Pet insurance provider Trupanion (NASDAQ: TRUP) will be announcing earnings results this Thursday afternoon. Here’s what to look for.
Trupanion beat analysts’ revenue expectations by 0.9% last quarter, reporting revenues of $342 million, up 11.7% year on year. It was a slower quarter for the company, with a significant miss of analysts’ EPS estimates.
Is Trupanion a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Trupanion’s revenue to grow 11% year on year to $349.5 million, slowing from the 16.3% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.67 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. Trupanion has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time over the past two years by 1.4% on average.
Looking at Trupanion’s peers in the property & casualty insurance segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Mercury General delivered year-on-year revenue growth of 13.2%, beating analysts’ expectations by 2%, and Allstate reported revenues up 6%, falling short of estimates by 0.7%. Mercury General’s stock price was unchanged after the resultswhile Allstate was up 5.7%.
Read our full analysis of Mercury General’s results here and Allstate’s results here.
Investors in the property & casualty insurance segment have had fairly steady hands going into earnings, with share prices down 2% on average over the last month. Trupanion is down 7.6% during the same time and is heading into earnings with an average analyst price target of $53 (compared to the current share price of $47.93).
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