Loews (L) AI Stock Analysis

• Market Cap: $22.53B
• Dividend Yield: 0.23%
• Average Volume (3M): 714.63K
• Price to Earnings (P/E): 13.7
• Beta (1Y): 0.41
• Revenue Growth: 6.06%
• EPS Growth: -8.53%
• Country: US
• Employees: 13,000
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Property & Casualty
• EPS (TTM): 2.14
• Shares Outstanding: 206,052,870
• 10 Day Avg. Volume: 644,805
• 30 Day Avg. Volume: 714,625
• PEG Ratio: 0.55
• Price to Book (P/B): 1.18
• Price to Sales (P/S): 1.21
• P/FCF Ratio: 8.16
• Enterprise Value/Market Cap: 1.40
• Enterprise Value/Revenue: 1.74
• Enterprise Value/Gross Profit: 3.96
• Enterprise Value/Ebitda: 11.62
• 1Y Price Target: $49.04
• Price Target Upside: -55.19% Downside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): $21.90B

• Rating: 59 Neutral
• Price Target: $114.00 ▲(4.16% Upside)
• Action: Reiterated Date: 02/20/26
• Date: Action: Reiterated 02/20/26

The score is held back primarily by weaker and less reliable-looking 2025 fundamentals (revenue drop, negative operating results, and zero reported cash flow), despite steadier multi-year performance. Technicals are supportive with an established uptrend and healthy momentum, while valuation is fair but not boosted by income due to the very low dividend yield. The recent debt offering is mildly positive for funding flexibility but adds leverage.

Positive Factors

Diversified holding-company portfolio

Loews' business mix spans insurance, energy infrastructure, and hospitality, which smooths earnings cyclicality and concentration risk. This diversified operating base provides multiple, structurally different cash flow streams and strategic optionality for capital allocation over the medium term.

Manageable leverage and sizable equity

Trend of falling debt-to-equity and a sizable equity base indicate financial flexibility and resilience to shocks. Steady mid-single-digit ROE suggests disciplined capital deployment; manageable leverage supports investment and dividend capacity across the holding company and subsidiaries.

Consistent historical cash generation

Multi-year positive free cash flow and high conversion of net income to FCF indicate durable internal funding for operations and reinvestment. Strong prior cash conversion underpins the group's ability to service debt, fund capex, and support subsidiaries absent reliance on external financing.

Negative Factors

2025 reported zero operating cash flow

A reported drop to zero operating and free cash flow in 2025 creates major uncertainty about current cash-earnings quality and sustainability. If accurate, it weakens liquidity and raises questions on working-capital, cash recognition, or one-off items affecting medium-term cash generation.

Revenue and operating profit deterioration in 2025

A sharp revenue decline and negative operating margin in 2025 point to meaningful operational stress or a cyclical trough at subsidiaries. Persistent weaker operating performance would pressure margins, free cash flow, and the holding company's ability to fund dividends or investments sustainably.

New long-term debt increases leverage

The $500M ten-year senior note improves funding flexibility but raises long-term interest and principal obligations. Additional long-dated debt increases structural leverage and fixed-charge requirements, which could constrain capital allocation if operating cash flow remains weak over the medium term.

Loews Business Overview & Revenue Model

Company Description

Loews Corporation provides commercial property and casualty insurance in the United States and internationally. The company offers specialty insurance products, such as management and professional liability, and other coverage products; surety and fidelity bonds; property insurance products that include property, marine and boiler, and machinery coverages; and casualty insurance products, such as workers' compensation, general and product liability, and commercial auto and umbrella coverages. It also provides loss-sensitive insurance programs; and warranty, risk management, information, and claims administration services. The company markets its insurance products and services through independent agents, brokers, and managing general underwriters. In addition, the company is involved in the transportation and storage of natural gas and natural gas liquids(NGLs), and hydrocarbons through natural gas pipelines covering approximately 13,615 miles of interconnected pipelines; 450 miles of NGL pipelines in Louisiana and Texas; 14 underground storage fields with an aggregate gas capacity of approximately 213 billion cubic feet of natural gas; and eleven salt dome caverns and related brine infrastructure for providing brine supply services. Further, the company operates a chain of 26 hotels; and develops, manufactures, and markets a range of extrusion blow-molded and injection molded plastic containers for customers in the pharmaceutical, dairy, household chemicals, food/nutraceuticals, industrial/specialty chemicals, and water and beverage/juice segments, as well as manufactures commodity and differentiated plastic resins from recycled plastic materials. Loews Corporation was incorporated in 1969 and is headquartered in New York, New York.

How the Company Makes Money

Loews Corporation generates revenue through several key streams. Primarily, it earns income from its insurance operations, where CNA Financial provides various insurance products, including property, casualty, and specialty insurance. This sector contributes significantly to the company's earnings through premiums collected from policyholders. Additionally, Loews Hotels generates revenue from hotel room bookings, food and beverage sales, and event hosting services. The energy sector, represented by Boardwalk Pipelines, earns revenue through the transportation and storage of natural gas, charging fees for services rendered. Furthermore, Diamond Offshore Drilling contributes to revenue through contracts and day rates associated with offshore drilling services. Loews also benefits from strategic partnerships and investments that enhance its operational capabilities and financial performance.

