Allstate (NYSE:ALL) Trading Up 3.3% – Still a Buy?

The Allstate Co. (NYSE:ALL)’s share price was up 3.3% on Thursday . The company traded as high as $212.91 and last traded at $211.70. Approximately 1,018,564 shares were traded during mid-day trading, a decline of 32% from the average daily volume of 1,495,591 shares. The stock had previously closed at $204.87.

Analysts Set New Price Targets

A number of research analysts recently weighed in on ALL shares. Keefe, Bruyette & Woods lifted their price objective on shares of Allstate from $235.00 to $240.00 and gave the company an “outperform” rating in a research note on Tuesday, February 11th. Evercore ISI upgraded shares of Allstate from an “in-line” rating to an “outperform” rating in a research note on Wednesday, January 8th. Piper Sandler lifted their price objective on shares of Allstate from $206.00 to $244.00 and gave the company an “overweight” rating in a research note on Tuesday, November 26th. Wells Fargo & Company lifted their price objective on shares of Allstate from $186.00 to $187.00 and gave the company an “equal weight” rating in a research note on Tuesday, January 14th. Finally, Barclays reduced their price target on shares of Allstate from $187.00 to $183.00 and set an “underweight” rating for the company in a research report on Monday, January 6th. One equities research analyst has rated the stock with a sell rating, one has given a hold rating, fifteen have issued a buy rating and one has given a strong buy rating to the company. According to MarketBeat.com, Allstate currently has a consensus rating of “Moderate Buy” and an average target price of $217.94.

Allstate Price Performance

The company has a debt-to-equity ratio of 0.42, a current ratio of 0.36 and a quick ratio of 0.40. The firm has a market capitalization of $54.76 billion, a P/E ratio of 12.16, a P/E/G ratio of 1.01 and a beta of 0.47. The firm’s 50 day simple moving average is $193.75 and its two-hundred day simple moving average is $193.07.

Allstate (NYSE:ALL) last posted its quarterly earnings results on Wednesday, February 5th. The insurance provider reported $7.67 earnings per share for the quarter, topping the consensus estimate of $5.40 by $2.27. Allstate had a net margin of 7.28% and a return on equity of 28.20%. As a group, analysts predict that The Allstate Co. will post 18.74 earnings per share for the current year.

Allstate Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, April 1st. Shareholders of record on Monday, March 10th will be paid a $1.00 dividend. The ex-dividend date is Monday, March 10th. This is an increase from Allstate’s previous quarterly dividend of $0.92. This represents a $4.00 annualized dividend and a yield of 1.94%. Allstate’s payout ratio is currently 23.54%.

Allstate declared that its Board of Directors has approved a stock repurchase plan on Wednesday, February 26th that permits the company to buyback $1.50 billion in shares. This buyback authorization permits the insurance provider to purchase up to 3% of its shares through open market purchases. Shares buyback plans are usually an indication that the company’s management believes its stock is undervalued.

Insider Activity

In related news, CFO Jesse E. Merten sold 40,102 shares of the business’s stock in a transaction dated Monday, February 10th. The shares were sold at an average price of $186.53, for a total transaction of $7,480,226.06. Following the transaction, the chief financial officer now owns 18,115 shares in the company, valued at $3,378,990.95. The trade was a 68.88 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 1.80% of the company’s stock.

Hedge Funds Weigh In On Allstate

Several hedge funds and other institutional investors have recently modified their holdings of the stock. Wealth Enhancement Advisory Services LLC increased its position in shares of Allstate by 21.8% during the fourth quarter. Wealth Enhancement Advisory Services LLC now owns 118,319 shares of the insurance provider’s stock valued at $22,811,000 after buying an additional 21,149 shares during the period. NorthCrest Asset Manangement LLC increased its position in shares of Allstate by 1.6% during the fourth quarter. NorthCrest Asset Manangement LLC now owns 11,121 shares of the insurance provider’s stock valued at $2,144,000 after buying an additional 174 shares during the period. Mattson Financial Services LLC purchased a new position in shares of Allstate during the fourth quarter valued at about $44,000. Park Square Financial Group LLC purchased a new position in shares of Allstate during the fourth quarter valued at about $170,000. Finally, Universal Beteiligungs und Servicegesellschaft mbH purchased a new stake in Allstate in the fourth quarter worth about $34,350,000. Hedge funds and other institutional investors own 76.47% of the company’s stock.

About Allstate

The Allstate Corporation, together with its subsidiaries, provides property and casualty, and other insurance products in the United States and Canada. It operates in five segments: Allstate Protection; Protection Services; Allstate Health and Benefits; Run-off Property-Liability; and Corporate and Other segments.