Allstate (NYSE:ALL) Announces Earnings Results, Beats Expectations By $2.93 EPS

Allstate (NYSE:ALL) announced its earnings results on Wednesday. The insurance provider reported $8.99 EPS for the quarter, topping the consensus estimate of $6.06 by $2.93, FiscalAI reports. Allstate had a net margin of 17.81% and a return on equity of 42.66%. The firm had revenue of $15.43 billion for the quarter, compared to the consensus estimate of $15.46 billion. During the same period last year, the company posted $5.94 EPS. The business’s quarterly revenue was up 11.8% on a year-over-year basis.

Allstate Stock Performance

Shares of ALL stock opened at $264.25 on Thursday. The company’s fifty day simple moving average is $238.96 and its 200-day simple moving average is $219.53. The company has a quick ratio of 0.36, a current ratio of 0.36 and a debt-to-equity ratio of 0.25. The firm has a market cap of $68.02 billion, a PE ratio of 5.83, a P/E/G ratio of 0.45 and a beta of 0.16. Allstate has a 12 month low of $188.08 and a 12 month high of $277.22.

Allstate Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Monday, August 31st will be issued a $1.08 dividend. The ex-dividend date is Monday, August 31st. This represents a $4.32 dividend on an annualized basis and a dividend yield of 1.6%. Allstate’s dividend payout ratio (DPR) is 9.53%.

Insider Buying and Selling at Allstate

In related news, Director Andrea Redmond sold 2,225 shares of the firm’s stock in a transaction on Monday, June 1st. The shares were sold at an average price of $202.91, for a total value of $451,474.75. Following the completion of the transaction, the director owned 2,225 shares of the company’s stock, valued at approximately $451,474.75. This trade represents a 50.00% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Mark Q. Prindiville sold 1,550 shares of Allstate stock in a transaction on Friday, May 22nd. The shares were sold at an average price of $216.27, for a total transaction of $335,218.50. Following the completion of the sale, the insider owned 27,558 shares in the company, valued at $5,959,968.66. The trade was a 5.32% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 1.55% of the company’s stock.

Hedge Funds Weigh In On Allstate

Several hedge funds have recently modified their holdings of ALL. Palisade Asset Management LLC bought a new stake in Allstate during the third quarter worth about $31,000. Birchwood Financial Partners Inc. bought a new position in Allstate in the fourth quarter valued at approximately $52,000. Mcguire Capital Advisors Inc. acquired a new position in shares of Allstate during the 4th quarter worth approximately $65,000. Wealth Watch Advisors INC acquired a new position in shares of Allstate during the 3rd quarter worth approximately $68,000. Finally, DV Equities LLC bought a new stake in shares of Allstate during the 4th quarter worth approximately $76,000. Institutional investors own 76.47% of the company’s stock.

Analyst Ratings Changes

ALL has been the subject of several research analyst reports. Evercore set a $240.00 price target on shares of Allstate in a report on Friday, July 10th. Keefe, Bruyette & Woods boosted their price objective on shares of Allstate from $242.00 to $255.00 and gave the company a “market perform” rating in a research report on Wednesday, July 8th. Piper Sandler reaffirmed an “overweight” rating on shares of Allstate in a research note on Thursday, May 28th. Morgan Stanley upped their target price on shares of Allstate from $215.00 to $240.00 and gave the stock an “equal weight” rating in a research note on Monday, July 6th. Finally, Wall Street Zen raised Allstate from a “hold” rating to a “buy” rating in a research note on Monday, July 20th. Three analysts have rated the stock with a Strong Buy rating, six have issued a Buy rating, twelve have given a Hold rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat.com, Allstate presently has an average rating of “Moderate Buy” and an average price target of $254.80.

Key Stories Impacting Allstate

Here are the key news stories impacting Allstate this week:

• Positive Sentiment: Significant earnings outperformance: The quarterly result substantially exceeded consensus expectations, indicating stronger-than-anticipated operating performance and supporting the positive investor reaction. Allstate Beats Q2 Earnings Estimates
• Positive Sentiment: Growth and profitability improved: Higher revenue, year-over-year EPS growth, and strong profitability metrics reinforce the case that Allstate is benefiting from favorable business momentum. Allstate Q2 Earnings Snapshot
• Positive Sentiment: High-profile Olympic partnership: Allstate was named a founding partner of the LA28 Olympic and Paralympic Games and the official home and auto insurance partner of Team USA. The agreement could increase brand visibility, although its direct financial impact is uncertain. Allstate Named LA28 Founding Partner
• Neutral Sentiment: A pre-earnings outlook had warned that weaker property-liability underwriting could pressure results, but the reported earnings beat suggests those concerns were outweighed by other performance drivers. Allstate Q2 Earnings Outlook
• Negative Sentiment: A driver has sued Allstate, alleging the insurer incorrectly identified the at-fault party. The individual claim is unlikely to drive the stock, but litigation remains a potential liability and reputational risk. Driver Sues Allstate

Allstate Company Profile

Allstate Corporation is a publicly traded insurance company headquartered in Northbrook, Illinois, and is one of the largest personal lines property and casualty insurers in the United States. Founded in 1931 as a subsidiary of Sears, Roebuck and Co, Allstate has grown into a diversified insurer that serves millions of consumers and businesses through a mix of distribution channels and product offerings.

The company underwrites a broad range of insurance products, with primary emphasis on auto and homeowners coverage.