In the latest close session, Progressive (PGR) was up +1.93% at $206.92. The stock's change was more than the S&P 500's daily gain of 0.55%. On the other hand, the Dow registered a gain of 0.63%, and the technology-centric Nasdaq increased by 0.91%.
Shares of the insurer witnessed a loss of 10.83% over the previous month, trailing the performance of the Finance sector with its gain of 0.37%, and the S&P 500's gain of 0.71%.
The investment community will be closely monitoring the performance of Progressive in its forthcoming earnings report. The company is scheduled to release its earnings on January 28, 2026. The company is expected to report EPS of $4.44, up 8.82% from the prior-year quarter. In the meantime, our current consensus estimate forecasts the revenue to be $21.94 billion, indicating a 7.93% growth compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $17.99 per share and a revenue of $86.2 billion, indicating changes of +28.04% and 0%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Progressive. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.54% lower within the past month. Currently, Progressive is carrying a Zacks Rank of #4 (Sell).
With respect to valuation, Progressive is currently being traded at a Forward P/E ratio of 12.38. This indicates a premium in contrast to its industry's Forward P/E of 10.29.
It's also important to note that PGR currently trades at a PEG ratio of 1.24. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Insurance - Property and Casualty industry had an average PEG ratio of 2.42 as trading concluded yesterday.
The Insurance - Property and Casualty industry is part of the Finance sector. With its current Zacks Industry Rank of 157, this industry ranks in the bottom 36% of all industries, numbering over 250.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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The Progressive Corporation (PGR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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