Travelers Companies (NYSE:TRV) Hits New 1-Year High on Analyst Upgrade

Shares of The Travelers Companies, Inc. (NYSE:TRV) hit a new 52-week high during mid-day trading on Friday after Keefe, Bruyette & Woods raised their price target on the stock from $320.00 to $340.00. Keefe, Bruyette & Woods currently has an outperform rating on the stock. Travelers Companies traded as high as $304.94 and last traded at $304.7970, with a volume of 1346883 shares trading hands. The stock had previously closed at $299.90.

A number of other equities research analysts have also commented on TRV. Morgan Stanley increased their price target on Travelers Companies from $285.00 to $295.00 and gave the stock an “equal weight” rating in a research report on Monday, November 17th. Citigroup reissued a “neutral” rating on shares of Travelers Companies in a research note on Tuesday, January 27th. Jefferies Financial Group raised Travelers Companies to a “hold” rating in a report on Tuesday, January 6th. Barclays decreased their price objective on shares of Travelers Companies from $315.00 to $312.00 and set an “equal weight” rating on the stock in a report on Thursday, January 8th. Finally, The Goldman Sachs Group downgraded shares of Travelers Companies from a “buy” rating to a “neutral” rating and set a $304.00 target price for the company. in a research note on Wednesday, January 7th. Two equities research analysts have rated the stock with a Strong Buy rating, five have given a Buy rating, ten have assigned a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Travelers Companies presently has an average rating of “Hold” and a consensus price target of $304.33.

Insider Buying and Selling at Travelers Companies

In other news, EVP Jeffrey P. Klenk sold 16,712 shares of the firm’s stock in a transaction dated Friday, January 23rd. The shares were sold at an average price of $279.77, for a total value of $4,675,516.24. Following the transaction, the executive vice president owned 6,075 shares of the company’s stock, valued at approximately $1,699,602.75. This trade represents a 73.34% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Alan D. Schnitzer sold 55,733 shares of the business’s stock in a transaction that occurred on Wednesday, February 4th. The stock was sold at an average price of $294.70, for a total transaction of $16,424,515.10. Following the sale, the chief executive officer directly owned 260,329 shares of the company’s stock, valued at approximately $76,718,956.30. This trade represents a 17.63% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 101,765 shares of company stock valued at $29,877,543. 1.46% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the stock. Kemnay Advisory Services Inc. acquired a new position in shares of Travelers Companies during the 4th quarter worth about $26,000. Osterweis Capital Management Inc. grew its holdings in Travelers Companies by 1,820.0% during the second quarter. Osterweis Capital Management Inc. now owns 96 shares of the insurance provider’s stock valued at $26,000 after purchasing an additional 91 shares during the period. Delos Wealth Advisors LLC bought a new stake in Travelers Companies in the second quarter valued at approximately $27,000. Barnes Dennig Private Wealth Management LLC raised its holdings in Travelers Companies by 134.1% in the third quarter. Barnes Dennig Private Wealth Management LLC now owns 96 shares of the insurance provider’s stock worth $27,000 after purchasing an additional 55 shares during the period. Finally, Quaker Wealth Management LLC raised its holdings in Travelers Companies by 200.0% in the second quarter. Quaker Wealth Management LLC now owns 104 shares of the insurance provider’s stock worth $28,000 after purchasing an additional 208 shares during the period. 82.45% of the stock is currently owned by institutional investors.

Travelers Companies Trading Up 1.6%

The company has a market capitalization of $65.91 billion, a P/E ratio of 11.07, a PEG ratio of 2.84 and a beta of 0.51. The company has a debt-to-equity ratio of 0.28, a current ratio of 0.33 and a quick ratio of 0.33. The business’s 50-day moving average price is $287.74 and its two-hundred day moving average price is $280.49.

Travelers Companies (NYSE:TRV) last released its quarterly earnings data on Wednesday, January 21st. The insurance provider reported $11.13 EPS for the quarter, beating analysts’ consensus estimates of $8.34 by $2.79. Travelers Companies had a net margin of 12.88% and a return on equity of 20.70%. The business had revenue of $12.43 billion during the quarter, compared to analysts’ expectations of $11.13 billion. During the same quarter in the prior year, the company earned $9.15 EPS. The firm’s quarterly revenue was up 3.5% on a year-over-year basis. As a group, analysts forecast that The Travelers Companies, Inc. will post 17.02 EPS for the current fiscal year.

Travelers Companies Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Tuesday, March 10th will be issued a dividend of $1.10 per share. This represents a $4.40 annualized dividend and a dividend yield of 1.4%. The ex-dividend date is Tuesday, March 10th. Travelers Companies’s payout ratio is 15.98%.

Travelers Companies declared that its Board of Directors has initiated a stock buyback plan on Wednesday, January 21st that allows the company to repurchase $5.00 billion in shares. This repurchase authorization allows the insurance provider to repurchase up to 8.3% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s board believes its shares are undervalued.

About Travelers Companies

The Travelers Companies, Inc (NYSE: TRV) is a leading provider of property and casualty insurance products and services. The company underwrites a broad range of commercial and personal insurance lines, offering coverage designed to protect individuals, small and midsize businesses, and large corporate clients against property loss, liability, and other operational risks. Travelers is known for combining underwriting, claims management and risk control services to help clients prevent losses and recover when incidents occur.

On the commercial side, Travelers writes primary and specialty coverages including property, general liability, commercial auto, workers’ compensation, professional and management liability, surety and inland marine.