Reinsurance Group of America, Incorporated 7.125% Fixed-Rate Reset Subordinated Debentures due 2052 research snapshot
RZC AI stock analysis treats RZC as the Reinsurance Group of America, Incorporated 7.125% Fixed-Rate Reset Subordinated Debentures due 2052, not as RGA common stock. At the August 2, 2026 data cutoff, the latest verified close was $25.56 on July 31, 2026, the issue traded at about a 6.97% current yield, and the first rate reset is scheduled for October 15, 2027. The security is a subordinated income claim on RGA, so the analysis focuses on issuer credit, coupon, reset mechanics, and liquidity rather than earnings growth. This page is informational research and is not investment advice.
Current price
$25.56 close on July 31, 2026
Market cap
About $700 million par issue ($715.68 million indicated value at the $25.56 close)
AI score
67 / 100
Rating
Income-oriented 7.125% fixed-rate reset subordinated debenture with a strong reinsurer behind it and a 2027 rate-reset date to watch
Trend status
Price is slightly above the 50-day and 200-day moving averages after a quiet July, and remains below the top of the trailing 12-month range
Data cutoff (updated monthly)
August 4, 2026
Informational use only. This page is not investment advice.
| Dimension | Conclusion | Confidence |
|---|---|---|
| Business quality | RZC is not an operating business. It is a subordinated debt claim on RGA, so its value depends on issuer credit, coupon cash flows, and the contract terms. | High |
| Moat | The instrument has no standalone moat. RGA's reinsurance scale, mortality data, underwriting expertise, and global relationships support the credit, but they do not guarantee the debenture price. | High |
| Management | RGA management and the board allocate capital, maintain financial strength ratings, and service debt. Laura Cockrill became CFO in June 2026 after a transition from Axel Andre, so the executive team is stable at the top but settling into a new finance leadership. | Medium-high |
| Financial trend | RGA reported FY2025 revenue of $23.70 billion and net income available to shareholders of $1.18 billion, and Q1 2026 revenue of $6.49 billion and net income of $330 million. Q2 2026 results are scheduled for August 6, 2026. | High |
| Valuation | At $25.56, RZC yields about 6.97%, trades at a 2.2% premium to the $25 par, and faces reset risk in October 2027. RGA common stock trades near 12.9x trailing earnings and 1.17x book value. | Medium-high |
| Technical trend | RZC closed at $25.56 on July 31, 2026, slightly above its 50-day moving average at about $25.46 and its 200-day moving average at about $25.51, inside a $25.14 to $26.17 trailing 12-month range. | Medium |
| Risk level | Key risks include RGA credit deterioration, higher 5-year Treasury rates at the 2027 reset, liquidity shortages, subordinated recovery, and reinsurance claims volatility. | Medium-high |
| AI confidence | High for descriptive facts and audited calculations. Medium for technical levels and forward scenarios because the reset mechanic depends on future rates and market liquidity. | High data confidence |
| Investment certainty | Medium for the income stream if RGA credit remains solid, but low for capital appreciation because the price is above par and the coupon is fixed only until the 2027 reset. | Medium |
RZC AI stock forecast
The RZC AI stock forecast is a fixed-income scenario framework, not a promised price or yield. The security pays 7.125% until October 15, 2027, then resets to the 5-year Treasury rate plus 3.456% every five years. The price is therefore tied to RGA credit, required yield, and the expected reset coupon.
$25.75 to $26.20
More likely if RGA credit remains strong, 5-year Treasury rates stay around current levels or fall, the reset rate is competitive with comparable preferred and subordinated debt, and demand for income supports the price.
$25.15 to $25.80
More likely if RGA credit remains stable, coupons continue, rates move moderately, and the security trades around the $25 par with a modest premium.
$24.60 to $25.15
More likely if RGA credit weakens, 5-year Treasury rates rise sharply, the reset rate is less attractive, or liquidity pressure pushes the price toward a discount to par.
