Track market-moving stories before they get noisy

Allstate (ALL - Free Report) ended the recent trading session at $249.91, demonstrating a +1.24% change from the preceding day's closing price. The stock outperformed the S&P 500, which registered a daily gain of 0.28%. At the same time, the Dow added 1.02%, and the tech-heavy Nasdaq lost 0.02%.

Coming into today, shares of the insurer had gained 1.64% in the past month. In that same time, the Finance sector lost 2.55%, while the S&P 500 gained 0.67%.

Analysts and investors alike will be keeping a close eye on the performance of Allstate in its upcoming earnings disclosure. The company's earnings report is set to go public on November 4, 2026. The company is predicted to post an EPS of $7.03, indicating a 37.06% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $17.84 billion, up 4.93% from the year-ago period.

For the annual period, the Zacks Consensus Estimates anticipate earnings of $36.2 per share and a revenue of $71.04 billion, signifying shifts of +3.93% and +4.69%, respectively, from the last year.

Investors should also note any recent changes to analyst estimates for Allstate. Recent revisions tend to reflect the latest near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.

The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 2.11% upward. Currently, Allstate is carrying a Zacks Rank of #3 (Hold).

Looking at its valuation, Allstate is holding a Forward P/E ratio of 6.82. This indicates a discount in contrast to its industry's Forward P/E of 11.34.

Also, we should mention that ALL has a PEG ratio of 0.55. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Insurance - Property and Casualty industry had an average PEG ratio of 1.89 as trading concluded yesterday.

The Insurance - Property and Casualty industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 70, positioning it in the top 29% 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.

To follow ALL in the coming trading sessions, be sure to utilize Zacks.com.

Research Chief Names "Single Best Pick to Double"

From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.

This company targets millennial and Gen Z audiences, generating nearly $1 billion in revenue last quarter alone. A recent pullback makes now an ideal time to jump aboard. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.

Free: See Our Top Stock And 4 Runners Up

If you are looking for a stock that has a solid history of beating earnings estimates and is in a good position to maintain the trend in its next quarterly report, you should consider Allstate (ALL - Free Report) . This company, which is in the Zacks Insurance - Property and Casualty industry, shows potential for another earnings beat.

This insurer has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. The average surprise for the last two quarters was 49.71%.

For the last reported quarter, Allstate came out with earnings of $8.99 per share versus the Zacks Consensus Estimate of $5.76 per share, representing a surprise of 56.08%. For the previous quarter, the company was expected to post earnings of $7.43 per share and it actually produced earnings of $10.65 per share, delivering a surprise of 43.34%.

Price and EPS Surprise

For Allstate, estimates have been trending higher, thanks in part to this earnings surprise history. And when you look at the stock's positive Zacks Earnings ESP (Expected Surprise Prediction), it's a great indicator of a future earnings beat, especially when combined with its solid Zacks Rank.

Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Allstate has an Earnings ESP of +3.38% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #3 (Hold), it shows that another beat is possibly around the corner. The company's next earnings report is expected to be released on November 4, 2026.

Investors should note, however, that a negative Earnings ESP reading is not indicative of an earnings miss, but a negative value does reduce the predictive power of this metric.

Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. On the other hand, some stocks may hold their ground even if they end up missing the consensus estimate.

Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

by Lisa Stiffler on

Inrix co-founder and CEO Bryan Mistele above rush-hour traffic on Interstate 5 in Seattle in 2011. After more than two decades of turning traffic data into a business, Inrix has agreed to sell substantially all of its assets to Arity, a subsidiary of Allstate. (GeekWire File Photo / Annie Laurie Malarkey) Inrix, the Bellevue, Wash.-based traffic data company that spun out of Microsoft in 2004 and became one of the Seattle region’s longest-running independent tech companies, has agreed to sell substantially all of its assets to Arity, the mobility data subsidiary of insurance giant Allstate.

The deal, announced Friday, would end Inrix‘s 22-year run as a standalone company. Inrix has raised more than $288 million and flirted with an IPO multiple times over its lifetime. Terms were not disclosed. The companies expect the acquisition to close later this year.

Founded in 2016, Chicago-based Arity analyzes driving behavior for insurers, marketers and public-sector customers. It says it has amassed more than 3 trillion miles of driving data. The acquisition would pair that information with Inrix’s analytics on traffic, road conditions and transportation networks.

“By combining Arity’s predictive insights on driving behavior and risk with Inrix’s transportation intelligence and mobility analytics, we will be uniquely positioned to deliver more robust intelligence and insights into how people, vehicles, goods, and roads interact,” Gary Hallgren, president of Arity, said in a statement.

While the companies are touting the benefits of combining their data and analytics, Arity’s data practices have faced legal scrutiny. In January 2025, Texas sued Allstate and Arity, alleging they collected and sold consumers’ driving and location data without adequate consent. Responding to a separate consumer privacy lawsuit in March, Allstate told Reuters that users receive clear notice and explicitly opt in to sharing their driving data.

The proposed acquisition charts an alternate course to Inrix’s earlier plans for going public. In 2012, Inrix hired Goldman Sachs and JPMorgan Chase with an eye toward a 2013 IPO that was expected to raise up to $100 million. The company looked to go public again in 2022 but backed out amid economic uncertainty stemming from Russia’s invasion of Ukraine and other factors.

“We were about two weeks away from filing our documents with the SEC,” Inrix CEO Bryan Mistele said in an August 2022 GeekWire story. “We’re on standby right now, waiting to see when the markets and economy improve, in which case we’ll take another run at it.”

Inrix serves corporate, automotive, technology and public-sector customers including Amazon, IBM, General Motors, Windermere Real Estate and state departments of transportation.

The company got its start selling traffic and transportation-related data. In recent years, it moved beyond supplying raw traffic data into subscription software that helps customers interpret it, including tools for traffic-signal timing, road safety and retail site selection.

Recent public releases include its first Parking Scorecard, which ranks the availability and cost of parking in major cities in the U.S. and Europe.

Inrix has about 277 employees, based on LinkedIn data. The companies did not say whether all of them would remain or whether Inrix would keep its Bellevue headquarters.

The story will be updated with additional information as it becomes available.

It doesn't matter your age or experience: taking full advantage of the stock market and investing with confidence are common goals for all investors. Luckily, Zacks Premium offers several different ways to do both.

Featuring daily updates of the Zacks Rank and Zacks Industry Rank, full access to the Zacks #1 Rank List, Equity Research reports, and Premium stock screens, the research service can help you become a smarter, more self-assured investor.

It also includes access to the Zacks Style Scores.

What are the Zacks Style Scores? The Zacks Style Scores, developed alongside the Zacks Rank, are complementary indicators that rate stocks based on three widely-followed investing methodologies; they also help investors pick stocks with the best chances of beating the market over the next 30 days.

Each stock is assigned a rating of A, B, C, D, or F based on their value, growth, and momentum characteristics. Just like in school, an A is better than a B, a B is better than a C, and so on -- that means the better the score, the better chance the stock will outperform.

The Style Scores are broken down into four categories:

Value ScoreFinding good stocks at good prices, and discovering which companies are trading under their true value, are what value investors like to focus on. So, the Value Style Score takes into account ratios like P/E, PEG, Price/Sales, Price/Cash Flow, and a host of other multiples to highlight the most attractive and discounted stocks.

Growth ScoreGrowth investors, on the other hand, are more concerned with a company's financial strength and health, and its future outlook. The Growth Style Score examines things like projected and historic earnings, sales, and cash flow to find stocks that will experience sustainable growth over time.

Momentum ScoreMomentum trading is all about taking advantage of upward or downward trends in a stock's price or earnings outlook, and these investors live by the saying "the trend is your friend." The Momentum Style Score can pinpoint good times to build a position in a stock, using factors like one-week price change and the monthly percentage change in earnings estimates.

VGM ScoreIf you like to use all three kinds of investing, then the VGM Score is for you. It's a combination of all Style Scores, and is an important indicator to use with the Zacks Rank. The VGM Score rates each stock on their shared weighted styles, narrowing down the companies with the most attractive value, best growth forecast, and most promising momentum.

How Style Scores Work with the Zacks Rank The Zacks Rank, which is a proprietary stock-rating model, employs earnings estimate revisions, or changes to a company's earnings expectations, to make building a winning portfolio easier.

It's highly successful, with #1 (Strong Buy) stocks producing an unmatched +23.82% average annual return since 1988. That's more than double the S&P 500. But because of the large number of stocks we rate, there are over 200 companies with a Strong Buy rank, plus another 600 with a #2 (Buy) rank, on any given day.

But it can feel overwhelming to pick the right stocks for you and your investing goals with over 800 top-rated stocks to choose from.

That's where the Style Scores come in.

