Zacks Investment Research upgraded shares of Travelers Companies (NYSE:TRV) from a sell rating to a hold rating in a report released on Tuesday morning.
According to Zacks, “Travelers boasts a strong market position as one of the leading writers of auto and homeowners’ insurance and commercial U.S. property-casualty insurance with impressive inorganic growth story. It has been generating sufficient capital and prudently using it to boost shareholders’ value and pursue growth initiatives. Solid retention and positive renewal rate change are the positives. With the rising interest rate environment, Travelers expects $20-$25 million higher after-tax net investment income on a quarterly basis in 2019. However, exposure to catastrophe loss remains headwind for underwriting results. Shares of Travelers have underperformed the industry year to date. Also, the company did not witness any earnings movement for its 2018 and 2019 estimates in the last 60 days.”
TRV has been the topic of several other research reports. Wells Fargo & Co reaffirmed a hold rating and set a $142.00 price objective on shares of Travelers Companies in a report on Thursday, July 19th. ValuEngine raised Travelers Companies from a sell rating to a hold rating in a report on Thursday, July 19th. Credit Suisse Group initiated coverage on Travelers Companies in a research note on Tuesday, August 7th. They issued a neutral rating and a $141.00 price target on the stock. Citigroup set a $144.00 price target on Travelers Companies and gave the company a buy rating in a research note on Thursday, July 12th. Finally, Sandler O’Neill reissued a hold rating and issued a $130.00 price target on shares of Travelers Companies in a research note on Friday, July 13th. Two analysts have rated the stock with a sell rating, ten have assigned a hold rating and five have issued a buy rating to the company’s stock. Travelers Companies presently has an average rating of Hold and an average price target of $137.93.
Travelers Companies (NYSE:TRV) last posted its quarterly earnings data on Thursday, July 19th. The insurance provider reported $1.81 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.43 by ($0.62). Travelers Companies had a return on equity of 8.84% and a net margin of 6.89%. The firm had revenue of $7.44 billion for the quarter, compared to analyst estimates of $7.35 billion. analysts expect that Travelers Companies will post 9.95 earnings per share for the current year.
The business also recently declared a quarterly dividend, which will be paid on Friday, September 28th. Stockholders of record on Monday, September 10th will be paid a $0.77 dividend. This represents a $3.08 dividend on an annualized basis and a dividend yield of 2.35%. The ex-dividend date is Friday, September 7th. Travelers Companies’s dividend payout ratio (DPR) is currently 42.31%.
In related news, Vice Chairman Jay S. Benet sold 8,876 shares of the company’s stock in a transaction on Tuesday, August 21st. The shares were sold at an average price of $132.00, for a total value of $1,171,632.00. Following the completion of the sale, the insider now owns 94,176 shares in the company, valued at approximately $12,431,232. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, EVP Andy F. Bessette sold 8,892 shares of the company’s stock in a transaction on Friday, August 17th. The shares were sold at an average price of $130.78, for a total transaction of $1,162,895.76. Following the completion of the sale, the executive vice president now owns 10,551 shares of the company’s stock, valued at approximately $1,379,859.78. The disclosure for this sale can be found here. 0.80% of the stock is owned by corporate insiders.
Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Eqis Capital Management Inc. increased its position in shares of Travelers Companies by 4.5% in the 2nd quarter. Eqis Capital Management Inc. now owns 9,113 shares of the insurance provider’s stock valued at $1,115,000 after buying an additional 390 shares in the last quarter. Impax Asset Management LLC increased its holdings in Travelers Companies by 15.2% during the 1st quarter. Impax Asset Management LLC now owns 3,041 shares of the insurance provider’s stock worth $422,000 after purchasing an additional 401 shares in the last quarter. Thrivent Financial for Lutherans increased its holdings in Travelers Companies by 3.6% during the 1st quarter. Thrivent Financial for Lutherans now owns 11,837 shares of the insurance provider’s stock worth $1,644,000 after purchasing an additional 406 shares in the last quarter. CIBC Asset Management Inc increased its holdings in Travelers Companies by 1.6% during the 2nd quarter. CIBC Asset Management Inc now owns 26,640 shares of the insurance provider’s stock worth $3,259,000 after purchasing an additional 425 shares in the last quarter. Finally, Clean Yield Group increased its holdings in Travelers Companies by 26.0% during the 2nd quarter. Clean Yield Group now owns 2,068 shares of the insurance provider’s stock worth $253,000 after purchasing an additional 427 shares in the last quarter. Institutional investors and hedge funds own 78.97% of the company’s stock.
Travelers Companies Company Profile
The Travelers Companies, Inc, through its subsidiaries, provides a range of commercial and personal property, and casualty insurance products and services to businesses, government units, associations, and individuals in the United states and internationally. The company operates through three segments: Business Insurance, Bond & Specialty Insurance, and Personal Insurance.
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