Argus Raises Travelers (TRV) Target After Strong Q4 Earnings Beat

The Travelers Companies, Inc. (NYSE:TRV) is included among the 12 Best Dow Jones Dividend Stocks to Buy According to Hedge Funds.

On January 26, Argus expert Kevin Heal lifted his terms people connected The Travelers Companies, Inc. (NYSE:TRV) to $295 from $287 and reiterated a Buy standing aft the institution delivered a beardown fourth-quarter net beat. Heal said results came successful good up of expectations, helped by little catastrophe losses and a meaningful boost from nett concern income. Argus besides sees country for margins to amended arsenic Travelers continues raising prices connected car and homeowners policies portion keeping lawsuit retention steady.

According to Reuters, Travelers easy exceeded Wall Street’s fourth-quarter nett estimates connected January 21, driven by coagulated underwriting show and stronger concern returns. Insurance spending has remained resilient adjacent arsenic businesses and consumers propulsion backmost successful different areas, arsenic request for sum against fiscal risk, earthy disasters, and unexpected losses continues to clasp up. Net written premiums successful the 4th edged up 1% to $10.86 billion.

Catastrophe losses totaled $95 cardinal connected a pre-tax basis, mostly tied to wintertime storms that deed respective states. For US insurers, catastrophe losses stay a cardinal plaything factor, with net often shaped by the timing and severity of large upwind events. Travelers has been deliberately reducing vulnerability to ample spot risks wherever pricing does not afloat compensate for catastrophe exposure, sticking to disciplined underwriting portion immoderate competitors proceed to prioritize volume.

Underlying profitability improved arsenic well. The company’s combined ratio declined by 1.8 percent points to 82.2%, a level that signals premiums collected much than covered claims and expenses.

The Travelers Companies, Inc. (NYSE:TRV) provides spot and casualty security crossed auto, home, and concern lines, operating done its Business Insurance, Bond & Specialty Insurance, and Personal Insurance segments.

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