To maximize your returns, you want to buy stocks with the highest probability of success. This means picking stocks with a Zacks Rank #1 or #2 that also have Style Scores of A or B. If you find yourself looking at stocks with a #3 (Hold) rank, make sure they have Scores of A or B as well to ensure as much upside potential as possible.

The direction of a stock's earnings estimate revisions should always be a key factor when choosing which stocks to buy, since the Scores were created to work together with the Zacks Rank.

Here's an example: a stock with a #4 (Sell) or #5 (Strong Sell) rating, even one with Style Scores of A and B, still has a downward-trending earnings outlook, and a bigger chance its share price will decrease too.

Thus, the more stocks you own with a #1 or #2 Rank and Scores of A or B, the better.

Stock to Watch: Allstate (ALL - Free Report) Founded in 1931 and headquartered in Northbrook, IL, The Allstate Corporation is the third-largest property-casualty (P&C) insurer and the largest publicly-held personal lines carrier in the United States. The company also provides a range of life insurance and investment products to its diverse customer base. It provides insurance products to approximately 16 million households through more than 12,000 exclusive agencies and financial specialists in the United States and Canada. As of Dec. 31, 2025, total policies in force amounted to 210.9 million, up 3% year over year. The company generated $67.7 billion in revenues in 2025, in which Property and casualty insurance premiums witnessed continued growth. Net investment income is also on the rise.

ALL is a #3 (Hold) on the Zacks Rank, with a VGM Score of A.

Additionally, the company could be a top pick for growth investors. ALL has a Growth Style Score of B, forecasting year-over-year earnings growth of 3.4% for the current fiscal year.

For fiscal 2026, seven analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $2.23 to $36.00 per share. ALL boasts an average earnings surprise of +45.3%.

With a solid Zacks Rank and top-tier Growth and VGM Style Scores, ALL should be on investors' short list.

In the latest close session, Allstate (ALL - Free Report) was up +1.38% at $232.60. The stock exceeded the S&P 500, which registered a loss of 0.06% for the day. Elsewhere, the Dow saw an upswing of 0.38%, while the tech-heavy Nasdaq depreciated by 0.44%.

Heading into today, shares of the insurer had lost 9.57% over the past month, lagging the Finance sector's loss of 2.69% and the S&P 500's gain of 2.36%.

The investment community will be paying close attention to the earnings performance of Allstate in its upcoming release. The company is slated to reveal its earnings on November 4, 2026. The company is predicted to post an EPS of $6.57, indicating a 41.18% decline compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $17.84 billion, indicating a 4.93% upward movement from the same quarter last year.

For the full year, the Zacks Consensus Estimates project earnings of $35.83 per share and a revenue of $71.25 billion, demonstrating changes of +2.87% and +5.01%, respectively, from the preceding year.

It is also important to note the recent changes to analyst estimates for Allstate. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.92% higher. Right now, Allstate possesses a Zacks Rank of #3 (Hold).

With respect to valuation, Allstate is currently being traded at a Forward P/E ratio of 6.4. This denotes a discount relative to the industry average Forward P/E of 10.87.

It is also worth noting that ALL currently has a PEG ratio of 0.51. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Insurance - Property and Casualty industry had an average PEG ratio of 1.84 as trading concluded yesterday.

The Insurance - Property and Casualty industry is part of the Finance sector. With its current Zacks Industry Rank of 62, this industry ranks in the top 26% of all industries, numbering over 250.

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.

You can find more information on all of these metrics, and much more, on Zacks.com.

Key Takeaways Protection Services revenues rose 7.8% to $935 million, but adjusted net income fell to $53 million.Higher claims costs and weaker major appliance margins continue to pressure Protection Plans profitability.Roadside growth and lower Arity losses could partly offset pressure on segment earnings.
The Allstate Corporation’s (ALL - Free Report) Protection Services business offers opportunities to diversify earnings beyond traditional property and casualty insurance. With 177 million policies in force and more than $200 million in adjusted net income over the trailing 12 months, the segment has established a sizable operating base. However, weaker profitability at its largest business raises questions about the returns from continued expansion.

In the second quarter of 2026, Protection Services revenues increased 7.8% year over year to $935 million, while adjusted net income declined to $53 million from $60 million. The adjusted net income-to-revenue ratio narrowed to approximately 5.7% from 6.9%, indicating that revenue growth is yet to translate into stronger earnings. Allstate Protection Plans remains the segment's primary growth driver, supported by expanding retail partnerships and broader product offerings.

However, higher claims costs and weaker margins on major appliance coverage have weighed on profitability. Better claims management and product pricing could help improve margins as the business scales. Roadside offers additional growth opportunities through increased bundling with Allstate's auto insurance products and new partnerships. Meanwhile, Arity's advertising business is expanding, although continued losses remain a constraint.

Looking ahead, improved Protection Plans profitability will be essential to stronger segment earnings. Roadside's improving performance and lower Arity losses could provide a partial offset, but the durability of earnings growth will depend on Allstate's ability to manage costs as the business expands.

How Are Competitors Faring?Allstate’s peers in the Finance space, Assurant, Inc. (AIZ - Free Report) and American International Group (AIG - Free Report) , operate across protection products and insurance markets.

Assurant benefits from demand for mobile device, appliance and vehicle protection plans. Growth in service contracts and specialty insurance supports revenue expansion, while claims costs and pricing remain important factors influencing AIZ’s profitability.

American International Group generates earnings through commercial insurance, specialty coverage and risk solutions. Its diversified operations provide exposure to multiple insurance markets, while underwriting discipline, claims costs and pricing conditions remain key drivers of AIG’s profitability and sustainable growth.

ALL’s Price Performance, Valuation & EstimatesShares of Allstate Corporation have gained 11.6% over the past year compared with the industry’s 3.1% growth over the same period.

Image Source: Zacks Investment Research

From a valuation standpoint, ALL trades at a trailing 12-month price-to-tangible book ratio of 2.08, above the industry average of 1.67. ALL carries a Value Score of A.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for ALL’s 2026 earnings is pegged at $35.83 per share, indicating 2.9% year-over-year growth.

Image Source: Zacks Investment Research

ALL currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Hurricanes, market crashes, and rate shocks tend to destroy dividend streaks, but a handful of insurance stocks are engineered to keep paying through all three. The catch is that each one carries a specific vulnerability most income investors overlook.

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Insurance stocks offer modest yields. What they give income investors is harder to find: dividend checks that keep coming after hurricanes, market crashes and rate shocks. The reason is a business with two drivers. Underwriting profit is whatever is left from premiums after claims and expenses are paid. Investment income comes from the float, the pool of premium cash an insurer holds and invests until claims come due.

When rates rise, the float makes more. A rate shock that pressures a heavily indebted industrial company can actually help an insurer. Right now both drivers are running hard: Chubb (NYSE:CB | CB Price Prediction) reported that its property and casualty combined ratio improved to 84.0% from 95.7% in the first quarter as the prior year’s wildfire losses rolled off. Yields in this group are modest. The case for owning them is durability.

These five stocks fall into two camps, and each camp has its own weak spot. Chubb, Travelers (NYSE:TRV) and Allstate (NYSE:ALL) are property and casualty (P&C) insurers. Their dividends depend on underwriting discipline, reserve adequacy and catastrophe exposure. MetLife (NYSE:MET) and Prudential Financial (NYSE:PRU) are life and annuity companies. Their dividends depend on interest rate spreads, reserve assumptions and liabilities that run for decades.

Chubb (P&C Camp): An All-Weather Payer With Room to Spare Chubb yields 1.19% at $336.69. The quarterly dividend rose to $1.02 from $0.97, which works out to an annualized $4.08. Trailing dividends of $3.93 against EPS of $28.23 give a payout ratio of about 13.9%. A very large margin remains. Adjusted operating cash flow came to $3.5 billion in the quarter, and book value reached a record $75 billion, or $195.45 per share.

The dividend record holds up under stress. The payout rose every year from $0.67 in March 2016 to today’s level, including during the pandemic and through a wildfire quarter in which catastrophe losses hit $1.64B.

For income investors, investment income is the main attraction. Adjusted net investment income reached a record $1.88 billion, up more than 11%. Chubb’s investment chief said “our reinvestment rate of 5.5% is a structurally attractive level, sitting well above the portfolio’s book yield of 5.1%.” On top of that, the board approved a new $7.5 billion buyback.

Risk: Catastrophe exposure. Weather events alone caused $475 million in pre-tax catastrophe losses last quarter, and a severe hurricane season could quickly take back part of the recent combined ratio gains.

Travelers (P&C Camp): 22 Straight Raises and a Rare Reserve Cushion Travelers yields 1.26% at $362.64. Its $1.25 quarterly dividend was a 14% increase, and management said it marked 22 consecutive years of dividend increases with an 8% compound annual growth rate. The payout ratio is about 12.2% of trailing EPS. Trailing 12-month operating cash flow surpassed $11 billion. The investment portfolio tops $100 billion, and 99% of its fixed income holdings are investment grade.

