$98.18
arrow_drop_down0.36%Is JXN a Buy or Sell based on AI Analysis?
Fundamental Analysis
Jackson Financial appears to have strong financial health based on several key fundamental indicators. Firstly, the company has a low debt-to-equity ratio of 0.64, indicating a healthy balance between debt and equity in its capital structure. Additionally, Jackson Financial has a high return on equity of 23.48%, reflecting its ability to generate significant profits from shareholders' equity. Moreover, the company's price-to-book ratio of 0.76 suggests that it is undervalued in comparison to its book value, potentially presenting a good investment opportunity. Furthermore, Jackson Financial's dividend yield of 2.9% and consistent annual dividends per share of $2.72 demonstrate a commitment to returning value to shareholders through dividends. On the other hand, there are some areas of concern in Jackson Financial's fundamental analysis. The company's operating margin is negative at -13.79%, indicating that it is not effectively controlling its operating expenses and potentially facing profitability challenges. Additionally, the net debt-to-assets ratio of 0.02 suggests that Jackson Financial has a small amount of net debt in relation to its total assets, which may raise concerns about its liquidity and financial stability. Overall, while the company shows strengths in certain fundamental indicators such as debt management and profitability, investors may want to further evaluate its operating efficiency and debt management strategies to assess its long-term sustainability.
Positive Development
Jackson Financial Inc's sales of annuities increased by 26% in Q2, indicating a strong performance in the annuity market. The company has been recognized for its outstanding associate volunteerism, which reflects positively on its corporate culture and social responsibility. Jackson Financial Inc has been named the Fueling Greatness Award winner in the 2024 Blackbaud Impact Awards, suggesting that the company's philanthropic efforts are well-regarded.
Negative Development
The company's stock rating has been downgraded by one rating agency, which could potentially affect its attractiveness to investors. The company's long-term debt-to-total-capital ratio is 0.1678, which suggests a higher level of debt compared to its capital. The company's payout ratio is 0.0497, which could suggest that it is paying out more dividends than it is generating in profits, potentially affecting its financial health.
Technical Analysis
Jackson Financial is currently displaying a mix of technical indicators, with one buying signal, three holding signals, and four selling signals. The buying indicator for the month is the Average True Range (ATR), indicating potential strength in the stock's trend. However, the MACD, ADX, and Rate of Change (ROC) indicators are all showing a holding pattern, suggesting a possible consolidation phase. On the other hand, the Relative Strength Index (RSI), Commodity Channel Index (CCI), Williams %R (WILLR), and Stochastic RSI (STOCHRSI) are giving sell signals, indicating potential weakness in the stock's performance. This combination of technical indicators suggests a mixed outlook for Jackson Financial, with potential for both upward and downward movements in the near future. Furthermore, Jackson Financial's technical analysis also includes information on the company's long-term trendline performance. The stock's longest trendline has shown an upward slope over the past 227 days, starting from a price of $36.06 and forecasting a price of $80.86 by October 17, 2024. This suggests a positive long-term trajectory for the stock. Additionally, the stock has strong support levels at $47.74, with both the closest and longest support prices indicating a 51.24% decrease from the current price. These support levels provide important information for investors looking to manage risk and make strategic decisions about buying or selling Jackson Financial shares.
Conclusion and recommendation
Based on the available data for Jackson Financial, it is evident that the company is in a strong position within the financial services sector. With a market cap of $7.26 billion and a solid track record of financial performance, including a high return on equity of 23.48% and a dividend yield of 2.9%, Jackson Financial presents as a promising investment opportunity. Additionally, the company's consistent revenue growth and positive trend in price performance, with a 5-year price change percentage of 211.3%, indicate strong potential for future growth and profitability. Furthermore, the company's low debt-to-equity ratio of 0.64 and healthy current ratio of 1.36 demonstrate a stable financial position and effective management of assets. In conclusion, Jackson Financial is a company with a solid foundation, strong financial performance, and promising growth potential. With a positive outlook for the future and a favorable market position, investors may consider adding Jackson Financial to their portfolio for long-term growth and potential returns. However, it is important for investors to conduct further research and analysis to fully understand the risks and opportunities associated with investing in this company. Overall, Jackson Financial presents as a compelling investment opportunity in the financial services sector, based on its strong financial metrics, market position, and growth prospects.