Is it Still Safe to Own Jackson Financial (JXN) Shares?

Miller Value Partners, an investment management firm, published its “Miller Value Partners Income Strategy” second-quarter 2022 investor letter – a copy of which can be downloaded here. The Miller Income Strategy lost 17.7% in the second quarter of 2022, underperforming the 10.0% decline for the ICE BofA US High Yield Index. Go over the fund’s top 5 positions to have a glimpse of its finest picks for 2022.

In its Q2 2022 investor letter, Miller Value Partners Income Strategy mentioned Jackson Financial Inc. (NYSE:JXN) and explained its insights for the company. Founded in 2006, Jackson Financial Inc. (NYSE:JXN) is a Michigan-based insurance company with a $2.3 billion market capitalization. Jackson Financial Inc. (NYSE:JXN) delivered a 1.22% return and it closed at $27.35 per share on August 01, 2022.

Here is what Miller Value Partners Income Strategy has to say about Jackson Financial Inc. (NYSE:JXN) in its Q2 2022 investor letter:

“Jackson Financial (NYSE:JXN) fell 37.3% during the quarter. Jackson Financial reported 1Q22 revenue of $4.3 billion, -21.9% Y/Y, and adjusted operating earnings of $3.94 per diluted share, down from earnings of $6.01 per share in 1Q21, below analyst expectations for EPS of $4.72. The market appeared to worry most about a drawdown in risk-based capital, 70% of which came from one-time items or capital return. During the quarter, the company returned $192 million to shareholders through $140 million of share repurchases and $52 million in dividends, in-line with its FY22 capital return target of $425-525 million, or ~22.2% of the company’s market cap at the midpoint.”

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Our calculations show that Jackson Financial Inc. (NYSE:JXN) fell short and didn’t make it on our list of the 30 Most Popular Stocks Among Hedge Funds. Jackson Financial Inc. (NYSE:JXN) was in 30 hedge fund portfolios at the end of the second quarter of 2022, compared to 21 funds in the previous quarter. Jackson Financial Inc. (NYSE:JXN) delivered a -36.32% return in the past 3 months.

In May 2022, we also shared another hedge fund’s views on Jackson Financial Inc. (NYSE:JXN) in another article. You can find other investor letters from hedge funds and prominent investors on our hedge fund investor letters 2022 Q2 page.

Disclosure: None. This article is originally published at Insider Monkey.