MetLife Inc Stock Hold Recommendation Reiterated (MET)

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

NEW YORK (TheStreet) -- MetLife (NYSE:MET) has been reiterated by TheStreet Ratings as a hold with a ratings score of C+ . The company's strengths can be seen in multiple areas, such as its reasonable valuation levels, good cash flow from operations and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, disappointing return on equity and poor profit margins.

• EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass

Highlights from the ratings report include:

• Net operating cash flow has increased to $3,186.00 million or 41.78% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of 10.86%.
• The revenue fell significantly faster than the industry average of 21.6%. Since the same quarter one year prior, revenues fell by 19.3%. Weakness in the company's revenue seems to have hurt the bottom line, decreasing earnings per share.
• The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Insurance industry. The net income has significantly decreased by 127.6% when compared to the same quarter one year ago, falling from $3,456.00 million to -$954.00 million.
• Current return on equity is lower than its ROE from the same quarter one year prior. This is a clear sign of weakness within the company. When compared to other companies in the Insurance industry and the overall market, METLIFE INC's return on equity is below that of both the industry average and the S&P 500.

MetLife, Inc., through its subsidiaries, provides insurance, annuities, and employee benefit programs in the United States, Japan, Latin America, the Asia Pacific, Europe, and the Middle East. MetLife has a market cap of $41.06 billion and is part of the financial sector and insurance industry. The company has a P/E ratio of 15.6, below the S&P 500 P/E ratio of 17.7. Shares are up 14.5% year to date as of the close of trading on Wednesday.

You can view the full MetLife Ratings Report or get investment ideas from our investment research center.

--Written by a member of TheStreet Ratings Staff.

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE

For more information on MetLife Inc click any of the following:

• MetLife Inc Stock Price

• MetLife Inc Analyst Ratings

• MetLife Inc Key Stats & Profile

• MetLife Inc Earnings

• MetLife Inc Ratio Comparison

• MetLife Inc Growth Rates

• MetLife Inc Balance Sheet

• MetLife Inc Cash Flow

• MetLife Inc Income Statement