Property and casualty insurer Travelers (NYSE: TRV) will be announcing earnings results this Thursday before market hours. Here’s what to look for.
Travelers met analysts’ revenue expectations last quarter, reporting revenues of $12.11 billion, up 6.7% year on year. It was a mixed quarter for the company, with a beat of analysts’ EPS estimates but a significant miss of analysts’ book value per share estimates.
Is Travelers a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Travelers’s revenue to grow 4.1% year on year to $12.34 billion, slowing from the 10.7% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $6.30 per share.
Analysts covering the company have generally 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, investors in the segment have had steady hands going into earnings, with share prices flat over the last month. Travelers’s stock price was unchanged during the same time and is heading into earnings with an average analyst price target of $295.40 (compared to the current share price of $275.94).
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