Zacks Investment Research upgraded shares of Allstate (NYSE:ALL) from a hold rating to a buy rating in a research note published on Tuesday. They currently have $92.00 price objective on the insurance provider’s stock.
According to Zacks, “Allstate Corporation is poised to grow on the back of its well-performing property and liability segment. A number of initiatives undertaken by Allstate to improve profitability in the auto segment will also drive long-term growth. A strong balance sheet and intelligent capital management are other positives. The acquisition of SquareTrade and InfoArmor will diversify its operations in the months ahead. However, shares of the company have lost more than its industry in a year’s time. Allstate is exposed to catastrophe losses, owing to the large property insurance business. The underperforming Encompass brand is another drag. Escalating expenses due to constant investments also remain a concern for the company. “
ALL has been the subject of a number of other reports. Citigroup reduced their price objective on shares of Allstate from $115.00 to $105.00 and set a buy rating for the company in a research note on Friday, November 2nd. Wells Fargo & Co set a $100.00 price objective on shares of Allstate and gave the company a hold rating in a research note on Thursday, December 13th. ValuEngine downgraded shares of Allstate from a hold rating to a sell rating in a report on Wednesday, January 2nd. Credit Suisse Group cut their price target on shares of Allstate from $112.00 to $93.00 and set a buy rating for the company in a report on Thursday, December 20th. Finally, Morgan Stanley cut their price target on shares of Allstate from $105.00 to $102.00 and set a hold rating for the company in a report on Wednesday, November 14th. One investment analyst has rated the stock with a sell rating, seven have assigned a hold rating and five have given a buy rating to the stock. The company has an average rating of Hold and a consensus price target of $99.27.
Allstate (NYSE:ALL) last released its quarterly earnings data on Wednesday, October 31st. The insurance provider reported $1.93 earnings per share for the quarter, missing analysts’ consensus estimates of $2.21 by ($0.28). Allstate had a net margin of 9.38% and a return on equity of 15.48%. The business had revenue of $8.60 billion during the quarter, compared to analysts’ expectations of $8.51 billion. During the same quarter in the prior year, the firm posted $1.60 earnings per share. The firm’s quarterly revenue was up 5.8% on a year-over-year basis. Sell-side analysts forecast that Allstate will post 8.27 EPS for the current year.
The company also recently declared a quarterly dividend, which was paid on Wednesday, January 2nd. Shareholders of record on Friday, November 30th were issued a $0.46 dividend. This represents a $1.84 annualized dividend and a yield of 2.20%. The ex-dividend date was Thursday, November 29th. Allstate’s payout ratio is 27.42%.
In other news, EVP Jesse E. Merten sold 696 shares of Allstate stock in a transaction on Wednesday, November 7th. The shares were sold at an average price of $92.12, for a total transaction of $64,115.52. Following the completion of the sale, the executive vice president now directly owns 2,102 shares of the company’s stock, valued at approximately $193,636.24. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 1.40% of the stock is owned by company insiders.
Hedge funds and other institutional investors have recently bought and sold shares of the company. Patriot Financial Group Insurance Agency LLC bought a new stake in shares of Allstate during the 3rd quarter worth $110,000. IMS Capital Management bought a new stake in Allstate in the third quarter worth $114,000. Stelac Advisory Services LLC bought a new stake in Allstate in the third quarter worth $128,000. O Shaughnessy Asset Management LLC lifted its stake in Allstate by 1,316.0% in the third quarter. O Shaughnessy Asset Management LLC now owns 1,331 shares of the insurance provider’s stock worth $131,000 after purchasing an additional 1,237 shares during the last quarter. Finally, Cornerstone Wealth Management LLC bought a new stake in Allstate in the third quarter worth $146,000. 77.06% of the stock is owned by institutional investors.
The Allstate Corporation, together with its subsidiaries, engages in property and casualty insurance, and life insurance businesses in the United States and Canada. The company's Allstate Protection segment sells private passenger auto and homeowners insurance; specialty auto products, including motorcycle, trailer, motor home, and off-road vehicle insurance policies; other personal lines products, including renter, condominium, landlord, boat, umbrella, and manufactured home insurance policies; and commercial lines products under the Allstate, Esurance, and Encompass brand names.
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