Loews Financial Statement Overview

Summary

Multi-year fundamentals through 2024 look steady (improving net margins and manageable leverage), but 2025 introduces meaningful uncertainty: sharp revenue decline, negative operating profitability, and reported zero operating/free cash flow despite positive net income. This raises earnings-quality and data-consistency concerns that cap the score.

Income Statement

Profitability has generally been solid from 2021–2024 (net margin improving from ~5.9% in 2022 to ~8.2% in 2024), but 2025 shows a sharp reversal: revenue fell ~24.4% and operating results turned meaningfully negative (negative operating margin) despite still reporting positive net income (~12.3% net margin). This mix suggests weaker underlying operating performance in the latest year and higher earnings volatility versus peers.

Balance Sheet

Leverage looks manageable for the sector, with debt-to-equity trending down versus 2022 (from ~0.63 to ~0.46 in 2025). Equity is sizable and return on equity has been steady around ~8–9% in recent years (about ~8.1% in 2025). Main concern: in 2025, total assets are shown equal to equity, which is inconsistent with the presence of debt and suggests data quality or reporting classification noise in the latest period.

Cash Flow

Cash generation was strong and consistent from 2021–2024, with positive free cash flow each year and free cash flow running at roughly ~79–82% of net income (2023–2024). However, 2025 reports operating cash flow and free cash flow as zero with free cash flow growth at -100%, indicating a major deterioration or missing/partial cash flow data for the period—either way, it materially increases uncertainty around current cash earnings quality.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	18.18B	17.24B	15.68B	14.05B	13.73B
Gross Profit	7.98B	7.70B	6.97B	5.91B	5.91B
EBITDA	3.33B	2.90B	2.91B	2.00B	3.10B
Net Income	1.67B	1.41B	1.43B	822.00M	1.56B
Balance Sheet
Total Assets	86.35B	81.94B	79.20B	75.57B	81.63B
Cash, Cash Equivalents and Short-Term Investments	7.93B	6.90B	5.89B	43.01B	49.85B
Total Debt	9.49B	8.94B	9.00B	9.02B	9.08B
Total Liabilities	66.71B	64.01B	62.67B	60.37B	62.45B
Stockholders Equity	18.69B	17.07B	15.70B	14.35B	17.85B
Cash Flow
Free Cash Flow	2.70B	2.39B	3.22B	2.65B	2.14B
Operating Cash Flow	3.28B	3.02B	3.91B	3.31B	2.62B
Investing Cash Flow	-2.83B	-1.98B	-2.75B	-2.35B	-1.19B
Financing Cash Flow	-513.00M	-898.00M	-1.30B	-1.04B	-1.29B

Loews Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 109.45
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For L, the sentiment is Positive. The current price of 109.45 is above the 20-day moving average (MA) of 108.56, above the 50-day MA of 106.20, and above the 200-day MA of 98.40, indicating a bullish trend. The MACD of 1.11 indicates Positive momentum. The RSI at 57.64 is Neutral, neither overbought nor oversold. The STOCH value of 34.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for L.

Loews Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MKL	82 Outperform	$26.07B	12.23	―	―	-6.96%	-26.28%
CINF	77 Outperform	$25.01B	10.59	16.04%	2.10%	-0.63%	-30.68%
AFG	74 Outperform	$10.91B	12.98	―	6.71%	―	-10.75%
CNA	71 Outperform	$12.75B	10.04	9.03%	8.03%	5.41%	-23.52%
WRB	71 Outperform	$27.22B	16.10	19.67%	1.88%	11.08%	22.01%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
L	59 Neutral	$22.53B	13.71	9.33%	0.23%	6.06%	-8.53%

Loews Corporate Events

Loews Completes $500 Million Senior Notes Offering

On February 18, 2026, Loews Corporation completed a $500 million public offering of 4.940% Senior Notes due 2036, issued under its existing shelf registration with the U.S. Securities and Exchange Commission. The notes, sold through an underwriting syndicate led by major banks and governed by a longstanding indenture, pay semi-annual interest starting October 1, 2026 and carry standard optional redemption terms, bolstering Loews’ long-term funding profile and capital structure.

The notes may be redeemed at a make-whole price before January 1, 2036, and at par plus accrued interest on or after that date, giving Loews flexibility to manage interest costs over the life of the securities. This transaction underscores the company’s continued access to public debt markets and supports its ability to finance ongoing corporate needs and investments across its diversified portfolio of businesses.

The most recent analyst rating on (L) stock is a Hold with a $116.00 price target. To see the full list of analyst forecasts on Loews stock, see the L Stock Forecast page.