Allstate Corp (ALL, Financial), one of the largest U.S. property and casualty insurers, has seen a significant surge in its stock price over the past three months. With a current market cap of $33.67 billion and a price of $128.71, the company's stock has gained 9.42% over the past week and a whopping 24.50% over the past three months. According to the GF Value, which stands at $157.48, the stock is modestly undervalued. This is consistent with the past GF Value of $153.82 from three months ago, indicating that the stock has been consistently undervalued.
Introduction to Allstate Corp
Allstate Corp operates in the insurance industry, offering a range of products primarily through its network of about 10,000 company agencies across North America. The company's primary revenue source is personal auto insurance, but it also offers homeowners insurance and other insurance products. With its extensive distribution network and diverse product offerings, Allstate has established a strong presence in the insurance industry.
Profitability Analysis of Allstate Corp
Allstate Corp has a Profitability Rank of 6/10, indicating a relatively high level of profitability. The company's ROE stands at -14.86%, which is better than 6.33% of 490 companies in the same industry. Its ROA and ROIC are -2.67% and -2.45% respectively, outperforming 8.3% and 8.47% of companies in the industry. Furthermore, Allstate has demonstrated a consistent track record of profitability, with 9 years of profitability over the past 10 years.
Growth Prospects of Allstate Corp
Allstate Corp has a Growth Rank of 5/10, indicating a moderate level of growth. The company's 3-year and 5-year revenue growth rates per share are 14.20% and 12.50% respectively, outperforming 81.92% and 82.3% of companies in the industry. Looking ahead, the company's future 3-year to 5-year total revenue growth rate estimate is 6.62%, while its EPS without NRI growth rate estimate is -20.60%.
Top Holders of Allstate Corp Stock
The top three holders of Allstate Corp's stock are Barrow, Hanley, Mewhinney & Strauss with a 1.61% share, Diamond Hill Capital (Trades, Portfolio) with a 1.3% share, and Jefferies Group (Trades, Portfolio) with a 0.99% share. These firms' significant holdings in Allstate Corp reflect their confidence in the company's performance and future prospects.
Competitors of Allstate Corp
Allstate Corp faces competition from several companies in the insurance industry. The Travelers Companies Inc (TRV, Financial) with a market cap of $38.55 billion, Markel Group Inc (MKL, Financial) with a market cap of $20.06 billion, and Cincinnati Financial Corp (CINF, Financial) with a market cap of $16.25 billion are among the company's main competitors.
Conclusion
In conclusion, Allstate Corp has demonstrated strong performance with a significant surge in its stock price over the past three months. The company's profitability and growth prospects, coupled with its undervalued status according to the GF Value, make it an attractive option for investors. Despite facing competition in the insurance industry, Allstate Corp's diverse product offerings and extensive distribution network position it well for future success.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