Reserves are where Travelers stands out. The company recorded net positive prior-year development in 19 of the last 20 years, totaling $15 billion pre-tax. Its payment history shows the dividend rising from $0.30 in 2008 to $0.33 in 2009, so it kept growing through the financial crisis.

The bull case is earnings power. The second-quarter combined ratio came in at 83.6%, core ROE was 24.9%, and after-tax net investment income rose 14% to $883M. New-money yields were about 90 basis points above the portfolio’s embedded yield. Travelers’ chief executive describes the model as built for “industry-leading returns at industry-low volatility.”

Risk: Catastrophe exposure. Travelers chose not to renew the personal-lines CAT XOL treaty it had bought in prior years, which means it now keeps more storm risk on its own books.

Allstate (P&C Camp): Thinnest Payout Ratio in the Group After a Sharp Pullback Allstate yields 1.85% at $224.74, after the stock fell 13.42% over the past month. The quarterly dividend went to $1.08 from $1.00. The payout ratio is only about 8.3%, the lowest of the five. The holding company has $9.5 billion of available capital, roughly $37 per share.

This history includes a real lesson. The quarterly dividend fell from $0.41 in 2008 to $0.20 in 2009. Since then it has rebuilt to more than five times that level, and it rose from $0.54 in 2020 to $0.81 in 2021, raising through the pandemic.

The bull case is valuation supported by results. Second-quarter adjusted EPS of $8.99 beat the $6.07 estimate. The combined ratio improved to 86.6, and net investment income reached $1.009B. The stock trades at a trailing P/E of 4 and a forward P/E of 8, with $2.6 billion still remaining on its buyback authorization.

Risk: Catastrophe exposure. Management calls Allstate “certainly the biggest U.S. buyer of property liability catastrophe insurance,” but catastrophe losses still came to $1.72B last quarter, and homeowners ran at a 94.6 combined ratio.

The second camp faces a different kind of stress. For MetLife and Prudential, a hurricane matters far less than a long slide in interest rates, a weak private equity quarter or a change in mortality assumptions.

MetLife (Life Camp): Steady Raises Backed by a Liquidity Buffer MetLife yields 2.37% at $96.22. The quarterly dividend increased to $0.5925 from $0.5675. The payout ratio is about 43.8% of GAAP EPS of $5.24, a figure pulled down by derivative marks and investment losses. Holding companies held $3.4 billion in cash and liquid assets, inside the $3 to $4 billion target range.

The dividend rose every year in the record, from $0.40 during 2016 to 2017 to today’s level. That includes a move from $0.44 to $0.46 during the pandemic.

The bull case comes from balance. First-quarter adjusted EPS rose 23% and net investment income grew 10% to $5.36B. The PineBridge deal added roughly $99.5B of institutional assets. Management describes two earnings drivers that make the company “more balanced, more resilient, and better positioned to perform through different market environments.” The forward P/E is 11.

Risk: Spread sensitivity. Total investment spread came in at 97 basis points, short of the 100 to 120 basis points guidance range because private equity returns were weaker. Management also warned that “there’s no free lunch with just changing the portfolio.”

Prudential Financial (Life Camp): Richest Yield of the Five, 18 Years of Raises Prudential yields 4.85% at $112.28, more than any peer in this group. The $1.40 quarterly dividend was a 4% increase, and the company said it marked the 18th consecutive year of dividend increases. The payout ratio runs about 49.8%, the highest of the five, so coverage is solid with a smaller margin than its peers. Cash and liquid assets totaled $4.2 billion, above the $3 billion minimum, and management says capital supports its AA financial strength ratings. Management also expects no material capital impact from the Prudential of Japan sales suspension. One note on the trailing dividend: it includes a separate $0.3516 payment in addition to the regular dividend.

Prudential’s history includes a crisis-era reset: annual records show $1.15 in 2007 and $0.58 in 2008. The current run of increases has been building ever since.

The bull case is a business mix shifting toward fee income. Second-quarter adjusted operating income was $4.08 per share, up 14%. The asset management arm’s margin hit 28.2%, and management is targeting $750 million in run-rate savings. The forward P/E is 10.

Risk: Spread and assumption sensitivity. The annual assumption update produced a $379 million GAAP loss, linked to lapse and mortality changes. Management also said statutory impacts can shift with interest rates and equity markets.

Two Camps, One Basket Built to Absorb Shocks Chubb, Travelers and Allstate pay out a small share of earnings and rely on underwriting discipline to get through storm seasons. MetLife and Prudential pay out more, but their exposure is to interest rates and spreads, which are a different set of risks from hurricanes. Owning both camps spreads a portfolio’s income across hurricanes, market crashes and rate shocks. Keep an eye on hurricane-season losses and the direction of interest rates, since these businesses earn more on its float whenever rates rise.

Contact [email protected] for any questions or corrections.

Allstate's Auto Lab uses real vehicles, diagnostic technology and hands-on training to help claims adjusters identify hidden damage that may not be visible from the exterior, supporting more informed assessments and customer guidance

Key takeaways:

Allstate's Auto Lab features 22 vehicles and four motorcycles, including electric, hybrid and gas-powered models, allowing claims adjusters to gain hands-on experience with the vehicles and technologies customers drive today. The lab was designed using insights from more than 3.5 million auto claims to mirror the most common vehicle damage scenarios and repair challenges customers experience. Advanced training tools, including vehicle lifts, repair demonstrations and diagnostic technology, help claims adjusters build deeper expertise, supporting more informed assessments and clearer guidance for customers. , /PRNewswire/ -- The Auto Lab at Allstate Claims University is a hands-on vehicle training facility where claims adjusters evaluate real damaged vehicles and gain firsthand experience with the technologies shaping today's repairs. The Auto Lab is one of two hands-on training environments inside Allstate Claims University, the company's 33,000-square-foot claims training center in Dallas, Texas, which opened in August 2026. Designed using insights from more than 3.5 million auto claims, the Auto Lab features 22 vehicles and four motorcycles and recreates the damage scenarios customers experience most often, helping prepare claims adjusters to guide customers through the repair process.

Allstate Claims University's Auto Lab Mike Fiato, executive vice president and chief claims officer at Allstate:
"Today's vehicles are far more complex than they were even a few years ago, and claims adjusters need a deeper understanding of how damage affects the entire vehicle. The Auto Lab allows them to build the expertise needed to help customers make informed decisions when they're recovering from damage."

Frequently Asked Questions

What is the Auto Lab at Allstate Claims University?
The Auto Lab is an immersive training environment where claims adjusters evaluate real damaged vehicles, observe repair processes and gain hands-on experience with the latest technologies shaping today's vehicles. The facility was designed to move training beyond classroom instruction by allowing employees to physically inspect the types of vehicles and damage they encounter in the field so they can better support customers navigating the claims process.

What types of vehicles does Allstate use to train auto claims adjusters?
The Auto Lab includes 22 vehicles and four motorcycles, including electric, hybrid and gas-powered vehicles, allowing claims adjusters to examine the technologies, repair considerations and damage patterns unique to each type. Vehicle selection was guided by claims data and designed to reflect the most common types of claims, helping bring real-world repair situations into the learning environment.

What types of damage do employees train on?
Training scenarios mirror some of the most common and complex damage situations customers experience, including:

Collision damage, including front-corner, rear-end, side-impact and multi-vehicle accidents Flood damage Hail damage Vandalism Hidden structural and undercarriage damage Damage involving cameras, sensors and advanced safety systems How does Allstate train claims adjusters on electric vehicles and ADAS (advanced driver-assistance systems) technology? 
The Auto Lab prepares claims adjusters to evaluate modern vehicle damage and repair considerations, helping them provide more informed assessments and guidance to customers, by:

Inspecting 22 real damaged vehicles, including electric, hybrid and gas-powered models, as well as four motorcycles. Using a two-post lift to inspect undercarriage, structural components and exhaust systems not visible from the exterior. Engaging with diagnostic technology to identify damage to cameras, sensors and ADAS. Observing repair techniques in a dedicated negative-pressure demonstration area. What equipment does Allstate's Auto Lab use to train claims adjusters?
One of the lab's signature features is a fully functional two-post lift that mirrors what repair facilities use every day. The lift allows claims adjusters to inspect vehicles from underneath, providing a complete view of structural components, exhaust systems and undercarriage damage that may not be visible from the exterior.

The facility also includes a dedicated repair demonstration area where employees can observe repair techniques and gain a better understanding of how vehicles are restored. Advanced measuring technology helps illustrate structural movement and alignment issues that can influence repair needs, while the negative-pressure environment allows repair demonstrations to be conducted safely as learners observe the process.

