Keefe, Bruyette & Woods Forecasts Strong Price Appreciation for American Financial Group (NYSE:AFG) Stock

Key Points

• Keefe, Bruyette & Woods raised its price target on American Financial Group to $148 from $140, while keeping a market perform rating, implying modest upside from the prior close.
• Broader analyst sentiment is mixed: Wells Fargo has an overweight rating with a $158 target, Piper Sandler rates it neutral, and the consensus across analysts remains Hold with an average price target of $147.
• American Financial Group recently reported Q1 EPS of $2.47, missing expectations but generating $1.85 billion in revenue, while the stock traded around $142.60 and sits near its 52-week high.

American Financial Group (NYSE:AFG - Get Free Report) had its price target lifted by Keefe, Bruyette & Woods from $140.00 to $148.00 in a research note issued to investors on Wednesday,Benzinga reports. The firm currently has a "market perform" rating on the insurance provider's stock. Keefe, Bruyette & Woods' price objective points to a potential upside of 3.79% from the stock's previous close.

Other research analysts have also recently issued reports about the stock. Wells Fargo & Company raised their target price on shares of American Financial Group from $155.00 to $158.00 and gave the stock an "overweight" rating in a report on Wednesday, May 6th. Piper Sandler raised their price objective on shares of American Financial Group from $135.00 to $140.00 and gave the stock a "neutral" rating in a research note on Tuesday, May 26th. Finally, Weiss Ratings reaffirmed a "buy (b-)" rating on shares of American Financial Group in a research report on Thursday, June 11th. Two investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to MarketBeat.com, American Financial Group currently has an average rating of "Hold" and a consensus price target of $147.00.

American Financial Group Price Performance

Shares of NYSE:AFG opened at $142.60 on Wednesday. The company has a market capitalization of $11.85 billion, a PE ratio of 13.55 and a beta of 0.62. The company has a debt-to-equity ratio of 0.39, a quick ratio of 0.48 and a current ratio of 0.48. The stock has a fifty day moving average of $134.39 and a 200-day moving average of $132.15. American Financial Group has a one year low of $122.11 and a one year high of $150.02.

American Financial Group (NYSE:AFG - Get Free Report) last announced its earnings results on Thursday, April 30th. The insurance provider reported $2.47 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $2.54 by ($0.07). The company had revenue of $1.85 billion for the quarter, compared to analyst estimates of $1.70 billion. American Financial Group had a return on equity of 19.50% and a net margin of 10.76%.The firm's revenue for the quarter was down .1% on a year-over-year basis. During the same period last year, the firm earned $1.81 earnings per share. As a group, equities analysts anticipate that American Financial Group will post 11.37 EPS for the current fiscal year.

Insider Buying and Selling at American Financial Group

In related news, SVP Michelle A. Gillis sold 2,247 shares of the company's stock in a transaction on Wednesday, June 24th. The shares were sold at an average price of $139.00, for a total value of $312,333.00. Following the completion of the sale, the senior vice president directly owned 13,135 shares in the company, valued at approximately $1,825,765. This represents a 14.61% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, insider David Lawrence Thompson, Jr. sold 11,370 shares of the company's stock in a transaction on Tuesday, June 23rd. The stock was sold at an average price of $135.05, for a total transaction of $1,535,518.50. Following the completion of the sale, the insider owned 584,098 shares of the company's stock, valued at $78,882,434.90. This represents a 1.91% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Corporate insiders own 16.90% of the company's stock.

Institutional Trading of American Financial Group

Several large investors have recently made changes to their positions in the stock. GAMMA Investing LLC raised its stake in shares of American Financial Group by 7.4% in the 2nd quarter. GAMMA Investing LLC now owns 2,603 shares of the insurance provider's stock valued at $364,000 after acquiring an additional 180 shares in the last quarter. Bank of America Corp DE grew its holdings in American Financial Group by 24.0% during the first quarter. Bank of America Corp DE now owns 294,396 shares of the insurance provider's stock valued at $37,597,000 after purchasing an additional 57,023 shares during the last quarter. Janus Henderson Group PLC grew its holdings in American Financial Group by 487.7% during the first quarter. Janus Henderson Group PLC now owns 30,500 shares of the insurance provider's stock valued at $3,894,000 after purchasing an additional 25,310 shares during the last quarter. The Manufacturers Life Insurance Company grew its holdings in American Financial Group by 5.7% during the first quarter. The Manufacturers Life Insurance Company now owns 151,888 shares of the insurance provider's stock valued at $19,398,000 after purchasing an additional 8,220 shares during the last quarter. Finally, Quantinno Capital Management LP raised its position in shares of American Financial Group by 7.9% in the first quarter. Quantinno Capital Management LP now owns 48,326 shares of the insurance provider's stock valued at $6,172,000 after purchasing an additional 3,532 shares during the period. Institutional investors own 64.37% of the company's stock.

About American Financial Group

American Financial Group, Inc NYSE: AFG is a diversified holding company primarily engaged in property and casualty insurance and reinsurance. Through its flagship subsidiary, Great American Insurance Company, the firm underwrites a broad range of specialty insurance products for commercial and industrial clients, including inland marine, excess and surplus lines, executive liability, and environmental liability coverage. In addition, American Financial Group offers supplemental accident and health insurance and assumes reinsurance risks from other insurers, helping to diversify its underwriting portfolio.

The company traces its roots to 1946, when it was founded by Carl Lindner, Sr.

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