The Progressive Corporation ($PGR) Earnings (Q3 FY22)

 The Progressive Corporation ($PGR) Earnings and Opinion:


Progressive is a company in the Financial Services sector and operates in the Insurance-Property & Casualty industry. The 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. Progressive was founded in 1937 and is currently headquartered in Mayfield, Ohio. The company made its public debut on the stock market in 1971.

The Progressive Corporation Earnings Results:

  • Revenue of $12.780B missing expectations of $13.109B
  • Operating EPS of $0.52 missing expectations of $0.91
  • Diluted EPS of $0.20 missing expectations of $1.11
Opinion:
Progressive is trading lower, down about 4% in todays trading session. The company reported earnings before the market opened this morning. The stock has rebounded a little bit, but this has to do with the overall gains of the market. We can see that the financials didn't come in the hottest, but the stock has performed well over the year, out-gaining the S&P 500. The stock was due for a little bit of humbleness and it may be coming with this last earnings report. The disappointed came on the EPS with an 81% miss compared to expectations. The revenue missed as well, but forward looking shows that they will probably lose a lot in terms of Hurricane Ian. It is the future things that we need to look out for when the future earnings reports come out. As far as valuation goes, the P/B ratio sits at 4.85. The P/FCF sits at 11.12, which is a little bit higher than peers. Lastly, the P/S sits at around 1.54. The valuation is decent, but it is not the best. In my opinion, I think this stock isn't the best. For how much is advertises, it doesn't seem to be performing to where I thought it would be at. It will be interesting to see how they do moving forward, but I just think there are better places, in which you can invest your money. I do see some upside coming, so I think it can make you some money. For some reason, they just don't have me sold, I would pass up on Progressive $PGR.


*Information from Bloomberg and Yahoo Finance

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