Why is hands-on experience important in auto claims?
While digital tools and virtual learning play an important role in training, seeing vehicle damage in person creates a deeper understanding of how an accident affects the entire vehicle.

The Auto Lab allows claims adjusters to inspect vehicles from every angle – exterior, interior and undercarriage via a two-post lift – and observe repairs in a dedicated negative-pressure demonstration area.

How does Allstate's auto claims training affect the customer repair experience?
The Auto Lab helps claims adjusters better understand the repairs necessary to return a vehicle to pre-damage condition. That knowledge supports more informed damage assessments, stronger conversations with repair facilities, greater confidence in determining necessary repairs and clearer guidance for customers navigating the recovery process. As vehicles continue to evolve, the Auto Lab provides the infrastructure needed to keep training aligned with emerging technologies and repair practices.

How does Allstate handle electric vehicle and ADAS claims?
Electric vehicles and vehicles with advanced driver-assistance systems require different repair and damage assessment considerations than gas-powered vehicles. Damage to cameras, sensors or blind-spot monitoring systems may not be visible from the exterior but can significantly affect repair needs and safety. Allstate's Auto Lab includes electric and hybrid vehicles specifically to train claims adjusters on these considerations, using the same diagnostic tools many repair facilities use.

About Allstate 
The Allstate Corporation (NYSE: ALL) protects people from life's uncertainties with affordable, simple and connected protection for autos, homes, electronic devices and identities. Products are available through a broad distribution network including Allstate agents, independent agents, major retailers, online and at the workplace. Allstate has 216 million policies in force and is widely known for the slogan "You're in Good Hands with Allstate." For more information, visit www.allstate.com.

SOURCE Allstate Insurance Company

In the latest trading session, Allstate (ALL - Free Report) closed at $221.86, marking a -1.58% move from the previous day. The stock fell short of the S&P 500, which registered a loss of 0.25% for the day. At the same time, the Dow lost 0.86%, and the tech-heavy Nasdaq gained 0.24%.

Prior to today's trading, shares of the insurer had lost 12.58% lagged the Finance sector's loss of 4.43% and the S&P 500's loss of 0.42%.

Market participants will be closely following the financial results of Allstate in its upcoming release. In that report, analysts expect Allstate to post earnings of $6.66 per share. This would mark a year-over-year decline of 40.38%. Our most recent consensus estimate is calling for quarterly revenue of $17.84 billion, up 4.92% from the year-ago period.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $35.76 per share and a revenue of $71.25 billion, representing changes of +2.67% and +5%, respectively, from the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Allstate. These revisions typically reflect the latest short-term business trends, which can change frequently. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 2.81% higher. At present, Allstate boasts a Zacks Rank of #3 (Hold).

With respect to valuation, Allstate is currently being traded at a Forward P/E ratio of 6.3. This expresses a discount compared to the average Forward P/E of 10.74 of its industry.

Also, we should mention that ALL has a PEG ratio of 0.5. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Insurance - Property and Casualty industry currently had an average PEG ratio of 1.64 as of yesterday's close.

The Insurance - Property and Casualty industry is part of the Finance sector. This industry, currently bearing a Zacks Industry Rank of 60, finds itself in the top 25% echelons of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Envestnet Portfolio Solutions Inc. lifted its stake in shares of The Allstate Corporation (NYSE:ALL – Free Report) by 30.4% during the second quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 67,159 shares of the insurance provider’s stock after acquiring an additional 15,649 shares during the quarter. Envestnet Portfolio Solutions Inc.’s holdings in Allstate were worth $15,627,000 at the end of the most recent reporting period.

Several other institutional investors also recently bought and sold shares of the company. BlackRock Inc. purchased a new stake in shares of Allstate in the 2nd quarter worth $5,439,448,000. Bank of America Corp DE bought a new stake in shares of Allstate in the second quarter valued at about $1,410,362,000. GQG Partners LLC purchased a new stake in Allstate in the second quarter worth about $1,245,710,000. Deutsche Bank AG bought a new position in Allstate during the 2nd quarter worth about $1,008,648,000. Finally, Norges Bank purchased a new position in Allstate during the 4th quarter valued at about $531,294,000. 76.47% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity at Allstate In other Allstate news, COO Mario Rizzo sold 56,225 shares of the firm’s stock in a transaction on Tuesday, August 11th. The stock was sold at an average price of $264.48, for a total transaction of $14,870,388.00. Following the completion of the sale, the chief operating officer owned 82,227 shares of the company’s stock, valued at $21,747,396.96. This trade represents a 40.61% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider John Dugenske sold 32,996 shares of the company’s stock in a transaction on Friday, August 7th. The shares were sold at an average price of $269.33, for a total value of $8,886,812.68. Following the completion of the transaction, the insider directly owned 13,054 shares in the company, valued at approximately $3,515,833.82. This trade represents a 71.65% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 1.55% of the company’s stock.

Analyst Ratings Changes Several equities research analysts have recently weighed in on the stock. Barclays upped their price target on shares of Allstate from $213.00 to $226.00 and gave the stock an “underweight” rating in a research report on Thursday, August 6th. Atlantic Securities set a $319.00 price objective on Allstate in a research report on Wednesday, July 15th. Morgan Stanley set a $265.00 price objective on Allstate in a research report on Tuesday, August 11th. Keefe, Bruyette & Woods reissued an “underperform” rating and set a $250.00 price objective (down from $255.00) on shares of Allstate in a report on Thursday, August 20th. Finally, Evercore set a $240.00 target price on shares of Allstate in a research report on Friday, July 10th. Two equities research analysts have rated the stock with a Strong Buy rating, five have given a Buy rating, ten have issued a Hold rating and four have assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $266.89. Read Our Latest Research Report on ALL

Allstate Stock Down 1.6% Shares of ALL opened at $225.94 on Thursday. The Allstate Corporation has a 52-week low of $188.08 and a 52-week high of $277.22. The company has a quick ratio of 0.36, a current ratio of 0.36 and a debt-to-equity ratio of 0.24. The stock has a fifty day simple moving average of $257.38 and a two-hundred day simple moving average of $232.48. The company has a market capitalization of $57.13 billion, a PE ratio of 4.51, a price-to-earnings-growth ratio of 0.52 and a beta of 0.15.

Allstate (NYSE:ALL – Get Free Report) last released its quarterly earnings data on Wednesday, August 5th. The insurance provider reported $8.99 earnings per share (EPS) for the quarter, topping the consensus estimate of $6.06 by $2.93. The firm had revenue of $18.60 billion during the quarter, compared to analysts’ expectations of $15.46 billion. Allstate had a net margin of 18.97% and a return on equity of 41.64%. Allstate’s revenue was up 11.8% compared to the same quarter last year. During the same period last year, the business earned $5.94 earnings per share. As a group, equities analysts forecast that The Allstate Corporation will post 35.45 EPS for the current year.

Allstate Announces Dividend The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Monday, August 31st will be given a $1.08 dividend. This represents a $4.32 annualized dividend and a yield of 1.9%. The ex-dividend date is Monday, August 31st. Allstate’s dividend payout ratio is presently 8.63%.

Allstate Company Profile (Free Report)

Allstate Corporation is an insurance and protection-services company headquartered in Northbrook, Illinois. Through its Allstate and National General brands, the company primarily provides property and casualty insurance to individuals and businesses in the United States.

Its products include automobile, homeowners, renters, condominium, landlord, motorcycle and recreational-vehicle insurance, along with other personal and commercial coverage. Allstate also offers roadside assistance, identity protection and related protection services through its various businesses and distribution channels, including agents, brokers and digital platforms.

Allstate’s roots date to 1931, when the Allstate Insurance Company was established as a subsidiary of Sears, Roebuck & Co The company became independent from Sears in the 1990s.

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Allstate (ALL - Free Report) closed the most recent trading day at $242.86, moving -2.79% from the previous trading session. The stock fell short of the S&P 500, which registered a gain of 1.49% for the day. Elsewhere, the Dow saw an upswing of 0.71%, while the tech-heavy Nasdaq appreciated by 2.26%.

Prior to today's trading, shares of the insurer had lost 1.58% was narrower than the Finance sector's loss of 2.25% and lagged the S&P 500's gain of 0.1%.

The upcoming earnings release of Allstate will be of great interest to investors. The company is expected to report EPS of $6.6, down 40.91% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $17.84 billion, up 4.92% from the year-ago period.

For the full year, the Zacks Consensus Estimates are projecting earnings of $35.48 per share and revenue of $71.25 billion, which would represent changes of +1.87% and +5%, respectively, from the prior year.

Investors should also take note of any recent adjustments to analyst estimates for Allstate. Such recent modifications usually signify the changing landscape of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.

Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 2.98% higher within the past month. Right now, Allstate possesses a Zacks Rank of #3 (Hold).

