Property and casualty insurer Travelers (NYSE:TRV) will be reporting results this Thursday before the bell. Here’s what to look for.
Travelers missed analysts’ revenue expectations by 2.3% last quarter, reporting revenues of $11.87 billion, up 6% year on year. It was a slower quarter for the company, with a significant miss of analysts’ book value per share estimates and a miss of analysts’ net premiums earned estimates.
Is Travelers a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Travelers’s revenue to grow 7.5% year on year to $12.13 billion, slowing from the 11.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $3.60 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Travelers has missed Wall Street’s revenue estimates four times over the last two years.
With Travelers being the first among its peers to report earnings this season, we don’t have anywhere else to look to get a hint at how this quarter will unravel for insurance stocks. However, the segment has faced declining investor sentiment as Travelers’s peer group is down 4.1% on average over the last month. Travelers is down 5.9% during the same time and is heading into earnings with an average analyst price target of $281.27 (compared to the current share price of $249.50).
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