NBW Capital LLC Makes New $6.67 Million Investment in The Progressive Corporation (NYSE:PGR)

Key Points

• NBW Capital LLC acquired 23,565 shares of The Progressive Corporation, valued at approximately $6.67 million, representing about 1.5% of its investment portfolio.
• Insider transactions include significant stock sales by CEO Susan Patricia Griffith and CFO John P. Sauerland, signaling a combined decrease in their ownership by over 5% and 6% respectively.
$0.10 per share, contributing to a yield of 15%, with an exceptionally low payout ratio of 2.25%.

NBW Capital LLC bought a new position in The Progressive Corporation (NYSE:PGR - Free Report) during the first quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund bought 23,565 shares of the insurance provider's stock, valued at approximately $6,669,000. Progressive makes up 1.5% of NBW Capital LLC's holdings, making the stock its 22nd largest position.

A number of other hedge funds also recently made changes to their positions in PGR. Highline Wealth Partners LLC lifted its position in shares of Progressive by 114.0% in the first quarter. Highline Wealth Partners LLC now owns 92 shares of the insurance provider's stock worth $26,000 after buying an additional 49 shares in the last quarter. TruNorth Capital Management LLC raised its position in Progressive by 210.0% during the first quarter. TruNorth Capital Management LLC now owns 93 shares of the insurance provider's stock valued at $26,000 after purchasing an additional 63 shares during the period. Minot DeBlois Advisors LLC purchased a new stake in Progressive during the fourth quarter valued at approximately $28,000. HWG Holdings LP purchased a new stake in Progressive during the first quarter valued at approximately $28,000. Finally, Garde Capital Inc. purchased a new stake in Progressive during the first quarter valued at approximately $33,000. 85.34% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity

In other Progressive news, CFO John P. Sauerland sold 16,664 shares of the stock in a transaction dated Monday, July 28th. The stock was sold at an average price of $249.24, for a total transaction of $4,153,335.36. Following the sale, the chief financial officer directly owned 228,024 shares of the company's stock, valued at approximately $56,832,701.76. This trade represents a 6.81% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider John Jo Murphy sold 2,218 shares of the firm's stock in a transaction dated Monday, July 28th. The shares were sold at an average price of $249.24, for a total value of $552,814.32. Following the sale, the insider owned 47,942 shares in the company, valued at $11,949,064.08. This trade represents a 4.42% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 104,250 shares of company stock worth $26,332,348. Company insiders own 0.34% of the company's stock.

Progressive Stock Up 0.5%

Progressive stock traded up $1.18 during mid-day trading on Friday, reaching $246.49. 2,118,601 shares of the company were exchanged, compared to its average volume of 3,590,031. The business has a fifty day moving average of $256.79 and a 200 day moving average of $266.26. The company has a debt-to-equity ratio of 0.21, a quick ratio of 0.29 and a current ratio of 0.31. The firm has a market cap of $144.49 billion, a P/E ratio of 13.89, a PEG ratio of 1.45 and a beta of 0.33. The Progressive Corporation has a 12-month low of $217.91 and a 12-month high of $292.99.

Progressive (NYSE:PGR - Get Free Report) last issued its quarterly earnings data on Wednesday, July 16th. The insurance provider reported $4.88 EPS for the quarter, beating the consensus estimate of $4.43 by $0.45. Progressive had a return on equity of 35.37% and a net margin of 12.66%. The firm had revenue of $20.08 billion during the quarter, compared to analyst estimates of $20.39 billion. During the same quarter in the prior year, the business posted $2.48 EPS. The business's revenue for the quarter was up 12.1% compared to the same quarter last year. Research analysts anticipate that The Progressive Corporation will post 14.68 earnings per share for the current fiscal year.

Progressive Dividend Announcement

The firm also recently disclosed a dividend, which was paid on Friday, July 11th. Stockholders of record on Friday, July 4th were issued a dividend of $0.10 per share. This represents a dividend yield of 15.0%. The ex-dividend date was Thursday, July 3rd. Progressive's dividend payout ratio is currently 2.25%.

Analysts Set New Price Targets

PGR has been the topic of a number of analyst reports. Barclays cut their target price on Progressive from $297.00 to $287.00 and set an "equal weight" rating on the stock in a research note on Monday, July 7th. UBS Group cut their target price on Progressive from $280.00 to $268.00 and set a "neutral" rating on the stock in a research note on Monday, July 21st. Keefe, Bruyette & Woods cut their target price on Progressive from $290.00 to $268.00 and set a "market perform" rating on the stock in a research note on Thursday, July 17th. Wells Fargo & Company boosted their price target on Progressive from $328.00 to $333.00 and gave the company an "overweight" rating in a report on Friday, June 20th. Finally, Wall Street Zen lowered Progressive from a "buy" rating to a "hold" rating in a report on Friday, July 18th. Nine analysts have rated the stock with a hold rating and nine have given a buy rating to the company's stock. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and a consensus target price of $286.88.

Progressive Company Profile

The Progressive Corporation, an insurance holding company, provides personal and commercial auto, personal residential and commercial property, business related general liability, and other specialty property-casualty insurance products and related services in the United States. It operates in three segments: Personal Lines, Commercial Lines, and Property.