Digging into valuation, Allstate currently has a Forward P/E ratio of 7.04. Its industry sports an average Forward P/E of 11.27, so one might conclude that Allstate is trading at a discount comparatively.

Investors should also note that ALL has a PEG ratio of 0.56 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Insurance - Property and Casualty industry stood at 1.72 at the close of the market yesterday.

The Insurance - Property and Casualty industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 71, placing it within the top 29% of over 250 industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within 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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Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in ALL over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Bank of America Corp DE acquired a new position in shares of The Allstate Corporation (NYSE:ALL – Free Report) during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 5,927,387 shares of the insurance provider’s stock, valued at approximately $1,410,362,000. Bank of America Corp DE owned about 2.34% of Allstate as of its most recent filing with the Securities and Exchange Commission (SEC).

Several other large investors also recently added to or reduced their stakes in the stock. Gables Capital Management Inc. purchased a new stake in shares of Allstate in the 2nd quarter valued at approximately $26,000. Allied Private Wealth LLC acquired a new position in Allstate in the second quarter valued at approximately $29,000. Kelleher Financial Advisors acquired a new position in Allstate in the second quarter valued at approximately $28,000. MV Capital Management Inc. purchased a new position in Allstate in the fourth quarter worth approximately $25,000. Finally, Evolution Wealth Management Inc. grew its position in Allstate by 7,000.0% in the first quarter. Evolution Wealth Management Inc. now owns 142 shares of the insurance provider’s stock worth $29,000 after acquiring an additional 140 shares during the period. 76.47% of the stock is currently owned by hedge funds and other institutional investors.

Allstate Price Performance ALL opened at $258.54 on Tuesday. The stock’s 50-day moving average price is $258.12 and its 200 day moving average price is $230.90. The Allstate Corporation has a 12-month low of $188.08 and a 12-month high of $277.22. The firm has a market cap of $65.37 billion, a price-to-earnings ratio of 5.16, a PEG ratio of 0.57 and a beta of 0.15. The company has a current ratio of 0.36, a quick ratio of 0.36 and a debt-to-equity ratio of 0.24.

Allstate (NYSE:ALL – Get Free Report) last released its earnings results on Wednesday, August 5th. The insurance provider reported $8.99 earnings per share for the quarter, beating the consensus estimate of $6.06 by $2.93. The company had revenue of $18.60 billion during the quarter, compared to the consensus estimate of $15.46 billion. Allstate had a return on equity of 41.64% and a net margin of 18.97%.Allstate’s revenue was up 11.8% compared to the same quarter last year. During the same period in the previous year, the company posted $5.94 EPS. As a group, sell-side analysts expect that The Allstate Corporation will post 35.5 earnings per share for the current year. Allstate Dividend Announcement The firm also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Monday, August 31st will be paid a dividend of $1.08 per share. This represents a $4.32 annualized dividend and a yield of 1.7%. The ex-dividend date of this dividend is Monday, August 31st. Allstate’s dividend payout ratio is presently 8.63%.

Analysts Set New Price Targets ALL has been the topic of a number of research analyst reports. Wall Street Zen upgraded Allstate from a “hold” rating to a “buy” rating in a research report on Monday, July 20th. Keefe, Bruyette & Woods reiterated an “underperform” rating and set a $250.00 price target (down from $255.00) on shares of Allstate in a report on Thursday, August 20th. JPMorgan Chase & Co. raised their price objective on Allstate from $282.00 to $292.00 and gave the stock an “overweight” rating in a research report on Tuesday, August 11th. Mizuho boosted their price objective on shares of Allstate from $255.00 to $272.00 and gave the company an “outperform” rating in a report on Thursday, July 9th. Finally, UBS Group upped their target price on shares of Allstate from $261.00 to $275.00 and gave the company a “neutral” rating in a research report on Monday, August 10th. Four equities research analysts have rated the stock with a Strong Buy rating, five have given a Buy rating, nine have assigned a Hold rating and four have assigned a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of “Hold” and an average price target of $265.42.

Check Out Our Latest Stock Analysis on Allstate

Insider Buying and Selling In other Allstate news, COO Mario Rizzo sold 56,225 shares of the stock in a transaction that occurred on Tuesday, August 11th. The shares were sold at an average price of $264.48, for a total transaction of $14,870,388.00. Following the sale, the chief operating officer directly owned 82,227 shares in the company, valued at $21,747,396.96. This represents a 40.61% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider John Dugenske sold 32,996 shares of the firm’s stock in a transaction that occurred on Friday, August 7th. The shares were sold at an average price of $269.33, for a total transaction of $8,886,812.68. Following the completion of the transaction, the insider directly owned 13,054 shares of the company’s stock, valued at $3,515,833.82. This represents a 71.65% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 1.55% of the stock is owned by corporate insiders.

Allstate Profile (Free Report)

Allstate Corporation is an insurance and protection-services company headquartered in Northbrook, Illinois. Through its Allstate and National General brands, the company primarily provides property and casualty insurance to individuals and businesses in the United States.

Its products include automobile, homeowners, renters, condominium, landlord, motorcycle and recreational-vehicle insurance, along with other personal and commercial coverage. Allstate also offers roadside assistance, identity protection and related protection services through its various businesses and distribution channels, including agents, brokers and digital platforms.

Allstate’s roots date to 1931, when the Allstate Insurance Company was established as a subsidiary of Sears, Roebuck & Co The company became independent from Sears in the 1990s.

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Insurance companies collect your premiums today and settle your claims years from now, and that gap is quietly becoming a profit engine as rates stay elevated. Three insurers are turning this float mechanic into dividend growth that outlasted a pandemic,…

Insurance is one of the few industries where customers pay first and the company pays later. Premiums arrive up front, claims arrive months or years down the road, and the pool of money sitting in between is called float. That float gets invested, and the interest it throws off belongs to the insurer, which is why higher rates translate directly into fatter insurance profits. Travelers now runs a fixed-income-heavy investment portfolio of more than $100 billion, and that alone explains why the group has been able to keep raising dividends and buying back stock through a very messy catastrophe cycle. Below are three names that show the mechanic at work in three different flavors: a global life insurer, a personal lines auto and home insurer, and a commercial P&C insurer.

MetLife (MET): Life Insurance And Asset Management Float MetLife (NYSE:MET | MET Price Prediction) underwrites group life, dental, disability and voluntary benefits for employers, sells retirement and annuity products, and runs an asset management arm, MetLife Investment Management, whose AUM reached $741.7 billion after the PineBridge deal closed. Its customers are corporates, plan sponsors and retail savers across roughly 60 countries.

The current dividend yield is 2.37%, paid from a quarterly dividend of $0.5925. Trailing EPS of $5.22 against a dividend per share of $2.295 is comfortable coverage for a life insurer. The safety read here is strong: management returned over $2.4 billion to shareholders through July via buybacks and dividends, refreshed the buyback with a new $3 billion authorization, and reported holding-company cash and liquid assets of $3.4 billion, inside its $3 to $4 billion target buffer. U.S. statutory adjusted capital was approximately $16.4 billion at June 30. Dividend history from the tools shows steady quarterly increases from $0.44 per quarter in 2020 to $0.5925 today.

The bull case for income investors is float leverage on a rising rate curve plus a growing fee business. Adjusted EPS climbed 20% in Q2 with adjusted ROE at 17%, at the top of the company’s 15% to 17% target range, and variable investment income surged 58% in Q1 to $518 million. Shares trade at a forward P/E of 11, still well below the market. The risk here is that a life insurer’s earnings depend on the reinvestment yield on a very long-duration bond book, so a sharp move lower in long rates would slow the tailwind that is powering the current payout growth.

Allstate (ALL): Personal Auto And Home Underwriting At Scale Allstate (NYSE:ALL) is a personal lines carrier whose customers are U.S. households buying auto and homeowners policies, along with protection plans through Square Trade and non-standard auto through National General. The current dividend yield is 1.65%, from a quarterly dividend of $1.08. Annualized dividend per share is $4.16 against trailing EPS of $49.93, so the payout is a small fraction of earnings.

Safety leads here, and the numbers are unusually strong. The Property-Liability combined ratio (claims and expenses as a share of premium, so under 100 means the underwriting itself makes money) improved to 86.6 in Q2, with homeowners swinging to a $226 million underwriting profit from a $76 million loss a year earlier. Adjusted net income ROE was 44.2% over the last twelve months. Deployable capital at the holding company grew to $9.5 billion, and $2.6 billion remains under the $4 billion repurchase authorization announced in February. The quarterly dividend has risen from $0.54 throughout 2020 to $1.08 in 2026, and the tool history shows no cut across the pandemic, the 2022 inflation shock, or the 2023 catastrophe year.

