Travelers Companies Lowered to “Neutral” at Zacks (TRV)
Travelers Companies (NYSE:TRV) was downgraded by Zacks from an “outperform” rating to a “neutral” rating in a report issued on Thursday. They currently have a $99.00 price objective on the stock. Zacks‘s target price points to a potential upside of 4.47% from the stock’s previous close.
Zacks’ analyst wrote, “We are downgrading Travelers to Neutral from Outperform given its mixed second quarter results. Earnings missed the Zacks Consensus Estimate and fell year over year but revenues fared well. Higher-than-expected catastrophe losses were largely responsible for the earnings underperformance. Nonetheless, it witnessed written rate gains higher than expected loss cost trends across all segments. It is also worth noting that Travelers’ lower cost, lower-priced Auto insurance product, Quantum 2.0 continues to attract new business. High retention rate, pricing gains, positive renewal rate changes, and a strong capital position that would enhance shareholders’ value are among the positives. The company’s inorganic growth trajectory seems impressive. Additionally, the cost reduction plans are expected to enhance the company’s savings by 2015. “
In other Travelers Companies news, Chairman William H. Heyman sold 6,000 shares of Travelers Companies stock on the open market in a transaction that occurred on Monday, August 25th. The stock was sold at an average price of $94.38, for a total value of $566,280.00. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link.
A number of other firms have also recently commented on TRV. Analysts at Sandler O’Neill downgraded shares of Travelers Companies from a “buy” rating to a “hold” rating in a research note on Monday, July 28th. Separately, analysts at FBR Capital Markets raised their price target on shares of Travelers Companies from $99.00 to $107.00 in a research note on Monday, July 21st. They now have an “outperform” rating on the stock. Finally, analysts at BMO Capital Markets downgraded shares of Travelers Companies from an “outperform” rating to a “market perform” rating in a research note on Monday, June 16th. They now have a $98.00 price target on the stock, up previously from $96.00. They noted that the move was a valuation call. One analyst has rated the stock with a sell rating, seven have issued a hold rating and five have assigned a buy rating to the company. The company has a consensus rating of “Hold” and an average target price of $98.00.
Shares of Travelers Companies (NYSE:TRV) traded down 0.08% during mid-day trading on Thursday, hitting $94.68. The stock had a trading volume of 453,213 shares. Travelers Companies has a 52 week low of $79.12 and a 52 week high of $96.18. The stock has a 50-day moving average of $92.65 and a 200-day moving average of $89.78. The company has a market cap of $32.101 billion and a P/E ratio of 9.56.
Travelers Companies (NYSE:TRV) last issued its quarterly earnings data on Tuesday, July 22nd. The company reported $1.93 earnings per share for the quarter, missing the analysts’ consensus estimate of $2.07 by $0.14. The company had revenue of $6.79 billion for the quarter, compared to the consensus estimate of $6.16 billion. During the same quarter last year, the company posted $2.13 earnings per share. The company’s quarterly revenue was up 5.8% on a year-over-year basis. Analysts expect that Travelers Companies will post $9.25 EPS for the current fiscal year.
The company also recently declared a quarterly dividend, which is scheduled for Tuesday, September 30th. Shareholders of record on Wednesday, September 10th will be given a dividend of $0.55 per share. This represents a $2.20 dividend on an annualized basis and a yield of 2.32%. The ex-dividend date of this dividend is Monday, September 8th.
The Travelers Companies, Inc (NYSE:TRV) is a holding company.
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