What is Zacks Research's Estimate for AFG FY2027 Earnings?

Key Points

• Zacks Research lowered its FY2027 earnings estimate for American Financial Group to $11.80 per share from $11.95, below the broader consensus estimate of $12.17. Its Q4 2027 estimate is $3.73 per share.
• Analyst sentiment remains cautious, with AFG carrying an average “Hold” rating and a $156 average price target; recent price targets range from $153 to $173.
• AFG recently exceeded quarterly earnings expectations, reporting $2.82 EPS versus the $2.32 consensus, while revenue rose 5.5% year over year to $2.03 billion. The company also pays a quarterly dividend of $0.88, representing a 2.5% yield.

American Financial Group, Inc. (NYSE:AFG - Free Report) - Equities research analysts at Zacks Research dropped their FY2027 earnings estimates for American Financial Group in a research report issued on Friday, September 18th. Zacks Research analyst Team now forecasts that the insurance provider will post earnings of $11.80 per share for the year, down from their prior estimate of $11.95. The consensus estimate for American Financial Group's current full-year earnings is $12.17 per share. Zacks Research also issued estimates for American Financial Group's Q4 2027 earnings at $3.73 EPS.

Other equities analysts also recently issued reports about the company. Wall Street Zen downgraded American Financial Group from a "buy" rating to a "hold" rating in a research note on Saturday, September 12th. Weiss Ratings upgraded American Financial Group from a "buy (b-)" rating to a "buy (b)" rating in a research note on Tuesday, August 11th. Wells Fargo & Company increased their target price on American Financial Group from $158.00 to $173.00 and gave the stock an "overweight" rating in a report on Thursday, July 9th. Keefe, Bruyette & Woods upped their price target on American Financial Group from $148.00 to $153.00 and gave the company a "market perform" rating in a research report on Tuesday, August 11th. Finally, Piper Sandler raised their price objective on American Financial Group from $140.00 to $156.00 and gave the stock a "neutral" rating in a research note on Monday, August 10th. Two analysts have rated the stock with a Buy rating and three have assigned a Hold rating to the stock. According to data from MarketBeat, American Financial Group has an average rating of "Hold" and an average price target of $156.00.

American Financial Group Price Performance

AFG opened at $141.45 on Tuesday. The company has a market capitalization of $11.73 billion, a P/E ratio of 12.36 and a beta of 0.60. The company has a 50-day moving average of $143.06 and a 200-day moving average of $136.28. The company has a debt-to-equity ratio of 0.38, a quick ratio of 0.49 and a current ratio of 0.49. American Financial Group has a 1-year low of $123.09 and a 1-year high of $150.02.

American Financial Group (NYSE:AFG - Get Free Report) last posted its quarterly earnings results on Tuesday, August 4th. The insurance provider reported $2.82 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.32 by $0.50. The firm had revenue of $2.03 billion for the quarter, compared to analysts' expectations of $1.85 billion. American Financial Group had a net margin of 11.51% and a return on equity of 20.35%. The firm's quarterly revenue was up 5.5% on a year-over-year basis. During the same period in the prior year, the company posted $2.14 earnings per share.

Institutional Investors Weigh In On American Financial Group

Hedge funds have recently added to or reduced their stakes in the stock. BlackRock Inc. acquired a new position in American Financial Group during the 2nd quarter worth $1,079,329,000. Norges Bank acquired a new position in shares of American Financial Group during the fourth quarter valued at $114,661,000. Bank of New York Mellon Corp acquired a new position in shares of American Financial Group during the second quarter valued at $102,590,000. Bank of America Corp DE bought a new stake in shares of American Financial Group during the second quarter valued at about $53,939,000. Finally, Arrowstreet Capital Limited Partnership raised its stake in shares of American Financial Group by 337.1% during the first quarter. Arrowstreet Capital Limited Partnership now owns 431,144 shares of the insurance provider's stock valued at $55,061,000 after purchasing an additional 332,517 shares in the last quarter. 64.37% of the stock is currently owned by institutional investors.

Insider Activity

In other news, CFO Brian Hertzman sold 950 shares of the company's stock in a transaction that occurred on Wednesday, September 2nd. The stock was sold at an average price of $142.87, for a total transaction of $135,726.50. Following the completion of the transaction, the chief financial officer directly owned 11,123 shares of the company's stock, valued at approximately $1,589,143.01. This represents a 7.87% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, VP Mark Weiss sold 2,813 shares of the stock in a transaction that occurred on Thursday, August 6th. The stock was sold at an average price of $144.76, for a total value of $407,209.88. Following the sale, the vice president owned 6,648 shares in the company, valued at $962,364.48. The trade was a 29.73% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders sold 6,010 shares of company stock valued at $855,269. 16.90% of the stock is currently owned by insiders.

American Financial Group Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, July 24th. Shareholders of record on Wednesday, July 15th were paid a $0.88 dividend. This represents a $3.52 dividend on an annualized basis and a yield of 2.5%. The ex-dividend date was Wednesday, July 15th. American Financial Group's payout ratio is presently 30.77%.

American Financial Group Company Profile

American Financial Group, Inc NYSE: AFG is an insurance holding company headquartered in Cincinnati, Ohio. Through its Great American Insurance Group subsidiaries, the company primarily underwrites specialty property and casualty insurance and sells annuity products.

Its property and casualty operations serve businesses, organizations and individuals through specialized products that include commercial transportation, agricultural and crop insurance, workers' compensation, casualty coverage, financial institution insurance, surety and fidelity bonds, marine insurance, travel insurance and public-sector coverage.

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