The bull case is that Allstate is earning both underwriting profit and investment income. Net investment income rose 33.8% to $1 billion, and management said investment income has grown from $2.4 billion to nearly $3.8 billion on a trailing basis since 2022. The stock trades at a trailing P/E of 5. The risk is derived from the elements as Allstate is one of the most catastrophe-exposed names in the group. A severe hurricane landfall or a bad California wildfire season can drop a full quarter of earnings in one event, and the current combined ratio embeds a benign catastrophe environment.

Travelers (TRV): Commercial P&C With The Longest Dividend Record Travelers (NYSE:TRV) underwrites commercial property and casualty for U.S. businesses through Business Insurance, sells management liability and surety through Bond & Specialty, and writes auto and homeowners through Personal Insurance. The current dividend yield is 1.24%, from a newly raised quarterly dividend of $1.25 that goes ex on September 10, 2026 and pays September 30, 2026. Annualized dividend per share is $4.55 against trailing EPS of $37.97.

On safety, Travelers is the strongest of the three by track record. CEO Alan Schnitzer said the company has “raised our dividend every year for more than two decades at a compound annual rate of 8%,” and the Q1 filing put that streak at 22 consecutive years. That is not yet Dividend Aristocrat status (which requires 25 years) but it is one of the longest runs in insurance and it survived 2008, 2020 and the 2023 catastrophe year intact. Q2 core ROE was 24.9%, the combined ratio improved to 83.6, and Travelers has posted net favorable prior year reserve development in 19 of the last 20 years, totaling $15 billion pre-tax. Operating cash flow reached $1.9 billion for the quarter and $11 billion over the trailing twelve months.

The bull case is a compounding one. New-money yields on fixed income are running about 90 basis points higher than the yield embedded in the portfolio, guaranteeing rising investment income for years even without a rate move. Fixed-income NII is guided to approximately $840 million in Q3 and roughly $870 million in Q4. Since starting its buyback program in 2006, Travelers has retired 70% of the shares then outstanding. The risk mirrors Allstate’s, sized for commercial lines: a single mega-catastrophe or a jump in workers’ compensation and liability loss trend would compress the combined ratio quickly.

Putting The Three Together These are dividend-growth compounders rather than high-yield plays whose earnings sit on top of a giant, rising-yield bond portfolio that funds the payout while claims work their way through. MetLife gives you the fastest recent dividend growth and the widest global reach. Allstate gives you the fattest current underwriting margin and the biggest active buyback. Travelers gives you the longest raise streak and the cleanest reserve record (if that kind of multi-decade payout record is what you screen for, we ranked ten of the very longest streaks by valuation in a free Dividend Kings report). The group functions as a rate-sensitive income sleeve, and each name maps to a different view on catastrophe risk.

Contact [email protected] for any questions or corrections.

Allstate (ALL - Free Report) could be a solid addition to your portfolio given its recent upgrade to a Zacks Rank #1 (Strong Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.

The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.

Since a changing earnings picture is a powerful factor influencing near-term stock price movements, the Zacks rating system is very useful for individual investors. They may find it difficult to make decisions based on rating upgrades by Wall Street analysts, as these are mostly driven by subjective factors that are hard to see and measure in real time.

Therefore, the Zacks rating upgrade for Allstate basically reflects positivity about its earnings outlook that could translate into buying pressure and an increase in its stock price.

Most Powerful Force Impacting Stock PricesThe change in a company's future earnings potential, as reflected in earnings estimate revisions, has proven to be strongly correlated with the near-term price movement of its stock. That's partly because of the influence of institutional investors that use earnings and earnings estimates for calculating the fair value of a company's shares. An increase or decrease in earnings estimates in their valuation models simply results in higher or lower fair value for a stock, and institutional investors typically buy or sell it. Their transaction of large amounts of shares then leads to price movement for the stock.

Fundamentally speaking, rising earnings estimates and the consequent rating upgrade for Allstate imply an improvement in the company's underlying business. Investors should show their appreciation for this improving business trend by pushing the stock higher.

Harnessing the Power of Earnings Estimate RevisionsAs empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock movements, tracking such revisions for making an investment decision could be truly rewarding. Here is where the tried-and-tested Zacks Rank stock-rating system plays an important role, as it effectively harnesses the power of earnings estimate revisions.

The Zacks Rank stock-rating system, which uses four factors related to earnings estimates to classify stocks into five groups, ranging from Zacks Rank #1 (Strong Buy) to Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record, with Zacks Rank #1 stocks generating an average annual return of +25% since 1988. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here >>>> .

Earnings Estimate Revisions for AllstateThis insurer is expected to earn $35.50 per share for the fiscal year ending December 2026, which represents no year-over-year change.

Analysts have been steadily raising their estimates for Allstate. Over the past three months, the Zacks Consensus Estimate for the company has increased 20.6%.

Bottom LineUnlike the overly optimistic Wall Street analysts whose rating systems tend to be weighted toward favorable recommendations, the Zacks rating system maintains an equal proportion of "buy" and "sell" ratings for its entire universe of more than 4,000 stocks at any point in time. Irrespective of market conditions, only the top 5% of the Zacks-covered stocks get a "Strong Buy" rating and the next 15% get a "Buy" rating. So, the placement of a stock in the top 20% of the Zacks-covered stocks indicates its superior earnings estimate revision feature, making it a solid candidate for producing market-beating returns in the near term.

You can learn more about the Zacks Rank here >>>

The upgrade of Allstate to a Zacks Rank #1 positions it in the top 5% of the Zacks-covered stocks in terms of estimate revisions, implying that the stock might move higher in the near term.

Built using insights from more than 100 million property claims, the Property Lab recreates realistic home damage scenarios to help claim adjusters build the expertise needed to guide customers through the repair process

Key Takeaways

The Property Lab was built using insights from more than 100 million property claims, helping recreate many of the damage scenarios customers experience most often. Two full-size, two-story homes with a basement bring real-world property damage scenarios to life, from burst pipes and roof leaks to hail-damaged roofing materials and lightning-damaged equipment. Interactive technology and hands-on learning environments allow claim adjusters to explore how damage occurs, spreads through a home and is ultimately repaired, supporting more accurate assessments and clearer explanations for customers about what needs to be repaired and why. , /PRNewswire/ -- The Property Lab at Allstate Claims University is a full-scale residential training facility, featuring two complete, two-story homes where Allstate claim adjusters inspect staged home damage before helping customers navigate real property damage situations. The Property Lab is one of two hands-on training environments inside Allstate Claims University, the company's 33,000-square-foot claims training center in Dallas, Texas, which opened in August 2026. Built using insights from more than 100 million property claims, the Property Lab recreates the residential damage scenarios customers experience most often.

Allstate Claims University Property Lab

Allstate Claims University Property Lab The Property Lab is part of Allstate's broader investment in claim adjusters, equipping them with practical knowledge that helps them guide customers through the repair and recovery process.

Mike Fiato, executive vice president and chief claims officer at Allstate:
"Customers trust Allstate during some of the most stressful moments they face as homeowners. The Property Lab gives our teams hands-on experience with real-world damage scenarios, helping them provide informed guidance and support when it matters most."

Frequently Asked Questions

What is the Property Lab at Allstate Claims University?
The Property Lab is a hands-on training environment that allows claim adjusters to experience realistic residential damage scenarios in full-scale homes. Claim adjusters can inspect damage, examine what may be happening behind walls, ceilings and floors and gain firsthand experience with the situations they may encounter while helping customers recover. The homes feature a range of construction materials and finishes, from standard-grade components to higher-end materials, helping claim adjusters gain experience with the variety of homes, materials and repair considerations before directly supporting customers.

How does Allstate train property claim adjusters?
The Property Lab prepares claim adjusters for real-world home damage scenarios by:

Inspecting visible damage on the exterior and interior of full-size, two-story homes. Using cutaway wall sections to trace how damage travels through framing, insulation and plumbing. Engaging with interactive digital tools showing damage patterns and repair techniques. Practicing identifying hidden damage beyond the visible point of origin. Completing module-based training on roofing, water damage, cabinetry, plumbing, electrical and sump-pump systems. What kinds of damage are featured in the Property Lab?
The Property Lab recreates a variety of situations commonly encountered in residential property claims, including:

Water and plumbing damage, including burst pipes, water intrusion, leaking appliances and drain backups Roof, hail and storm-related exterior damage, including roof and skylight leaks  Fire, smoke and heat-related damage, including smoke and grease-fire damage and fire-related siding damage Lightning-related damage to home systems and equipment, including HVAC units and electrical components What equipment and technology does the Property Lab use to train claim adjusters?
The Property Lab combines physical damage demonstrations with digital learning tools that provide immediate information about damage patterns, repair techniques and restoration considerations. Interactive technology throughout the homes allows claim adjusters to move beyond observation and explore how different types of damage develop, spread and are repaired.

