In a report released yesterday, Bob Huang from Morgan Stanley maintained a Buy rating on Allstate, with a price target of $235.00.
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Bob Huang has given his Buy rating due to a combination of factors that highlight Allstate’s potential for growth and stability. The company reported an increase in auto policies in force (PIF) by 17,000 for the month, indicating a positive trend in its growth trajectory, although slightly below expectations. This growth is significant as it positions Allstate favorably in the competitive auto insurance market, which is expected to see intensified competition as more carriers seek to expand their market share.
Additionally, Allstate’s pre-tax catastrophe losses were largely in line with estimates, which is a positive sign as the company heads into hurricane season. This indicates that Allstate is managing its catastrophe risk effectively, maintaining stability in its financial performance. Bob Huang believes that Allstate’s focus on profitable growth, coupled with its ability to manage risks, supports the Buy rating as the company is well-positioned to navigate the competitive landscape and achieve sustainable growth.
In another report released yesterday, KBW also maintained a Buy rating on the stock with a $237.00 price target.
ALL’s price has also changed slightly for the past six months – from $188.900 to $193.020, which is a 2.18% increase.