Analyst Elyse Greenspan of Wells Fargo maintained a Buy rating on Progressive, boosting the price target to $333.00.
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Elyse Greenspan’s rating is based on Progressive’s strategic management of its expenses and pricing strategies. The company has demonstrated operating leverage by improving its expense ratio, excluding advertising spend, which indicates efficient cost management. Additionally, Progressive’s decision to maintain elevated advertising expenditure suggests a commitment to growth, which could enhance its market position.
Furthermore, despite the challenges posed by tariff uncertainties and potential impacts on loss costs, Progressive has managed to keep its personal auto rates stable and adequately priced in most states. The company is also proactive in adjusting its rates for personal property and commercial auto, which reflects its adaptability to market conditions. These factors combined contribute to Greenspan’s confidence in the company’s potential for future profitability, justifying the Buy rating.
According to TipRanks, Greenspan is a 4-star analyst with an average return of 6.5% and a 56.71% success rate. Greenspan covers the Financial sector, focusing on stocks such as Progressive, Corebridge Financial, Inc., and Allstate.