The facility also includes industry-standard roofing, water damage, cabinetry, plumbing, electrical and sump-pump training modules, creating a learning experience that closely mirrors conditions encountered in residential claims.

What happens during an Allstate home insurance claim inspection?
When a homeowner files a property claim with Allstate, a claim adjuster assesses both visible and potential hidden damage, evaluates how the damage originated and spread through the home's structure, reviews applicable coverage and guides the homeowner through repair options and next steps. The Property Lab prepares claim adjusters for this process, particularly for cases where the visible damage is only part of the story.

About Allstate 
The Allstate Corporation (NYSE: ALL) protects people from life's uncertainties with affordable, simple and connected protection for autos, homes, electronic devices and identities. Products are available through a broad distribution network including Allstate agents, independent agents, major retailers, online and at the workplace. Allstate has 216 million policies in force and is widely known for the slogan "You're in Good Hands with Allstate." For more information, visit www.allstate.com.

SOURCE Allstate Insurance Company

Concurrent Investment Advisors LLC raised its position in The Allstate Corporation (NYSE:ALL – Free Report) by 20.5% in the 2nd quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 21,821 shares of the insurance provider’s stock after acquiring an additional 3,705 shares during the quarter. Concurrent Investment Advisors LLC’s holdings in Allstate were worth $5,192,000 at the end of the most recent quarter.

A number of other hedge funds also recently made changes to their positions in ALL. BlackRock Inc. purchased a new position in Allstate in the 2nd quarter valued at about $5,439,448,000. Bank of America Corp DE acquired a new stake in shares of Allstate during the second quarter valued at about $1,410,362,000. GQG Partners LLC purchased a new stake in shares of Allstate during the second quarter worth about $1,245,710,000. Deutsche Bank AG purchased a new stake in shares of Allstate during the second quarter worth about $1,008,648,000. Finally, Norges Bank acquired a new position in shares of Allstate in the fourth quarter worth about $531,294,000. Hedge funds and other institutional investors own 76.47% of the company’s stock.

Allstate Stock Performance Shares of ALL stock opened at $259.43 on Monday. The company has a debt-to-equity ratio of 0.24, a quick ratio of 0.36 and a current ratio of 0.36. The Allstate Corporation has a one year low of $188.08 and a one year high of $277.22. The company’s 50-day simple moving average is $256.91 and its 200-day simple moving average is $228.91. The stock has a market capitalization of $65.60 billion, a price-to-earnings ratio of 5.18, a PEG ratio of 0.58 and a beta of 0.15.

Allstate (NYSE:ALL – Get Free Report) last announced its quarterly earnings data on Wednesday, August 5th. The insurance provider reported $8.99 earnings per share for the quarter, beating the consensus estimate of $6.06 by $2.93. Allstate had a return on equity of 41.64% and a net margin of 18.97%.The firm had revenue of $18.60 billion during the quarter, compared to analyst estimates of $15.46 billion. During the same period in the previous year, the company earned $5.94 earnings per share. Allstate’s quarterly revenue was up 11.8% on a year-over-year basis. Equities analysts anticipate that The Allstate Corporation will post 35.5 earnings per share for the current fiscal year. Allstate Dividend Announcement The company also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Monday, August 31st will be issued a $1.08 dividend. This represents a $4.32 dividend on an annualized basis and a dividend yield of 1.7%. The ex-dividend date is Monday, August 31st. Allstate’s payout ratio is 8.63%.

Allstate News Roundup Here are the key news stories impacting Allstate this week:

Positive Sentiment: Allstate is included among insurers using artificial intelligence, data and technology to improve operating efficiency, underwriting and growth, which could support long-term margins and competitiveness. 3 Insurers to Add to Portfolio as AI Transforms Insurance Operations Positive Sentiment: A review of Allstate’s financial strength and earnings outlook suggests the company may merit renewed investor consideration, reinforcing the case for its profitability and balance-sheet position. Affirmed Financial Strength And Earnings Outlook Might Change The Case For Investing In Allstate Positive Sentiment: Allstate is highlighted as a value-oriented property-and-casualty insurer with premium growth, underwriting discipline and investment-portfolio gains. 3 P&C Insurers to Add for Better Returns in Sluggish September Positive Sentiment: Allstate is listed among low-beta, dividend-paying stocks that could offer defensive characteristics during September volatility, with improving earnings estimates cited as a supporting factor. Buy 5 Stocks to Stay Safe in Wall Street’s Historically Worst Month Neutral Sentiment: Comparisons with Tokio Marine focus on relative valuation and value-investing characteristics rather than a new company-specific catalyst. ALL or TKOMY: Which Is the Better Value Stock Right Now? Neutral Sentiment: An Allstate driving-safety report ranking for Wichita provides local auto-insurance context but does not materially change the company’s financial outlook. How bad or good are Wichita drivers? See how the city ranks in Allstate report Negative Sentiment: Allstate shares have declined since the latest earnings report, prompting questions about whether the stock can rebound despite the company’s stronger-than-expected results. Allstate Down 4.4% Since Last Earnings Report: Can It Rebound? Negative Sentiment: A report that Tyler Perry paid an 81-year-old woman’s $18,000 repair bill after Allstate denied her claim could create reputational risk and renewed scrutiny of claims-handling practices, although it appears to be an isolated customer dispute. Tyler Perry pays 81-year-old woman’s $18K repair bill after Allstate denies claim Insider Activity at Allstate In other Allstate news, insider John Dugenske sold 32,996 shares of Allstate stock in a transaction on Friday, August 7th. The shares were sold at an average price of $269.33, for a total value of $8,886,812.68. Following the completion of the transaction, the insider owned 13,054 shares of the company’s stock, valued at $3,515,833.82. The trade was a 71.65% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, COO Mario Rizzo sold 56,225 shares of the business’s stock in a transaction on Tuesday, August 11th. The shares were sold at an average price of $264.48, for a total transaction of $14,870,388.00. Following the sale, the chief operating officer owned 82,227 shares of the company’s stock, valued at approximately $21,747,396.96. The trade was a 40.61% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 1.55% of the company’s stock.

Analysts Set New Price Targets A number of research analysts recently commented on the company. Weiss Ratings downgraded Allstate from a “buy (a)” rating to a “buy (a-)” rating in a report on Tuesday, August 25th. Barclays lifted their price objective on Allstate from $213.00 to $226.00 and gave the stock an “underweight” rating in a report on Thursday, August 6th. Cantor Fitzgerald upped their target price on Allstate from $236.00 to $242.00 and gave the company a “neutral” rating in a research report on Thursday, July 9th. Wells Fargo & Company cut Allstate from an “equal weight” rating to an “underweight” rating and increased their target price for the company from $243.00 to $250.00 in a research note on Friday, August 7th. Finally, Morgan Stanley set a $265.00 price target on shares of Allstate in a research report on Tuesday, August 11th. Four analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, nine have issued a Hold rating and four have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Allstate presently has a consensus rating of “Hold” and an average target price of $263.90.

Check Out Our Latest Analysis on ALL

About Allstate (Free Report)

Allstate Corporation is a publicly traded insurance company headquartered in Northbrook, Illinois, and is one of the largest personal lines property and casualty insurers in the United States. Founded in 1931 as a subsidiary of Sears, Roebuck and Co, Allstate has grown into a diversified insurer that serves millions of consumers and businesses through a mix of distribution channels and product offerings.

The company underwrites a broad range of insurance products, with primary emphasis on auto and homeowners coverage.

Further Reading Five stocks we like better than Allstate AI Token Costs Are Changing the Hardware vs. Software Debate 3 ETFs That Could Move as Rate Expectations Shift 3 Stocks With September Catalysts Investors Shouldn’t Ignore Ollie’s Bargain Outlet Stock Falls on Weak Comps Despite Margin Gains

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Key Takeaways Allstate's premiums, Protection Services and Transformative Growth strategy support long-term growth.Heritage Insurance improves risk distribution through selective underwriting and portfolio diversification.American Integrity gains from policy growth, geographic expansion and lower catastrophe-reinsurance pricing. The Dow Jones Industrial Average and the Nasdaq Composite have declined since Aug. 31, 2026. September has historically been a sluggish month for the stock market. While there are several theories for this uncanny phenomenon, the most common notion is that investors take time off during the summer months, leading to an overall decline in trading volumes. Stock Trader’s Almanac shows that September has been the weakest month for the S&P 500 since 1950 and for the Nasdaq since 1971.

The property and casualty insurance industry continues to face rising losses from severe weather, wildfires, social inflation and expensive litigation. Higher repair and replacement costs add pressure, while moderating premium and reinsurance rates could constrain margins. Regulatory oversight and affordability challenges in catastrophe-prone states are additional concerns. Still, the industry has gained 8.8% in the last three months, outperforming the Finance sector’s increase of 5.8% and the Zacks S&P 500 composite’s rise of 0.2%.