RZC AI technical analysis
RZC AI technical analysis is intentionally limited at the July 31, 2026 data cutoff. RZC is a fixed-income instrument, so chart signals are secondary to issuer credit, yield, and the reset mechanics. The latest verified close was $25.56 on July 31, 2026, slightly above both the 50-day and 200-day moving averages. Because this page does not fetch request-time market data, confirm current price, bid, ask, and volume before acting.
| Level | Value | Why it matters |
|---|---|---|
| Current price | $25.56 on July 31, 2026 | Latest verified close used for this page as of the August 2, 2026 data cutoff. |
| 52-week range | $25.14 to $26.17 | Computed from FMP daily closes over the trailing 12 months. The FMP quote widget fields read $25.01 to $26.29, but those values reflect older dates, so this page uses the computed range. |
| Near support | $25.14 to $25.36 | Support zone around the trailing 12-month low of $25.14 from April 2026, the July 28 close near $25.35, and the July 31 day low of $25.36. |
| Secondary support | $25.00 to $25.14 | Zone between the $25 par value and the trailing 12-month low. A sustained close below $25.14 would signal renewed weakness. |
| Near resistance | $25.68 to $25.84 | Resistance zone around the July 31 day high of $25.68 and the June swing highs near $25.77. |
| 50-day moving average | About $25.46 | FMP reported the 50-day moving average at $25.4625. The price is slightly above it. |
| 200-day moving average | About $25.51 | FMP reported the 200-day moving average at $25.5056. The price is slightly above it. |
| Momentum | Mildly positive | RZC rose $0.09 or 0.35% on July 31, 2026, and the price sits above both moving averages. No independently verified RSI was available at the cutoff. |
| Volume | 91,000 shares on July 31, 2026 | FMP historical data reported 91,000 shares on July 31, above the roughly 41,020 average. Volume is still thin for a $700 million issue. |
| Volatility | Low | The trailing 12-month range is about $1.03 and daily moves are small. A fixed-income security normally moves less than a common stock. |
| Invalidation | Close below $25.14 or a credit downgrade | A sustained close below the trailing 12-month low, or any RGA financial strength or senior debt downgrade, would challenge the income thesis. |
RZC AI trading strategy
The RZC AI trading strategy is a fixed-income research framework, not personalized advice. It prioritizes current yield, issuer credit, the October 2027 reset, and liquidity over short-term chart patterns.
Compare the current quote, the $25 par value, and the $1.78125 annualized coupon. Check RGA financial strength ratings, earnings, capital, and the latest disclosures before considering an entry.
Do not assume the 7.125% coupon is guaranteed. Coupons can be deferred for up to five consecutive years under the debenture terms, and the market price can fall below par.
Monitor the 5-year Treasury rate because the coupon resets on October 15, 2027 to the 5-year Treasury rate plus 3.456%, and then every five years. With the 5-year Treasury at 4.38% on July 30, 2026, the illustrative reset coupon would be about 7.84%.
A rising 5-year Treasury rate at the reset date could raise the coupon but may also reduce the price, while a falling rate could lower the coupon. The price also depends on the required spread.
Track RGA earnings, financial strength ratings, debt issuance, deployable capital, and any news that affects the holding company or reinsurance subsidiaries. Use limit orders because of thin volume.
Reassess the position if RGA credit deteriorates, senior or subordinated debt is downgraded, liquidity dries up, or the price diverges from the yield story without a clear explanation.
Investment research summary
RZC is a subordinated debenture of RGA, not an equity stake. It pays a fixed 7.125% coupon until October 15, 2027, then resets to a floating rate, and matures in 2052. Its value depends on RGA's ability to service the debt, not on earnings growth.
The debenture itself has no moat. RGA's moat in life and health reinsurance comes from proprietary mortality and morbidity data, underwriting expertise, global relationships, and the ability to execute large block transactions.
The income thesis can fail if RGA credit deteriorates, 5-year Treasury rates rise so much that the reset spread is unattractive, liquidity dries up, or the subordinated status means lower recovery in a stress event.
