Travelers Companies (NYSE:TRV) Sets New 12-Month High – Here’s Why

The Travelers Companies, Inc. (NYSE:TRV)’s stock price reached a new 52-week high on Wednesday. The stock traded as high as $407.95 and last traded at $408.0930, with a volume of 1,041,801 shares. The stock had previously closed at $395.41.

Analysts Set New Price Targets

A number of equities analysts have recently issued reports on the company. Roth Capital restated a “buy” rating on shares of Travelers Companies in a research report on Monday, October 26th. TD Cowen lowered shares of Travelers Companies from a “hold” rating to a “sell” rating and set a $297.00 price target for the company. in a report on Monday, July 13th. Evercore downgraded shares of Travelers Companies from an “outperform” rating to an “in-line” rating and set a $329.00 price target on the stock. in a research report on Friday, July 10th. The Goldman Sachs Group lowered shares of Travelers Companies from a “neutral” rating to a “sell” rating and set a $350.00 price objective on the stock. in a research note on Monday, July 20th. Finally, Mizuho increased their price objective on shares of Travelers Companies from $345.00 to $371.00 and gave the stock a “neutral” rating in a research report on Tuesday, October 20th. Three investment analysts have rated the stock with a Strong Buy rating, four have issued a Buy rating, thirteen have assigned a Hold rating and five have issued a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $366.37.

Travelers Companies Price Performance

The stock has a market capitalization of $83.80 billion, a PE ratio of 10.72, a price-to-earnings-growth ratio of 2.76 and a beta of 0.40. The stock’s 50 day moving average price is $375.72 and its 200-day moving average price is $330.78. The company has a quick ratio of 0.33, a current ratio of 0.33 and a debt-to-equity ratio of 0.34.

Travelers Companies (NYSE:TRV) last posted its earnings results on Friday, October 16th. The insurance provider reported $9.18 EPS for the quarter, beating analysts’ consensus estimates of $7.39 by $1.79. The firm had revenue of $12.41 billion for the quarter, compared to the consensus estimate of $11.36 billion. Travelers Companies had a net margin of 17.03% and a return on equity of 26.19%. The company’s revenue was down .5% on a year-over-year basis. During the same period last year, the firm posted $8.14 EPS. As a group, equities analysts forecast that The Travelers Companies, Inc. will post 36.27 EPS for the current year.

Travelers Companies Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 31st. Investors of record on Thursday, December 10th will be issued a $1.25 dividend. This represents a $5.00 annualized dividend and a yield of 1.2%. The ex-dividend date of this dividend is Thursday, December 10th. Travelers Companies’s payout ratio is currently 13.11%.

Insider Buying and Selling

In related news, EVP Maria Olivo sold 15,100 shares of the firm’s stock in a transaction that occurred on Wednesday, October 21st. The stock was sold at an average price of $398.44, for a total value of $6,016,444.00. Following the sale, the executive vice president directly owned 103,642 shares in the company, valued at $41,295,118.48. This trade represents a 12.72% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, EVP Gregory C. Toczydlowski sold 34,771 shares of Travelers Companies stock in a transaction dated Thursday, October 22nd. The shares were sold at an average price of $403.89, for a total transaction of $14,043,659.19. Following the sale, the executive vice president owned 18,416 shares in the company, valued at approximately $7,438,038.24. This represents a 65.37% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 180,287 shares of company stock valued at $71,713,050 over the last 90 days. 1.39% of the stock is owned by corporate insiders.

Institutional Trading of Travelers Companies

A number of large investors have recently added to or reduced their stakes in the business. BlackRock Inc. acquired a new stake in Travelers Companies during the 2nd quarter worth about $6,915,909,000. Dimensional Fund Advisors LP grew its position in Travelers Companies by 3.7% during the 1st quarter. Dimensional Fund Advisors LP now owns 3,484,676 shares of the insurance provider’s stock worth $1,016,433,000 after purchasing an additional 123,564 shares in the last quarter. Bank of America Corp DE purchased a new position in Travelers Companies during the 2nd quarter worth approximately $932,142,000. GQG Partners LLC acquired a new stake in Travelers Companies during the 2nd quarter valued at $789,024,000. Finally, First Trust Advisors LP raised its stake in Travelers Companies by 7.2% during the 1st quarter. First Trust Advisors LP now owns 1,705,401 shares of the insurance provider’s stock valued at $497,431,000 after purchasing an additional 115,276 shares during the period. 82.45% of the stock is currently owned by institutional investors.

About Travelers Companies

Travelers Companies, Inc is a property and casualty insurance company that provides insurance products and related services to businesses, government entities and individuals. The company offers coverage for property damage, liability, workers’ compensation, automobile accidents, cybersecurity risks and other exposures.

Travelers conducts its operations primarily through its Business Insurance, Bond & Specialty Insurance and Personal Insurance segments. Its products include commercial property and casualty policies, surety and fidelity bonds, homeowners insurance, personal automobile insurance and umbrella coverage.