Travelers Companies (NYSE:TRV) Sets New 52-Week High – Still a Buy?

The Travelers Companies, Inc. (NYSE:TRV)’s stock price reached a new 52-week high during mid-day trading on Thursday . The company traded as high as $302.38 and last traded at $301.3710, with a volume of 220680 shares traded. The stock had previously closed at $295.22.

Wall Street Analysts Forecast Growth

TRV has been the subject of several recent research reports. Mizuho decreased their price objective on Travelers Companies from $315.00 to $304.00 and set a “neutral” rating for the company in a report on Thursday, January 22nd. The Goldman Sachs Group lowered shares of Travelers Companies from a “buy” rating to a “neutral” rating and set a $304.00 price target on the stock. in a research report on Wednesday, January 7th. Morgan Stanley raised their price objective on shares of Travelers Companies from $285.00 to $295.00 and gave the stock an “equal weight” rating in a report on Monday, November 17th. Zacks Research cut shares of Travelers Companies from a “strong-buy” rating to a “hold” rating in a report on Monday, December 22nd. Finally, Keefe, Bruyette & Woods lifted their price target on Travelers Companies from $317.00 to $320.00 and gave the company an “outperform” rating in a research report on Friday, January 23rd. One investment analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating, eleven have given a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $303.00.

Travelers Companies Price Performance

The stock has a market capitalization of $66.78 billion, a PE ratio of 10.87, a price-to-earnings-growth ratio of 2.67 and a beta of 0.51. The business’s 50-day moving average price is $284.57 and its 200 day moving average price is $277.40. The company has a debt-to-equity ratio of 0.28, a quick ratio of 0.35 and a current ratio of 0.33.

Travelers Companies (NYSE:TRV) last issued its quarterly earnings results on Wednesday, January 21st. The insurance provider reported $11.13 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $8.34 by $2.79. Travelers Companies had a return on equity of 20.70% and a net margin of 12.88%.The firm had revenue of $12.43 billion during the quarter, compared to the consensus estimate of $11.13 billion. During the same quarter last year, the company posted $9.15 EPS. The company’s revenue for the quarter was up 3.5% on a year-over-year basis. Research analysts forecast that The Travelers Companies, Inc. will post 17.02 earnings per share for the current year.

Travelers Companies Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Stockholders of record on Tuesday, March 10th will be issued a dividend of $1.10 per share. This represents a $4.40 dividend on an annualized basis and a dividend yield of 1.5%. The ex-dividend date of this dividend is Tuesday, March 10th. Travelers Companies’s payout ratio is currently 15.98%.

Travelers Companies declared that its Board of Directors has initiated a stock repurchase program on Wednesday, January 21st that authorizes the company to repurchase $5.00 billion in shares. This repurchase authorization authorizes the insurance provider to purchase up to 8.3% of its stock through open market purchases. Stock repurchase programs are typically a sign that the company’s board believes its shares are undervalued.

Insider Buying and Selling at Travelers Companies

In other Travelers Companies news, EVP Jeffrey P. Klenk sold 16,712 shares of the company’s stock in a transaction that occurred on Friday, January 23rd. The stock was sold at an average price of $279.77, for a total value of $4,675,516.24. Following the completion of the sale, the executive vice president owned 6,075 shares of the company’s stock, valued at $1,699,602.75. This represents a 73.34% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Vice Chairman William H. Heyman sold 1,803 shares of the business’s stock in a transaction that occurred on Thursday, November 13th. The stock was sold at an average price of $289.55, for a total transaction of $522,058.65. Following the completion of the sale, the insider owned 255,086 shares of the company’s stock, valued at approximately $73,860,151.30. The trade was a 0.70% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 29,435 shares of company stock worth $8,410,486 over the last 90 days. Corporate insiders own 1.46% of the company’s stock.

Institutional Trading of Travelers Companies

Hedge funds have recently added to or reduced their stakes in the business. Avalon Trust Co raised its position in shares of Travelers Companies by 23.4% in the 2nd quarter. Avalon Trust Co now owns 7,541 shares of the insurance provider’s stock valued at $2,018,000 after purchasing an additional 1,429 shares during the last quarter. Liberty One Investment Management LLC increased its stake in Travelers Companies by 32.3% during the 3rd quarter. Liberty One Investment Management LLC now owns 26,228 shares of the insurance provider’s stock valued at $7,323,000 after purchasing an additional 6,408 shares in the last quarter. CWM LLC raised its holdings in shares of Travelers Companies by 11.3% in the third quarter. CWM LLC now owns 135,143 shares of the insurance provider’s stock worth $37,735,000 after buying an additional 13,758 shares during the last quarter. Compass Wealth Management LLC lifted its stake in shares of Travelers Companies by 147.5% during the third quarter. Compass Wealth Management LLC now owns 28,830 shares of the insurance provider’s stock worth $8,050,000 after buying an additional 17,181 shares during the period. Finally, National Pension Service increased its position in shares of Travelers Companies by 1.8% in the 3rd quarter. National Pension Service now owns 746,883 shares of the insurance provider’s stock valued at $208,545,000 after acquiring an additional 13,120 shares during the period. 82.45% of the stock is owned by institutional investors.

Travelers Companies Company Profile

The Travelers Companies, Inc (NYSE: TRV) is a leading provider of property and casualty insurance products and services. The company underwrites a broad range of commercial and personal insurance lines, offering coverage designed to protect individuals, small and midsize businesses, and large corporate clients against property loss, liability, and other operational risks. Travelers is known for combining underwriting, claims management and risk control services to help clients prevent losses and recover when incidents occur.

On the commercial side, Travelers writes primary and specialty coverages including property, general liability, commercial auto, workers’ compensation, professional and management liability, surety and inland marine.