Zacks Research Has Optimistic Outlook of AFG Q3 Earnings

Key Points

• Zacks Research raised its Q3 2027 EPS estimate for American Financial Group to $2.73 from $2.34, signaling a more optimistic outlook. The firm also projected Q4 2027 EPS of $3.74 and Q1 2028 EPS of $2.78.
• Analyst sentiment remains mixed but generally cautious: the stock has a consensus rating of “Hold” with a consensus price target of $143.75. Recent updates included higher targets from Piper Sandler, Wells Fargo, and Keefe, Bruyette & Woods, while Weiss Ratings upgraded the stock to “buy.”
• AFG’s latest quarter missed EPS expectations but beat revenue, posting $2.47 per share versus the $2.54 consensus, while revenue came in at $1.85 billion above estimates. The company also pays a quarterly dividend of $0.88, or $3.52 annually, for a 2.6% yield.

American Financial Group, Inc. (NYSE:AFG - Free Report) - Analysts at Zacks Research boosted their Q3 2027 earnings per share (EPS) estimates for shares of American Financial Group in a research report issued on Wednesday, May 13th. Zacks Research analyst Team now forecasts that the insurance provider will post earnings of $2.73 per share for the quarter, up from their previous estimate of $2.34. The consensus estimate for American Financial Group's current full-year earnings is $11.21 per share. Zacks Research also issued estimates for American Financial Group's Q4 2027 earnings at $3.74 EPS and Q1 2028 earnings at $2.78 EPS.

Several other analysts also recently commented on the stock. Piper Sandler upped their price objective on shares of American Financial Group from $129.00 to $135.00 and gave the company a "neutral" rating in a report on Friday, May 1st. Wells Fargo & Company upped their price objective on shares of American Financial Group from $155.00 to $158.00 and gave the company an "overweight" rating in a report on Wednesday, May 6th. Keefe, Bruyette & Woods upped their price objective on shares of American Financial Group from $134.00 to $140.00 and gave the company a "market perform" rating in a report on Wednesday, March 25th. Finally, Weiss Ratings raised shares of American Financial Group from a "hold (c+)" rating to a "buy (b-)" rating in a report on Monday, March 16th. Two equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company's stock. According to MarketBeat.com, American Financial Group currently has a consensus rating of "Hold" and a consensus price target of $143.75.

American Financial Group Stock Down 0.1%

AFG stock opened at $134.12 on Monday. The firm's fifty day simple moving average is $129.88 and its 200-day simple moving average is $132.42. The company has a market capitalization of $11.14 billion, a P/E ratio of 12.75 and a beta of 0.65. The company has a debt-to-equity ratio of 0.39, a current ratio of 0.48 and a quick ratio of 0.48. American Financial Group has a 12 month low of $120.52 and a 12 month high of $150.02.

American Financial Group (NYSE:AFG - Get Free Report) last posted its quarterly earnings results on Thursday, April 30th. The insurance provider reported $2.47 earnings per share for the quarter, missing the consensus estimate of $2.54 by ($0.07). The firm had revenue of $1.85 billion for the quarter, compared to analysts' expectations of $1.70 billion. American Financial Group had a net margin of 10.76% and a return on equity of 19.50%. The firm's revenue for the quarter was down .1% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.81 EPS.

Institutional Trading of American Financial Group

A number of hedge funds have recently added to or reduced their stakes in AFG. Cassaday & Co Wealth Management LLC purchased a new stake in American Financial Group during the first quarter worth $26,000. Global Retirement Partners LLC boosted its holdings in American Financial Group by 904.8% during the fourth quarter. Global Retirement Partners LLC now owns 211 shares of the insurance provider's stock worth $29,000 after buying an additional 190 shares in the last quarter. Root Financial Partners LLC purchased a new position in American Financial Group during the third quarter worth approximately $34,000. Clearstead Advisors LLC boosted its position in American Financial Group by 87.7% during the fourth quarter. Clearstead Advisors LLC now owns 259 shares of the insurance provider's stock worth $35,000 after purchasing an additional 121 shares in the last quarter. Finally, Smartleaf Asset Management LLC boosted its position in American Financial Group by 165.0% during the third quarter. Smartleaf Asset Management LLC now owns 273 shares of the insurance provider's stock worth $39,000 after purchasing an additional 170 shares in the last quarter. 64.37% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at American Financial Group

In related news, CFO Brian S. Hertzman sold 1,663 shares of the stock in a transaction on Friday, February 27th. The shares were sold at an average price of $133.70, for a total transaction of $222,343.10. Following the sale, the chief financial officer directly owned 12,073 shares of the company's stock, valued at approximately $1,614,160.10. This represents a 12.11% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Company insiders own 16.90% of the company's stock.

American Financial Group Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, April 24th. Stockholders of record on Wednesday, April 15th were paid a $0.88 dividend. The ex-dividend date was Wednesday, April 15th. This represents a $3.52 dividend on an annualized basis and a dividend yield of 2.6%. American Financial Group's dividend payout ratio is presently 33.46%.

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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