EUR/USD likely to find a peak near 1.25: UBS
Investing.com - Keefe, Bruyette & Woods maintained its Outperform rating and $235.00 price target on Allstate (NYSE:ALL) stock following the insurer’s May catastrophe losses and policy-in-force growth updates.
The research firm lowered its earnings per share estimates for Allstate to $17.30 from $17.75 for 2025 and to $20.45 from $20.90 for 2026, citing higher catastrophe losses. These reductions were partially offset by expectations of faster auto policy-in-force and premium growth, with the company showing strong revenue growth of 11.5% in the last twelve months.
KBW introduced its initial 2027 earnings per share estimate for Allstate at $22.35, demonstrating continued projected growth for the insurance provider despite the near-term adjustments.
The firm’s $235 price target represents 11.5 times its 2026 estimated earnings per share for Allstate, reflecting confidence in the company’s future performance despite the revised earnings outlook.
KBW expects Allstate’s upcoming quarterly results to show accelerating written and earned personal auto rate increases, with potential upside from the insurer’s relatively short-duration fixed income portfolio likely to emerge quickly.
In other recent news, Allstate Corporation conducted its annual stockholders meeting, resulting in the election of thirteen directors and the approval of executive compensation proposals. Stockholders also ratified the appointment of Deloitte & Touche LLP as the independent registered public accountant for the fiscal year 2025. Meanwhile, BMO Capital Markets maintained an Outperform rating on Allstate, setting a price target of $230, citing a positive outlook despite recent policy growth figures falling short of expectations. Keefe, Bruyette & Woods also reaffirmed their Outperform rating with a $235 price target, despite Allstate reporting substantial catastrophe losses for April totaling $594 million. Analysts at both firms remain optimistic about Allstate’s future performance, with BMO Capital adjusting its earnings per share projections upward for 2025 and 2026. Keefe, Bruyette & Woods highlighted a deceleration in the decrease of auto policies in force, suggesting potential positive growth. BMO Capital’s analysis anticipates improved customer retention rates, although tempered by shifts in customer mix. These developments reflect continued confidence in Allstate’s strategic positioning and potential for growth in the competitive insurance market.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.