Morgan Stanley analyst Bob Huang maintained a Buy rating on Allstate yesterday and set a price target of $245.00.
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Bob Huang’s rating is based on Allstate’s robust performance in the auto insurance sector, where the company has shown significant growth in policies in force (PIF). In October, Allstate added 85,000 auto PIFs and 14,000 homeowner PIFs, indicating its strong position in a competitive market. The relatively mild catastrophe season has also contributed to Allstate’s positive outlook, as it is expected to support solid growth and maintain healthy margins as the year ends.
Additionally, Allstate’s valuation remains appealing, reinforcing the Buy rating. The company’s reduced pre-tax catastrophe losses, which were significantly lower than the previous year, further strengthen its financial standing. While industry competition and inflationary pressures are areas to watch, Allstate’s current trajectory and financial health justify the positive recommendation.
Huang covers the Financial sector, focusing on stocks such as Progressive, Principal Financial, and Accelerant Holdings Class A. According to TipRanks, Huang has an average return of -3.6% and a 48.44% success rate on recommended stocks.
In another report released on November 18, TR | OpenAI – 4o also reiterated a Buy rating on the stock with a $244.00 price target.