Progressive (PGR) Outpaces Stock Market Gains: What You Should Know
Progressive (PGR) closed the most recent trading day at $72.48, moving +0.93% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.18%. Meanwhile, the Dow gained 0.24%, and the Nasdaq, a tech-heavy index, added 0.03%.
Coming into today, shares of the insurer had gained 13.46% in the past month. In that same time, the Finance sector gained 2.83%, while the S&P 500 gained 4.28%.
PGR will be looking to display strength as it nears its next earnings release. On that day, PGR is projected to report earnings of $1.40 per share, which would represent year-over-year growth of 14.75%. Our most recent consensus estimate is calling for quarterly revenue of $8.76 billion, up 17.18% from the year-ago period.
PGR's full-year Zacks Consensus Estimates are calling for earnings of $5.05 per share and revenue of $37.26 billion. These results would represent year-over-year changes of +14.25% and +15.06%, respectively.
It is also important to note the recent changes to analyst estimates for PGR. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 3% higher. PGR is holding a Zacks Rank of #1 (Strong Buy) right now.
Digging into valuation, PGR currently has a Forward P/E ratio of 14.21. For comparison, its industry has an average Forward P/E of 13.02, which means PGR is trading at a premium to the group.
We can also see that PGR currently has a PEG ratio of 1.94. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Insurance - Property and Casualty industry currently had an average PEG ratio of 1.24 as of yesterday's close.
The Insurance - Property and Casualty industry is part of the Finance sector. This group has a Zacks Industry Rank of 105, putting it in the top 42% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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