Brighthouse Financial (NASDAQ:BHF) will likely fall 5%-8% after news that MetLife (MET +0.3%) plans to swap about $1.1B of BHF stock to retire debt and, as a result, exit its stake in the unit it spun off last year, Bloomberg reports, citing Credit Suisse note by Andrew Kligerman.
BHF +1% to $46.50 in early trading.
Kligerman cut his price target on BHF, which he rates as underperform, to $40.50 from $44.
BHF has 2 buys, 9 holds, 3 sells, average price target of $58: Bloomberg data.
Previously: Brighthouse Financial announces secondary stock offering (June 12)