Is MetLife Inc (MET) overvalued?
On Equity Rank's model estimate, MET trades 34% above its fair value. MetLife Inc (MET) last closed at $98.27; the multi-method model fair value is $73.10.
| Price | Model fair value | Price vs model |
|---|---|---|
| $98.27 | $73.10 | 34% above |
What the answer rests on
- 1 of 12 valuation methods put MET's value above its price and 11 put it below, so the methods mostly agree.
- MET trades at 19.7 times its last year's earnings, against a median of 13.0 for 75 profitable Insurance companies.
- Over the past year the price sat below the model fair value on 0% of trading days. The gap ranged from 1% above to 37% above the model fair value.
Read this before relying on it
The model fair value is an estimate from published financial statements. It is not a forecast of where the price goes, and it can be wrong. Within 10% either side we call it close to fair value: valuation models are not precise enough to read more into a smaller gap. Our own lists have no proven edge over the market yet; the live record shows every result, misses included.
Every valuation method behind MET's fair value · What prices assume · Other companies