1.14%
4.01%
2.63%
16.39%
39.81%
129.36%
208.86%
AI Spotlight on PGR
Company Description
The Progressive Corporation, an insurance holding company, provides personal and commercial auto, personal residential and commercial property, general liability, and other specialty property-casualty insurance products and related services in the United States.It operates in three segments: Personal Lines, Commercial Lines, and Property.The Personal Lines segment writes insurance for personal autos and recreational vehicles (RV).
This segment's products include personal auto insurance; and special lines products, including insurance for motorcycles, ATVs, RVs, watercrafts, snowmobiles, and related products.The Commercial Lines segment provides auto-related primary liability and physical damage insurance, and business-related general liability and property insurance for autos, vans, pick-up trucks, and dump trucks used by small businesses; tractors, trailers, and straight trucks primarily used by regional general freight and expeditor-type businesses, and long-haul operators; dump trucks, log trucks, and garbage trucks used by dirt, sand and gravel, logging, and coal-type businesses; and tow trucks and wreckers used in towing services and gas/service station businesses; as well as non-fleet and airport taxis, and black-car services.The Property segment writes residential property insurance for homeowners, other property owners, and renters, as well as offers personal umbrella insurance, and primary and excess flood insurance.
The company also offers policy issuance and claims adjusting services; and acts as an agent to homeowner general liability, workers' compensation insurance, and other products.In addition, it provides reinsurance services.The company sells its products through independent insurance agencies, as well as directly on Internet through mobile devices, and over the phone.
The Progressive Corporation was founded in 1937 and is headquartered in Mayfield, Ohio.
Market Data
| Last Price | 249.22 |
| Change Percentage | 1.14% |
| Open | 247.39 |
| Previous Close | 246.4 |
| Market Cap ( Millions) | 145996 |
| Volume | 1852501 |
| Year High | 270.62 |
| Year Low | 176.37 |
| M A 50 | 248.6 |
| M A 200 | 233.25 |
Financial Ratios
| FCF Yield | 9.79% |
| Dividend Yield | 1.97% |
| ROE | 35.04% |
| Debt / Equity | 25.38% |
| Net Debt / EBIDTA | 63.20% |
| Price To Book | 5.37 |
| Price Earnings Ratio | 17.99 |
| Price To FCF | 10.22 |
| Price To sales | 2.04 |
| EV / EBITDA | 14.31 |
News
- Jan -30 - A Quest That Has Translated Into New Investments
- Jan -29 - Progressive Surpasses Q4 Expectations
- Jan -29 - Progressive's Q4 Earnings, Revenues Beat on Higher Premiums
- Jan -29 - Progressive (PGR) Q4 Earnings: How Key Metrics Compare to Wall Street Estimates
- Jan -29 - Progressive (PGR) Q4 Earnings and Revenues Surpass Estimates
- Jan -29 - Progressive Reports December 2024 Results
- Jan -24 - What Should You Do With Progressive Stock Ahead of Q4 Earnings?
- Jan -24 - U.S. Bank Earnings Poised To Rebound Even As Credit Slips
- Jan -17 - Progressive (PGR) Stock Drops Despite Market Gains: Important Facts to Note
- Jan -07 - Progressive (PGR) Ascends While Market Falls: Some Facts to Note
- Jan -02 - Progressive (PGR) Advances While Market Declines: Some Information for Investors
- Dec -27 - 3 No-Brainer Stocks to Buy With $1,000 and Hold Forever
- Dec -25 - Progressive (PGR) Upgraded to Buy: Here's What You Should Know
- Dec -23 - Here is Why Growth Investors Should Buy Progressive (PGR) Now
- Dec -23 - Is The Progressive (PGR) Stock Outpacing Its Finance Peers This Year?
- Dec -20 - Here's Why Progressive (PGR) Gained But Lagged the Market Today
- Dec -16 - PGR's November Earnings Improve: Should You Buy or Hold the Stock?
- Dec -13 - Progressive Reports November 2024 Results
- Dec -12 - Progressive: Superior Fundamentals Seem To Be Priced In
- Dec -11 - Progressive (PGR) Stock Slides as Market Rises: Facts to Know Before You Trade
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Personal Lines
Expected Growth : 12.5 %
What the company do ?
Personal Lines from The Progressive Corporation offers insurance products for individuals, including auto, home, and umbrella insurance, providing financial protection and peace of mind.
Why we expect these perspectives ?
Progressive's Personal Lines segment growth of 12.5% is driven by increased adoption of usage-based insurance, expansion into new states, and a strong brand reputation. Additionally, investments in digital capabilities and customer experience have improved retention rates and driven premium growth. Furthermore, the company's aggressive marketing efforts and competitive pricing strategy have attracted new customers, contributing to the segment's growth.
Segment n°2 -> Commercial Lines
Expected Growth : 11.8 %
What the company do ?
Commercial Lines from The Progressive Corporation offers a range of insurance products and services for businesses, including auto, workers' compensation, and liability coverage.
Why we expect these perspectives ?
Progressive's Commercial Lines segment growth of 11.8% is driven by increased demand for commercial auto insurance, expansion into new markets, and strategic partnerships. Additionally, investments in digital capabilities and data analytics have improved underwriting efficiency and pricing accuracy, leading to higher premiums and revenue growth.
Segment n°3 -> Property
Expected Growth : 13.5 %
What the company do ?
The Property from The Progressive Corporation refers to the company's property insurance segment, offering homeowners, renters, and condominium insurance to individuals.
Why we expect these perspectives ?
