Brief: Equitable Holdings Q2 Adjusted EPS USD 1.1 Vs. IBES Estimate USD 1.29

Equitable Holdings

05/08/2025 21:15

Overview

Equitable Holdings Q2 net loss of $349 mln, adjusted EPS misses expectations

Company closed $2 bln reinsurance deal, reducing mortality exposure by 75%

Positive net flows in Retirement and Wealth Management drive AUM up 8% yr/yr

Outlook

Equitable Holdings expects EPS growth to accelerate in H2 2025

Company aims for $2 bln annual cash generation by 2027

Equitable Holdings targets 12-15% EPS growth CAGR by 2027

Result Drivers

REINSURANCE TRANSACTION - Closed $2 bln Individual Life reinsurance deal with RGA, reducing mortality exposure by 75%

RETIREMENT AND WEALTH MANAGEMENT - Positive net flows of $1.9 bln in Retirement and $2.0 bln in Wealth Management contributed to AUM growth

ELEVATED MORTALITY - Elevated mortality in Individual Life block led to lower-than-expected Non-GAAP operating earnings

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Adjusted EPS
Miss
$1.1
$1.29 (11 Analysts)
Q2 EPS
-$1.21
Q2 Net Income
-$349 mln
Q2 Adjusted Operating Earnings
$352 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the diversified investment services peer group is "buy"

Wall Street's median 12-month price target for Equitable Holdings Inc is $66.00, about 22.7% above its August 4 closing price of $50.99

The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release: ID:nBwbZPSCTa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)