Allstate (NYSE:ALL) Downgraded by Wall Street Zen to Buy

Wall Street Zen cut shares of Allstate (NYSE:ALL) from a strong-buy rating to a buy rating in a research report sent to investors on Sunday,Wall Street Zen reports.

Other equities research analysts have also recently issued research reports about the company. JPMorgan Chase & Co. raised their target price on Allstate from $282.00 to $292.00 and gave the stock an “overweight” rating in a research note on Tuesday, August 11th. Morgan Stanley dropped their price target on Allstate from $265.00 to $240.00 and set an “equal weight” rating on the stock in a research note on Tuesday, October 6th. Cantor Fitzgerald increased their price target on Allstate from $236.00 to $242.00 and gave the stock a “neutral” rating in a report on Thursday, July 9th. Keefe, Bruyette & Woods cut their price target on Allstate from $250.00 to $232.00 and set an “underperform” rating on the stock in a report on Monday, October 12th. Finally, Argus set a $238.00 price objective on shares of Allstate in a research report on Friday, August 28th. Two equities research analysts have rated the stock with a Strong Buy rating, eight have assigned a Buy rating, nine have given a Hold rating and three have given a Sell rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and an average price target of $270.19.

Allstate Stock Performance

Shares of ALL opened at $253.24 on Friday. The company has a current ratio of 0.36, a quick ratio of 0.36 and a debt-to-equity ratio of 0.24. The stock has a market capitalization of $64.03 billion, a P/E ratio of 5.06, a price-to-earnings-growth ratio of 0.56 and a beta of 0.13. The firm’s fifty day simple moving average is $245.78 and its two-hundred day simple moving average is $236.83. Allstate has a 12 month low of $188.08 and a 12 month high of $277.22.

Allstate (NYSE:ALL) last issued its quarterly earnings results on Wednesday, August 5th. The insurance provider reported $8.99 earnings per share for the quarter, topping analysts’ consensus estimates of $6.06 by $2.93. The firm had revenue of $18.60 billion during the quarter, compared to the consensus estimate of $15.46 billion. Allstate had a return on equity of 41.64% and a net margin of 18.97%. The business’s revenue was up 11.8% compared to the same quarter last year. During the same period last year, the business posted $5.94 EPS. As a group, analysts predict that Allstate will post 36.21 EPS for the current year.

Insider Buying and Selling

In other Allstate news, insider John E. Dugenske sold 32,996 shares of the firm’s stock in a transaction that occurred on Friday, August 7th. The stock was sold at an average price of $269.33, for a total value of $8,886,812.68. Following the completion of the sale, the insider owned 13,054 shares of the company’s stock, valued at approximately $3,515,833.82. This trade represents a 71.65% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, COO Mario Rizzo sold 56,225 shares of the firm’s stock in a transaction that occurred on Tuesday, August 11th. The shares were sold at an average price of $264.48, for a total value of $14,870,388.00. Following the completion of the sale, the chief operating officer directly owned 82,227 shares of the company’s stock, valued at $21,747,396.96. This trade represents a 40.61% decrease in their position. The disclosure for this sale is available in the SEC filing. 1.55% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Allstate

A number of institutional investors have recently modified their holdings of the company. BlackRock Inc. acquired a new stake in Allstate in the 2nd quarter valued at $5,439,448,000. Bank of America Corp DE raised its holdings in Allstate by 8.1% during the first quarter. Bank of America Corp DE now owns 7,913,320 shares of the insurance provider’s stock worth $1,640,748,000 after buying an additional 596,321 shares during the last quarter. GQG Partners LLC acquired a new position in Allstate during the second quarter worth $1,245,710,000. Deutsche Bank AG bought a new position in shares of Allstate in the second quarter valued at $1,008,648,000. Finally, Dimensional Fund Advisors LP lifted its stake in shares of Allstate by 5.8% in the first quarter. Dimensional Fund Advisors LP now owns 2,804,615 shares of the insurance provider’s stock valued at $581,515,000 after buying an additional 154,259 shares in the last quarter. 76.47% of the stock is owned by institutional investors and hedge funds.

Allstate News Summary

Here are the key news stories impacting Allstate this week:

• Positive Sentiment: Allstate prevailed in a Texas coverage dispute involving a vacant property. The ruling supports the insurer’s ability to enforce policy vacancy provisions, potentially limiting claims costs and reinforcing underwriting discipline. Vacant clause can void cover: US court backs Allstate in Texas case
• Positive Sentiment: Allstate retained $9,000 in a subrogation-related dispute after a court placed the premature filing cost on the opposing liability carrier. The financial impact is small, but the decision may support Allstate’s claims-handling position. Allstate keeps $9,000 as premature subrogation cost falls on liability carrier
• Positive Sentiment: Bank of America raised its price target on Allstate to $340 from $336, signaling continued confidence in the insurer’s earnings outlook and valuation. BofA raises target from $336 to $340
• Positive Sentiment: A valuation-focused analysis said Allstate still appears inexpensive despite a 131% advance, potentially attracting investors who expect further benefits from strong insurance pricing and improved profitability. Allstate stock still looks cheap after its 131% run
• Neutral Sentiment: Allstate shares gained 3.76% in the referenced session, although KBW maintained its Sell rating, highlighting a disconnect between short-term trading momentum and analyst conviction. KBW keeps Sell rating
• Neutral Sentiment: UBS reiterated its Hold rating, offering no new catalyst but indicating the firm sees limited justification for changing its current view. UBS keeps Hold rating
• Negative Sentiment: Analysts expect Allstate’s third-quarter earnings per share to decline by double digits year over year, creating concern ahead of the company’s November earnings release. What to expect from Allstate’s next quarterly earnings report
• Negative Sentiment: KBW’s continued Sell rating remains a notable overhang, suggesting the firm believes Allstate’s strong rally has outpaced its fundamental value. KBW keeps Sell rating
• Negative Sentiment: The price target for Allstate’s preferred stock was reduced 12.29% to $19.21, signaling weaker expectations for that security, although it does not directly change the valuation of the common shares. Allstate preferred stock price target decreased

Allstate Company Profile

Allstate Corp. (NYSE: ALL) is an insurance company that provides protection products and related services primarily in the United States. Its offerings include automobile, homeowners, renters, condominium, motorcycle and other personal property and casualty insurance, distributed through agents, brokers, direct channels and digital platforms.

The company also provides roadside assistance, identity-protection services and protection plans for consumer products. Through its acquisition of National General, Allstate expanded its presence in independent-agent distribution and specialty personal insurance.