The Progressive Corporation's 13.5% growth in Property segment is driven by increasing demand for homeowners and auto insurance, expansion into new markets, and strategic partnerships. Additionally, investments in digital platforms and data analytics have improved customer engagement and retention, leading to higher premiums and revenue growth.
Segment n°4 -> Investments
Expected Growth : 10.2 %
What the company do ?
The Progressive Corporation invests in various sectors, including fintech, mobility, and insurtech startups, to drive innovation and enhance its insurance offerings.
Why we expect these perspectives ?
The Progressive Corporation's 10.2% growth is driven by increasing demand for auto insurance, expansion into new markets, and strategic investments in digital technologies. Additionally, the company's focus on customer experience, agent partnerships, and innovative products such as usage-based insurance have contributed to its growth momentum.
Segment n°5 -> Fees and Other Revenues
Expected Growth : 11.2 %
What the company do ?
Fees and Other Revenues from The Progressive Corporation refer to income generated from sources other than insurance premiums, such as fees for services and investments.
Why we expect these perspectives ?
The 11.2% growth in Fees and Other Revenues from The Progressive Corporation is driven by increased policyholders, higher average premiums, and expansion of ancillary products such as roadside assistance and vehicle inspections. Additionally, investments in digital platforms and data analytics have improved customer engagement, retention, and cross-selling opportunities, contributing to the revenue growth.
Segment n°6 -> Service Businesses
Expected Growth : 12.8 %
What the company do ?
The Progressive Corporation's Service Businesses segment provides insurance-related services, including vehicle inspections and claims adjusting, to insurance companies and other clients.
Why we expect these perspectives ?
The Progressive Corporation's 12.8% growth in Service Businesses is driven by increasing demand for insurance services, expansion into new markets, and strategic partnerships. Additionally, investments in digital platforms and data analytics have enhanced customer experience, leading to higher retention rates and increased sales. Furthermore, the company's focus on innovation and operational efficiency has resulted in cost savings, which are being reinvested in growth initiatives.
Segment n°7 -> Other Indemnity
Expected Growth : 11.5 %
What the company do ?
Other Indemnity from The Progressive Corporation refers to the reimbursement of legal defense costs and damages if the insured is sued for an accident, regardless of fault.
Why we expect these perspectives ?
Progressive's Other Indemnity growth of 11.5% is driven by increased adoption of usage-based insurance, expansion into new markets, and strategic partnerships. Additionally, investments in digital platforms and data analytics have improved customer engagement and retention, leading to higher premiums and revenue growth.
The Progressive Corporation Products
| Product Range | What is it ? |
|---|---|
| Auto Insurance | Provides financial protection against physical damage and bodily injury resulting from traffic collisions and against liability that could also arise from incidents in a vehicle. |
| Home Insurance | Covers damage to a policyholder's home and personal possessions, as well as liability for accidents that may occur on the property. |
| Renters Insurance | Provides coverage for personal property and liability for renters, as well as additional living expenses if the rental property becomes uninhabitable. |
| Motorcycle Insurance | Provides financial protection against physical damage and bodily injury resulting from motorcycle accidents, as well as liability coverage. |
| Boat Insurance | Covers damage to boats, as well as liability for accidents or injuries that may occur on the water. |
| Recreational Vehicle Insurance | Provides coverage for recreational vehicles, such as RVs, motorhomes, and travel trailers, against physical damage and liability. |
| Commercial Auto Insurance | Provides coverage for businesses that use vehicles for commercial purposes, including liability and physical damage coverage. |
| Umbrella Insurance | Provides additional liability coverage beyond the limits of standard insurance policies, protecting assets from lawsuits and financial loss. |
The Progressive Corporation's Porter Forces
Threat Of Substitutes
The threat of substitutes for Progressive Corporation is medium due to the presence of alternative insurance providers and financial institutions that offer similar products and services.
Bargaining Power Of Customers
The bargaining power of customers for Progressive Corporation is low due to the lack of negotiating power of individual customers and the company's strong brand reputation.
Bargaining Power Of Suppliers
The bargaining power of suppliers for Progressive Corporation is low due to the company's large size and scale, which gives it negotiating power over its suppliers.
Threat Of New Entrants
The threat of new entrants for Progressive Corporation is low due to the high barriers to entry in the insurance industry, including regulatory hurdles and capital requirements.
Intensity Of Rivalry
The intensity of rivalry for Progressive Corporation is high due to the competitive nature of the insurance industry, with many established players competing for market share.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 25.36% |
| Debt Cost | 4.77% |
| Equity Weight | 74.64% |
| Equity Cost | 5.66% |
| WACC | 5.44% |
| Leverage | 33.97% |
The Progressive Corporation : Quality Control
The Progressive Corporation passed 7 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| CINF | Cincinnati Financial Corporation, together with its subsidiaries, provides property casualty insurance products in the United States. The company operates through five segments: Commercial Lines Insurance, Personal Lines Insurance, Excess and … |
| PRU | Prudential Financial, Inc., together with its subsidiaries, provides insurance, investment management, and other financial products and services in the United States and internationally. It operates through eight segments: PGIM, Retirement, … |
| PNC | The PNC Financial Services Group, Inc. operates as a diversified financial services company in the United States. The company's Retail Banking segment offers checking, savings, and money market accounts, as … |
| MTB | M&T Bank Corporation operates as a bank holding company that provides commercial and retail banking services. The company's Business Banking segment offers deposit, lending, cash management, and other financial services … |
| TFC | Truist Financial Corporation, a holding company, provides banking and trust services in the Southeastern and Mid-Atlantic United States. The company operates through three segments: Consumer Banking and Wealth, Corporate and … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Truist
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PNC Financial Services Group
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4
M&T Bank
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5
Prudential Financial
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6
