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Want To Invest In MetLife, Inc. (NYSE:MET)? Here's How It Performed Lately

Simply Wall St

Measuring MetLife, Inc.'s (NYSE:MET) track record of past performance is a useful exercise for investors. It enables us to understand whether or not the company has met or exceed expectations, which is an insightful signal for future performance. Today I will assess MET's recent performance announced on 30 June 2019 and weigh these figures against its long-term trend and industry movements.

See our latest analysis for MetLife

How Well Did MET Perform?

MET's trailing twelve-month earnings (from 30 June 2019) of US$5.9b has jumped 13% compared to the previous year.

Furthermore, this one-year growth rate has exceeded its 5-year annual growth average of -4.2%, indicating the rate at which MET is growing has accelerated. What's enabled this growth? Let's take a look at whether it is solely due to an industry uplift, or if MetLife has experienced some company-specific growth.

NYSE:MET Income Statement, October 1st 2019

In terms of returns from investment, MetLife has fallen short of achieving a 20% return on equity (ROE), recording 9.5% instead. Furthermore, its return on assets (ROA) of 0.9% is below the US Insurance industry of 2.5%, indicating MetLife's are utilized less efficiently. However, its return on capital (ROC), which also accounts for MetLife’s debt level, has increased over the past 3 years from 1.0% to 1.3%.

What does this mean?

MetLife's track record can be a valuable insight into its earnings performance, but it certainly doesn't tell the whole story. While MetLife has a good historical track record with positive growth and profitability, there's no certainty that this will extrapolate into the future. I recommend you continue to research MetLife to get a more holistic view of the stock by looking at:

  1. Future Outlook: What are well-informed industry analysts predicting for MET’s future growth? Take a look at our free research report of analyst consensus for MET’s outlook.
  2. Financial Health: Are MET’s operations financially sustainable? Balance sheets can be hard to analyze, which is why we’ve done it for you. Check out our financial health checks here.
  3. Other High-Performing Stocks: Are there other stocks that provide better prospects with proven track records? Explore our free list of these great stocks here.

NB: Figures in this article are calculated using data from the trailing twelve months from 30 June 2019. This may not be consistent with full year annual report figures.

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.