In the latest close session, Progressive (PGR) was up +1.14% at $204.08. The stock's change was more than the S&P 500's daily gain of 0.69%. Elsewhere, the Dow gained 0.47%, while the tech-heavy Nasdaq added 0.9%.
Prior to today's trading, shares of the insurer had lost 2.49% lagged the Finance sector's loss of 1.46% and the S&P 500's loss of 1%.
Investors will be eagerly watching for the performance of Progressive in its upcoming earnings disclosure. The company is forecasted to report an EPS of $4.55, showcasing a 2.15% downward movement from the corresponding quarter of the prior year. In the meantime, our current consensus estimate forecasts the revenue to be $22.55 billion, indicating a 9.37% growth compared to the corresponding quarter of the prior year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $16.33 per share and a revenue of $92.77 billion, representing changes of -10.52% and +6.7%, respectively, from the prior year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Progressive. These revisions help to show the ever-changing nature of near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the business outlook.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.27% lower. Currently, Progressive is carrying a Zacks Rank of #3 (Hold).
Looking at valuation, Progressive is presently trading at a Forward P/E ratio of 12.35. This signifies a premium in comparison to the average Forward P/E of 10.53 for its industry.
Also, we should mention that PGR has a PEG ratio of 8.82. 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 average PEG ratio for the Insurance - Property and Casualty industry stood at 2.15 at the close of the market yesterday.
The Insurance - Property and Casualty industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 87, finds itself in the top 36% echelons of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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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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