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Progressive (PGR) Ascends While Market Falls: Some Facts to Note

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In the latest market close, Progressive (PGR - Free Report) reached $261.29, with a +0.36% movement compared to the previous day. The stock outperformed the S&P 500, which registered a daily loss of 0.19%. Meanwhile, the Dow lost 0.55%, and the Nasdaq, a tech-heavy index, lost 0.18%.

Prior to today's trading, shares of the insurer had gained 0.62% over the past month. This has lagged the Finance sector's gain of 6.9% and the S&P 500's gain of 6.66% in that time.

The upcoming earnings release of Progressive will be of great interest to investors. On that day, Progressive is projected to report earnings of $3.16 per share, which would represent year-over-year growth of 6.76%. Alongside, our most recent consensus estimate is anticipating revenue of $19.84 billion, indicating a 19.62% upward movement from the same quarter last year.

PGR's full-year Zacks Consensus Estimates are calling for earnings of $13.20 per share and revenue of $74.35 billion. These results would represent year-over-year changes of +116.04% and +20.4%, respectively.

Any recent changes to analyst estimates for Progressive should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.37% upward. Progressive is holding a Zacks Rank of #3 (Hold) right now.

In the context of valuation, Progressive is at present trading with a Forward P/E ratio of 19.73. Its industry sports an average Forward P/E of 14.37, so one might conclude that Progressive is trading at a premium comparatively.

Also, we should mention that PGR has a PEG ratio of 0.72. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Insurance - Property and Casualty industry had an average PEG ratio of 1.48.

The Insurance - Property and Casualty industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 29, finds itself in the top 12% echelons of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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