary (F&G Annuities & Life) having now established the segment at a significant scale with approximately $40 billion of assets under management. This transaction will leave the FNF Group with a listed proxy for the value of its retained 85% stake in F&G, as well as a “net cash” balance sheet and market-leading position in US title insurance (and other transaction-related activity) through its wholly-owned Fidelity National Financial subsidiary.”

9. Universal Insurance Holdings, Inc. (NYSE:UVE)

Number of Hedge Fund Holders: 7

YTD Perf: 20.30%

Universal Insurance Holdings, Inc. (NYSE:UVE) operates as an integrated insurance holding company in the United States. On November 14, Universal Insurance declared a quarterly dividend of $0.16 per share, which is consistent with its previous dividend payments. The forward yield is 6.39%.

On January 10, 2023, Piper Sandler analyst Paul Newsome maintained a Neutral rating on Universal Insurance Holdings, Inc. (NYSE:UVE) stock and raised the price target to $11 from $10, highlighting that the property-casualty insurers’ book values are expected to increase by 5.6% in the fourth quarter.

At the end of the third quarter of 2022, 7 hedge funds in the database of Insider Monkey held stakes worth $7.9 million in Universal Insurance Holdings, Inc. (NYSE:UVE), compared to 6 in the preceding quarter worth $7.95 million.

Among the hedge funds being tracked by Insider Monkey, Greenwich, Connecticut-based firm AQR Capital Management is a leading shareholder in Heritage Insurance Holdings, Inc. (NYSE:HRTG) with 271,259 shares worth more than $2.7 million.

8. Jackson Financial Inc. (NYSE:JXN)

Number of Hedge Fund Holders: 24

YTD Perf: 26.59%

Jackson Financial Inc. (NYSE:JXN) primarily provides a suite of annuities to retail investors in the United States. On November 9, Jackson Financial announced the financial results for the third quarter of 2022. The company’s Non-GAAP earnings per share (EPS) was $4.24, which exceeded analyst expectations by $1.34. The company also reported a revenue of $4.02 billion, which represents a 156.1% increase compared to the same quarter in the previous year and beat analyst expectations by $2.59 billion.

Among the hedge funds being tracked by Insider Monkey, London-based investment firm Marshall Wace LP is a leading shareholder in Jackson Financial Inc. (NYSE:JXN) with 2.1 million shares worth more than $58.8 million.

In its Q3 2022 investor letter, Curreen Capital, an asset management firm, highlighted a few stocks and Jackson Financial Inc. (NYSE:JXN) was one of them. Here is what the fund said:

“We sold Jackson in large part because the inverted yield curve signals that a weak stock market and high volatility are likely to continue. High volatility increases Jackson’s cost of hedging the annuities that it has sold, and a weak stock market makes it difficult to sell new variable annuities. These operational headwinds make Jackson a weed. We sold at $31.11 per share.”

7. Midwest Holding Inc. (NASDAQ:MDWT)

Number of Hedge Fund Holders: 2

YTD Perf: 27.39%

Midwest Holding Inc. (NASDAQ:MDWT) a financial services company, engages in the life and annuity insurance business in the United States. On November 14, Midwest Holdings posted earnings for the third quarter of the year. According to the release, the company’s earnings per share (EPS) were $1.96. The company also reported a revenue of $19 million, which represents a 227.6% increase compared to the same quarter in the previous year.

On December 20, 2022, Piper Sandler analyst John Barnidge maintained a Neutral rating on Midwest Holding Inc. (NASDAQ:MDWT) stock and lowered the price target to $14 from $16, noting that in the fourth quarter, equity markets supported the insurance industry.

At the end of the third quarter of 2022, 2 hedge funds in the database of Insider Monkey held stakes worth $5.3 million in Midwest Holding Inc. (NASDAQ:MDWT), compared to 1 in the previous quarter worth $143,000.

Among the hedge funds being tracked by Insider Monkey, New York-based investment firm Dorset Management is a leading shareholder in Midwest Holding Inc. (NASDAQ:MDWT) with 390,241 shares worth more than $5.2 million.

6. SelectQuote, Inc. (NYSE:SLQT)

Number of Hedge Fund Holders: 11

YTD Perf: 28.32%

SelectQuote, Inc. (NYSE:SLQT) operates a technology-enabled, direct-to-consumer distribution platform that sells a range of insurance products and healthcare services in the United States. On November 3, SelectQuote Inc posted earnings for the first quarter, reporting losses per share of $0.26. The revenue over the period was $162.5 million.

At the end of the third quarter of 2022, 11 hedge funds in the database of Insider Monkey held stakes worth $24.5 million in SelectQuote, Inc. (NYSE:SLQT), compared to 9 in the previous quarter worth $87 million.

Among the hedge funds being tracked by Insider Monkey, Stamford-based investment firm Brookside Equity Partners is a leading shareholder in SelectQuote, Inc. (NYSE:SLQT) with 17.7 million shares worth more than $12.9 million.

In addition to Humana Inc. (NYSE:HUM), Cigna Corporation (NYSE:CI), and MetLife, Inc. (NYSE:MET), Fidelity National Financial, Inc. (NYSE:FNF) is one of the hot insurance stocks to buy now.

