Cincinnati Financial Corporation (NASDAQ:CINF) Receives Consensus Rating of "Moderate Buy" from Brokerages

Key Points

• Cincinnati Financial Corporation has a consensus rating of "Moderate Buy" from five brokerages, with one hold and four buy ratings, and an average 12-month price objective of $159.20.
• The company's recent quarterly earnings showed $1.97 earnings per share, exceeding expectations, despite revenue of $2.48 billion falling short of analysts' expectations of $2.80 billion.
• Institutional investors currently own 65.24% of Cincinnati Financial's share stock, indicating significant interest from hedge funds and other institutions.

Shares of Cincinnati Financial Corporation (NASDAQ:CINF - Get Free Report) have been assigned a consensus recommendation of "Moderate Buy" from the five brokerages that are currently covering the company, Marketbeat Ratings reports. One analyst has rated the stock with a hold rating and four have given a buy rating to the company. The average 12-month price objective among brokerages that have issued a report on the stock in the last year is $159.20.

Several equities analysts have recently weighed in on the company. Wall Street Zen upgraded Cincinnati Financial from a "sell" rating to a "hold" rating in a report on Thursday, April 17th. Roth Capital raised their target price on Cincinnati Financial from $160.00 to $175.00 and gave the stock a "buy" rating in a research report on Tuesday. Finally, Keefe, Bruyette & Woods raised their target price on Cincinnati Financial from $150.00 to $167.00 and gave the stock an "outperform" rating in a research report on Wednesday, July 9th.

Cincinnati Financial Stock Performance

Shares of NASDAQ CINF traded up $5.32 during mid-day trading on Tuesday, reaching $152.42. 1,149,605 shares of the company's stock were exchanged, compared to its average volume of 703,186. The firm has a market capitalization of $23.82 billion, a price-to-earnings ratio of 16.62, a price-to-earnings-growth ratio of 9.92 and a beta of 0.76. Cincinnati Financial has a 52 week low of $123.01 and a 52 week high of $161.74. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.29 and a quick ratio of 0.29. The firm has a 50-day moving average price of $147.89 and a two-hundred day moving average price of $142.69.

Cincinnati Financial (NASDAQ:CINF - Get Free Report) last posted its quarterly earnings data on Monday, July 28th. The insurance provider reported $1.97 earnings per share for the quarter, topping the consensus estimate of $1.39 by $0.58. The company had revenue of $2.48 billion for the quarter, compared to analysts' expectations of $2.80 billion. Cincinnati Financial had a net margin of 13.19% and a return on equity of 6.55%. Cincinnati Financial's revenue for the quarter was up 15.5% compared to the same quarter last year. During the same period in the prior year, the business earned $1.29 earnings per share. Analysts predict that Cincinnati Financial will post 5.36 EPS for the current year.

Cincinnati Financial Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, July 15th. Investors of record on Monday, June 23rd were issued a $0.87 dividend. The ex-dividend date of this dividend was Monday, June 23rd. This represents a $3.48 annualized dividend and a dividend yield of 2.28%. Cincinnati Financial's dividend payout ratio is presently 37.95%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Quintet Private Bank Europe S.A. purchased a new position in Cincinnati Financial in the 2nd quarter valued at about $25,000. Spire Wealth Management boosted its position in Cincinnati Financial by 77.6% in the 1st quarter. Spire Wealth Management now owns 174 shares of the insurance provider's stock valued at $26,000 after buying an additional 76 shares during the last quarter. Meeder Asset Management Inc. purchased a new position in Cincinnati Financial in the 1st quarter valued at about $26,000. Alpine Bank Wealth Management purchased a new position in Cincinnati Financial in the 1st quarter valued at about $30,000. Finally, Vermillion & White Wealth Management Group LLC purchased a new position in Cincinnati Financial in the 1st quarter valued at about $32,000. 65.24% of the stock is currently owned by hedge funds and other institutional investors.

About Cincinnati Financial

Cincinnati Financial Corporation, together with its subsidiaries, provides property casualty insurance products in the United States. It operates through five segments: Commercial Lines Insurance, Personal Lines Insurance, Excess and Surplus Lines Insurance, Life Insurance, and Investments. The Commercial Lines Insurance segment offers coverage for commercial casualty, commercial property, commercial auto, and workers' compensation.

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