Last Updated: 14 Sep 2024
Executive Summary
Aegon NV ADR (AEG) is a financial services company headquartered in the Netherlands. The company offers a range of products and services, including life insurance, annuities, and asset management. AEG has a strong presence in the Americas, Europe, and Asia.
The company's financial performance has been mixed in recent years. In 2023, AEG reported a net loss of $1.2 billion, primarily due to losses in its life insurance business. However, the company's financial performance has improved in 2024, with AEG reporting a net income of $210 million in the first quarter of the year.
AEG's stock price has been volatile in recent years, but it has outperformed the broader market in 2024. The stock is currently trading at $5.98, which is above its 52-week low of $4.364.
Company Overview
Aegon NV was founded in 1983 and is headquartered in The Hague, the Netherlands. The company is one of the largest financial services companies in the world, with operations in over 20 countries. AEG offers a range of products and services, including life insurance, annuities, and asset management.
The company's life insurance business is its largest segment, accounting for over 50% of total revenue. AEG's life insurance products include term life insurance, whole life insurance, and universal life insurance. The company also offers a range of annuities, which are financial products that provide a guaranteed income stream for a period of time.
AEG's asset management business is its second largest segment, accounting for over 25% of total revenue. The company's asset management products include mutual funds, exchange-traded funds (ETFs), and hedge funds. AEG also offers a range of financial planning and investment advisory services.
Fundamental Analysis
AEG's financial performance has been mixed in recent years. In 2023, the company reported a net loss of $1.2 billion, primarily due to losses in its life insurance business. However, the company's financial performance has improved in 2024, with AEG reporting a net income of $210 million in the first quarter of the year.
The company's revenue has been relatively stable in recent years, with AEG reporting total revenue of $12.7 billion in 2023. The company's gross profit margin has also been relatively stable, with AEG reporting a gross profit margin of 9.8% in 2023.
AEG's operating margin has been negative in recent years, with the company reporting an operating margin of -0.7% in 2023. The company's net profit margin has also been negative in recent years, with AEG reporting a net profit margin of -0.9% in 2023.
The company's financial leverage has been relatively low in recent years, with AEG reporting a debt-to-equity ratio of 0.5 in 2023. The company's interest coverage ratio has also been relatively high, with AEG reporting an interest coverage ratio of 10.5 in 2023.
Technical Analysis
AEG's stock price has been volatile in recent years, but it has outperformed the broader market in 2024. The stock is currently trading at $5.98, which is above its 52-week low of $4.364.
The stock's technical indicators are mixed. The stock's relative strength index (RSI) is currently at 55, which indicates that the stock is neither overbought nor oversold. The stock's moving average convergence divergence (MACD) is currently positive, which indicates that the stock's momentum is bullish.
Short Term Outlook
The short-term outlook for AEG is mixed. The company's financial performance has improved in 2024, but the company's stock price has been volatile in recent years. The stock's technical indicators are mixed, which suggests that the stock's price could move in either direction in the short term.
Long Term Outlook
The long-term outlook for AEG is positive. The company is a leading provider of financial services in the Americas, Europe, and Asia. The company's financial performance has improved in 2024, and the company's stock price has outperformed the broader market. The company's long-term growth prospects are supported by the growing demand for financial services in emerging markets.
Analyst Recommendations
Analysts are mixed on AEG. One analyst has a buy rating on the stock, one analyst has a hold rating on the stock, and one analyst has a sell rating on the stock. The average analyst target price for AEG is $6.9.