Click to continue reading and see 5 Hot Insurance Stocks To Buy Now.

AI Fire Sale: Insider Monkey’s #1 AI Stock Pick Is On A Steep Discount

Published on May 1, 2024 at by Inan Dogan, PhD

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!

The whispers are turning into roars.

Artificial intelligence isn’t science fiction anymore.

It’s the revolution reshaping every industry on the planet.

From driverless cars to medical breakthroughs, AI is on the cusp of a global explosion, and savvy investors stand to reap the rewards.

Here’s why this is the prime moment to jump on the AI bandwagon:

Exponential Growth on the Horizon: Forget linear growth – AI is poised for a hockey stick trajectory.

Imagine every sector, from healthcare to finance, infused with superhuman intelligence.

We’re talking disease prediction, hyper-personalized marketing, and automated logistics that streamline everything.

This isn’t a maybe – it’s an inevitability.

Early investors will be the ones positioned to ride the wave of this technological tsunami.

Ground Floor Opportunity: Remember the early days of the internet?

Those who saw the potential of tech giants back then are sitting pretty today.

AI is at a similar inflection point.

We’re not talking about established players – we’re talking about nimble startups with groundbreaking ideas and the potential to become the next Google or Amazon.

This is your chance to get in before the rockets take off!

Disruption is the New Name of the Game: Let’s face it, complacency breeds stagnation.

AI is the ultimate disruptor, and it’s shaking the foundations of traditional industries.

The companies that embrace AI will thrive, while the dinosaurs clinging to outdated methods will be left in the dust.

As an investor, you want to be on the side of the winners, and AI is the winning ticket.

The Talent Pool is Overflowing: The world’s brightest minds are flocking to AI.

From computer scientists to mathematicians, the next generation of innovators is pouring its energy into this field.

This influx of talent guarantees a constant stream of groundbreaking ideas and rapid advancements.

By investing in AI, you’re essentially backing the future.

The future is powered by artificial intelligence, and the time to invest is NOW.

Don’t be a spectator in this technological revolution.

Dive into the AI gold rush and watch your portfolio soar alongside the brightest minds of our generation.

This isn’t just about making money – it’s about being part of the future.

So, buckle up and get ready for the ride of your investment life!

Act Now and Unlock a Potential 10,000% Return: This AI Stock is a Diamond in the Rough (But Our Help is Key!)

The AI revolution is upon us, and savvy investors stand to make a fortune.

But with so many choices, how do you find the hidden gem – the company poised for explosive growth?

That’s where our expertise comes in.

We’ve got the answer, but there’s a twist…

Imagine an AI company so groundbreaking, so far ahead of the curve, that even if its stock price quadrupled today, it would still be considered ridiculously cheap.

That’s the potential you’re looking at. This isn’t just about a decent return – we’re talking about a 10,000% gain over the next decade!

Our research team has identified a hidden gem – an AI company with cutting-edge technology, massive potential, and a current stock price that screams opportunity.

This company boasts the most advanced technology in the AI sector, putting them leagues ahead of competitors.

It’s like having a race car on a go-kart track.

They have a strong possibility of cornering entire markets, becoming the undisputed leader in their field.

Here’s the catch (it’s a good one): To uncover this sleeping giant, you’ll need our exclusive intel.

We want to make sure none of our valued readers miss out on this groundbreaking opportunity!

That’s why we’re slashing the price of our Premium Readership Newsletter by a whopping 75%.

For a ridiculously low price of just $24, you can unlock a year’s worth of in-depth investment research and exclusive insights – that’s less than a single restaurant meal!

Here’s why this is a deal you can’t afford to pass up:

The Name of the Game-Changing AI Stock: Our in-depth report dives deep into our #1 AI stock’s groundbreaking technology and massive growth potential.
Ad-Free Browsing: Enjoy a year of investment research free from distracting banner and pop-up ads, allowing you to focus on uncovering the next big opportunity.
Lifetime Money-Back Guarantee: If you’re not absolutely satisfied with our service, we’ll provide a full refund ANYTIME, no questions asked.

Space is Limited! Only 1000 spots are available for this exclusive offer. Don’t let this chance slip away – subscribe to our Premium Readership Newsletter today and unlock the potential for a life-changing investment.

Here’s what to do next:

Head over to our website and subscribe to our Premium Readership Newsletter for just $24.
Enjoy a year of ad-free browsing, exclusive access to our in-depth report on the revolutionary AI company, and the upcoming issues of our Premium Readership Newsletter over the next 12 months.
Sit back, relax, and know that you’re backed by our ironclad lifetime money-back guarantee.

Don’t miss out on this incredible opportunity! Subscribe now and take control of your AI investment future!

Subscribe Now!

A New Dawn is Coming to U.S. Stocks

Published on May 2, 2024 at by Insider Monkey Staff

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?

Here to answer that for us… and give away his No. 1 free AI recommendation… is 50-year Wall Street titan, Marc Chaikin.

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…

Insider Monkey Ads

Markets

Insider Trading

Hedge Funds

Retirement

Opinion

Log In

Sign Up