RGA is led by CEO Tony Cheng. The team has a record of disciplined underwriting, capital allocation, and shareholder returns. Laura Cockrill became CFO effective June 22, 2026 after the departure of Axel Andre, so finance leadership is transitioning. Management's credit discipline is the relevant risk for debtholders.
Life and health reinsurance is tied to aging populations, protection gaps, longevity risk, and demand for capital optimization. It is a durable but regulated, capital-intensive, and claims-sensitive industry.
Margin of safety for RZC comes from the current yield, RGA credit strength, and the reset spread. The small premium to par and the 2027 reset date mean the price is not a deep bargain.
Source-backed data
Every metric below includes a source and last verification date.
| Metric | Value | Source | Last verified |
|---|---|---|---|
| Security type and terms | 7.125% fixed-rate reset subordinated debentures due 2052; $25 par per debenture; $700 million aggregate principal amount; fixed until October 15, 2027; then 5-year Treasury rate plus 3.456% reset every five years; interest quarterly on January 15, April 15, July 15, and October 15; interest may be deferred for up to five consecutive years | SEC 424B2 filing for RZC | August 2, 2026 |
| RZC price and volume | $25.56 close on July 31, 2026; day range $25.36 to $25.68; trailing 12-month range $25.14 to $26.17; volume 91,000 on July 31; average volume about 41,020 | Financial Modeling Prep quote and historical EOD APIs | August 2, 2026 |
| RZC current yield | 6.97% from $1.78125 annual coupon divided by $25.56 price, calculated with financial_rigor.py | Financial Modeling Prep and local financial_rigor.py | August 2, 2026 |
| RZC credit rating | AM Best assigned a bbb+ long-term issue credit rating to the subordinated debentures with a stable outlook, as of February 12, 2026 | AM Best rating disclosure report | February 12, 2026 |
| RGA market cap verification | $15.52 billion from $236.85 times 65.51 million shares, verified with financial_rigor.py | Financial Modeling Prep RGA quote and local financial_rigor.py | August 2, 2026 |
| RGA FY2025 financials | Total revenue $23.70 billion, net income available to RGA shareholders $1.18 billion, diluted EPS $17.69, book value per share $202.93 as of March 31, 2026 | RGA 2025 10-K and Q1 2026 earnings release | February 20, 2026 |
| RGA valuation math | P/E 12.87x, P/B 1.17x, dividend yield 1.57% from financial_rigor.py; based on $236.85 price, $18.40 TTM EPS, $202.93 book value per share, $3.72 annual dividend | Financial Modeling Prep and local financial_rigor.py | August 2, 2026 |
| RGA Q1 2026 results | Revenue $6.49 billion, net income $330 million, diluted EPS $4.98 | RGA Q1 2026 earnings release | May 7, 2026 |
| RGA management and capital | CEO Tony Cheng; Laura Cockrill appointed EVP and CFO effective June 22, 2026 after the departure of Axel Andre; Q2 2026 results scheduled for August 6, 2026 | RGA SEC 8-K filings and earnings calendar | August 2, 2026 |
| 5-year Treasury rate | 4.38% on July 30, 2026 | FRED DGS5 | August 2, 2026 |
| Reset rate illustration | If the 5-year Treasury rate were 4.38% at the first reset date, the reset coupon would be about 7.84% (4.38% plus 3.456%) | SEC 424B2 and FRED DGS5 | August 2, 2026 |
| RGA financial strength and senior debt ratings | Financial strength ratings of A+ (AM Best) and A1 (Moody's); senior debt ratings of A (S&P), a- (AM Best), and Baa1 (Moody's) | RGA 2025 10-K and AM Best rating report | February 20, 2026 |
This RZC AI stock analysis is an informational tool for research and education only. It is not investment advice, a recommendation, or a guarantee of future performance. Forecast ranges are scenarios based on available data as of July 31, 2026 and can be wrong. RZC is a subordinated debenture and is not common equity. Verify the current prospectus, credit ratings, quote, and bid-ask spread before acting.
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