Ally Financial Inc. Makes New $2.65 Million Investment in The Travelers Companies, Inc. $TRV

Key Points

• Ally Financial bought 12,000 Travelers shares in the second quarter, establishing a position valued at approximately $2.65 million. Institutional investors collectively own 82.45% of Travelers’ stock.
• Travelers reported quarterly earnings of $10.04 per share, far exceeding the $5.41 consensus estimate, while revenue reached $12.15 billion. Analysts currently have a consensus “Hold” rating and an average price target of $354.26.
• The company declared a quarterly dividend of $1.25 per share, equivalent to $5.00 annually and a 1.4% yield. Insiders have sold 62,667 shares worth approximately $22.7 million over the past 90 days.

Ally Financial Inc. bought a new position in shares of The Travelers Companies, Inc. (NYSE:TRV - Free Report) in the 2nd quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The firm bought 12,000 shares of the insurance provider's stock, valued at approximately $2,646,000.

Other large investors have also recently made changes to their positions in the company. LifeSteps Financial Inc. bought a new position in Travelers Companies in the 2nd quarter worth about $26,000. Kilter Group LLC bought a new position in Travelers Companies in the second quarter worth approximately $26,000. HHM Wealth Advisors LLC increased its holdings in Travelers Companies by 145.7% during the 1st quarter. HHM Wealth Advisors LLC now owns 86 shares of the insurance provider's stock worth $25,000 after purchasing an additional 51 shares during the period. Kemnay Advisory Services Inc. purchased a new position in Travelers Companies during the 4th quarter worth $26,000. Finally, Whipplewood Advisors LLC bought a new stake in Travelers Companies during the 1st quarter valued at $26,000. 82.45% of the stock is owned by hedge funds and other institutional investors.

Travelers Companies Stock Performance

Shares of Travelers Companies stock opened at $363.83 on Monday. The firm has a market capitalization of $75.89 billion, a P/E ratio of 9.74, a PEG ratio of 3.46 and a beta of 0.45. The company has a quick ratio of 0.33, a current ratio of 0.33 and a debt-to-equity ratio of 0.27. The company has a 50 day moving average price of $352.28 and a 200 day moving average price of $318.35. The Travelers Companies, Inc. has a 52 week low of $252.26 and a 52 week high of $398.70.

Travelers Companies (NYSE:TRV - Get Free Report) last released its earnings results on Friday, July 17th. The insurance provider reported $10.04 earnings per share for the quarter, topping the consensus estimate of $5.41 by $4.63. The company had revenue of $12.15 billion for the quarter, compared to the consensus estimate of $11.26 billion. Travelers Companies had a net margin of 16.95% and a return on equity of 25.41%. Travelers Companies's revenue was up .3% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $6.51 EPS. Sell-side analysts expect that The Travelers Companies, Inc. will post 33.82 EPS for the current year.

Travelers Companies Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Thursday, September 10th will be issued a $1.25 dividend. The ex-dividend date of this dividend is Thursday, September 10th. This represents a $5.00 dividend on an annualized basis and a dividend yield of 1.4%. Travelers Companies's dividend payout ratio is currently 13.39%.

Analyst Upgrades and Downgrades

TRV has been the topic of several research reports. JPMorgan Chase & Co. upgraded Travelers Companies from an "underweight" rating to a "neutral" rating and raised their price target for the company from $316.00 to $322.00 in a research note on Tuesday, May 26th. Deutsche Bank Aktiengesellschaft restated a "hold" rating on shares of Travelers Companies in a report on Tuesday, July 21st. Piper Sandler upped their price target on shares of Travelers Companies to $340.00 and gave the stock an "overweight" rating in a research report on Monday, July 13th. Keefe, Bruyette & Woods reiterated a "market perform" rating and set a $356.00 price objective (up from $342.00) on shares of Travelers Companies in a research note on Wednesday, July 8th. Finally, UBS Group lifted their price objective on shares of Travelers Companies from $314.00 to $350.00 and gave the company a "neutral" rating in a report on Wednesday, July 8th. Four investment analysts have rated the stock with a Strong Buy rating, four have given a Buy rating, thirteen have assigned a Hold rating and five have issued a Sell rating to the company. According to data from MarketBeat, the stock has an average rating of "Hold" and an average price target of $354.26.

Insiders Place Their Bets

In other news, EVP Daniel Tei-Hwa Yin sold 7,153 shares of the firm's stock in a transaction dated Friday, July 24th. The stock was sold at an average price of $387.00, for a total value of $2,768,211.00. Following the completion of the transaction, the executive vice president directly owned 68,834 shares in the company, valued at $26,638,758. This trade represents a 9.41% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, EVP David Donnay Rowland sold 5,000 shares of Travelers Companies stock in a transaction that occurred on Wednesday, July 22nd. The shares were sold at an average price of $371.69, for a total transaction of $1,858,450.00. Following the sale, the executive vice president owned 10,479 shares of the company's stock, valued at approximately $3,894,939.51. The trade was a 32.30% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 62,667 shares of company stock valued at $22,688,329. Insiders own 1.39% of the company's stock.

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.

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