MetLife

Methodology

MetLife's earnings can be volatile due to investment returns, actuarial assumption changes, and reserve adjustments that distort near-term EPS. Interest rate sensitivity and equity market impacts create quarterly variability. Focus on operating earnings or book value growth rather than GAAP EPS for more meaningful valuation assessment of this life insurer.

Methodology

PEG analysis is challenging for MetLife given GAAP earnings volatility from investment marks and reserve changes that don't reflect underlying business economics. Life insurance companies are better evaluated using price-to-book value combined with ROE analysis. If using PEG, focus on operating earnings trends and normalize for market-driven fluctuations.

Methodology

MetLife offers an attractive dividend supported by insurance cash flows, with the yield adding meaningful value to total returns for this financial giant. Management maintains consistent payouts while conducting opportunistic buybacks. For mature insurers, dividend yield and book value growth matter more than traditional earnings-based metrics in driving shareholder returns.