Insurance vs Finance, S&P 500 in 3 Months 
Image Source: Zacks Investment Research

Expanded exposure, healthy renewals, strong retention, new business gains, portfolio repositioning, disciplined segmentation and adequate reinsurance should support The Allstate Corporation (ALL - Free Report) , Heritage Insurance Holdings (HRTG - Free Report) and American Integrity Insurance Group (AII - Free Report) in delivering operational excellence and, in turn, better returns for investors.

Factors Dominating the Insurance IndustryThe insurance industry remains sensitive to interest-rate movements. Following three rate cuts in 2025, the federal funds rate stands at 3.50-3.75%. Persistent inflation has prevented further easing in 2026, while the Fed’s June projection of 3.8% for year-end suggests rates could remain steady or edge higher. Potential easing in 2027 may follow as inflation moderates. Higher rates generally support insurers’ investment income because they invest premiums before claims are paid.

Pricing is equally important for premium growth and claims management. Marsh’s Global Insurance Market Index showed a 6% decline in global commercial insurance rates during the second quarter of 2026, extending pricing moderation to seven consecutive quarters. Increased competition, favorable claims experience and improved reinsurance conditions drove the decline. Even so, disciplined underwriting, greater insured exposure and new business generation should support premium growth. Swiss Re expects global insurance premiums to increase 4% in 2026.

Colorado State University (CSU) expects the 2026 hurricane season to be milder than normal, forecasting nine named storms, including four hurricanes and one major hurricane. The hurricane season typically starts in June and lasts through November, gathering strength in August and September. Thus, property and casualty insurers’ third-quarter results are affected the most.

Per Verisk and The American Property Casualty Insurance Association (APCIA), premiums written increased 2.1% and earned premiums grew 3% in the first half of 2026. Aon estimates first-half 2026 total economic losses to be $111 billion, of which 43% is covered by insurance. Verisk and APCIA stated a net underwriting gain of $31.7 billion in the first half of 2026, up nearly three times year over year. Policyholders’ surplus improved to $1.3 trillion as of June 30, 2026 from $1.13 trillion as of June 30, 2025. Swiss Re projects the combined ratio to deteriorate by 50 basis points to 99% in 2026.

Also, the insurance industry continues to witness accelerated digitalization. Players are investing heavily in technology to improve scale and efficiencies.

A sturdy capital position supports effective capital deployments like mergers and acquisitions, dividend hikes, special dividends and share buyback programs.

Notably, the insurance industry is currently undervalued. The price-to-book multiple, commonly used for valuing insurance stocks, is currently pegged at 1.48, compared with the S&P 500’s 7.19 and the sector’s 4.46.

Insurers like ALL, HRTG and AII, banking on operational excellence, are poised to deliver better returns for investors.

Value PicksPicking the right stocks for greater investment rewards might be an uphill task. With the help of our Zacks Stock Screener, we have identified the best bets.

We have shortlisted three stocks with a Zacks Rank #1 (Strong Buy) and an impressive Value Score of A or B. Each stock has witnessed positive estimate revisions, reflecting analysts’ optimism about their prospects. Shares have gained more than 10% year to date. You can see the complete list of today’s Zacks #1 Rank stocks here.

Value Score identifies stocks that are undervalued. These value stocks have a long history of delivering superior returns.

Allstate Corporation: Northbrook, IL-based Allstate is the fourth-largest property-casualty (P&C) insurer and the largest publicly-held personal lines carrier in the United States.  Growing premiums, Protection Services, business streamlining efforts and solid cash flows are expected to drive long-term growth. Strength in the P&C market supports premium growth, improved rate adequacy, and product innovation, particularly in homeowners and auto lines exposed to weather-related risks. Allstate’s Transformative Growth strategy is also driving market-share gains.

The Zacks Consensus Estimate for ALL’s 2026 and 2027 earnings has moved up 13.8% and 4.5%, respectively, in the past 30 days.

The stock currently has a P/B ratio of 2.1. It has a Value Score of A. Its shares have gained 24.6% in the past three months.

Heritage Insurance: Tampa, FL-based HRTG provides personal and commercial residential insurance products. Its focus on rate adequacy, selective underwriting and profit-oriented underwriting criteria, while restricting new business in over-concentrated markets or products, positions it well for growth. This Zacks Rank #1 insurer has strategically diversified its portfolio to achieve better risk distribution, claims trends and lower reinsurance costs.

The Zacks Consensus Estimate for HRTG’s 2026 and 2027 earnings has moved up 27.7% and 14.5%, respectively, in the past 30 days.

The stock currently has a P/B ratio of 1.84. It has a Value Score of A. Its shares have gained 17.4% in the past three months.

American Integrity Insurance Group: Headquartered in Tampa, FL, American Integrity operates as an insurance company in the United States. American Integrity’s performance is being driven by rapid voluntary-policy growth, particularly in Florida’s Tri-County region, middle-aged homes and expansion markets. The company appears well-positioned for profitable long-term growth, supported by geographic expansion, disciplined risk selection, Florida’s insurance reforms and lower catastrophe-reinsurance pricing. However, its heavy Florida exposure and vulnerability to hurricanes could make earnings volatile and temper the consistency of that growth.

The Zacks Consensus Estimate for 2026 and 2027 earnings has moved 39.8% and 5.4% north, respectively, in the past 30 days. Its expected long-term earnings growth rate is pegged at 8%.

The stock currently has a P/B ratio of 1.38. It has a Value Score of A. Its shares have gained 25.3% in the past three months.

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.

Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use a variety of methods, including tried-and-true valuation metrics, to find these stocks.

Zacks has developed the innovative Style Scores system to highlight stocks with specific traits. For example, value investors will be interested in stocks with great grades in the "Value" category. When paired with a high Zacks Rank, "A" grades in the Value category are among the strongest value stocks on the market today.

One company value investors might notice is Allstate (ALL - Free Report) . ALL is currently sporting a Zacks Rank #1 (Strong Buy) and an A for Value. The stock is trading with P/E ratio of 9.21 right now. For comparison, its industry sports an average P/E of 26.64. Over the last 12 months, ALL's Forward P/E has been as high as 11.84 and as low as 8.78, with a median of 10.15.

Value investors also frequently use the P/S ratio. This metric is found by dividing a stock's price with the company's revenue. This is a preferred metric because revenue can't really be manipulated, so sales are often a truer performance indicator. ALL has a P/S ratio of 0.93. This compares to its industry's average P/S of 1.33.

Finally, investors will want to recognize that ALL has a P/CF ratio of 8.66. This data point considers a firm's operating cash flow and is frequently used to find companies that are undervalued when considering their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 10.09. Over the past 52 weeks, ALL's P/CF has been as high as 14.16 and as low as 8.07, with a median of 10.58.

These figures are just a handful of the metrics value investors tend to look at, but they help show that Allstate is likely being undervalued right now. Considering this, as well as the strength of its earnings outlook, ALL feels like a great value stock at the moment.

Key Takeaways Allstate is positioned for growth as underwriting profitability, investment income and policy counts improve.Policies in force reached about 216 million in Q2, while issued applications increased 9.9%.Net investment income rose 33.8% in Q2 to $1 billion, while Allstate repurchased $1 billion of stock. Property and casualty insurer The Allstate Corporation (ALL - Free Report) appears well positioned for growth, supported by improving underwriting profitability, rising investment income, solid policy growth and increased capital returns.

Its shares have gained 23.6% year to date, comfortably outperforming the industry’s 2.4% increase and the S&P 500’s 11.7% rise, signaling investor confidence.

Price Performance - ALL, Industry & S&P 500 Image Source: Zacks Investment Research

The rising frequency and severity of natural catastrophes are increasing claims costs but also creating growth opportunities for the property and casualty insurance industry. Greater exposure to weather-related risks is raising awareness among households and businesses, supporting demand for broader and more tailored insurance coverage. For Allstate, this environment can drive premium growth, improve pricing adequacy and encourage product innovation as the company adjusts coverage and rates to better reflect evolving risk.

Allstate is growing without sacrificing margins. Policies in force reached roughly 216 million in the second quarter. Auto and homeowners policies continued to increase, while issued applications rose 9.9%. It is steadily scaling its Protection Services business, creating a complementary growth engine beyond traditional insurance.

Auto’s first-half underlying combined ratio was 88.5, down from the year-ago level of 89.5, substantially better than the roughly mid-90s level Allstate has historically viewed. Management will likely trade some margin for profitable growth where appropriate.

Investment income has become another meaningful earnings engine. Net investment income increased 9.8% in the first quarter and then 33.8% in the second quarter to $1 billion, benefiting from a larger portfolio, higher fixed-income yields and stronger performance-based investment returns.

Allstate had about $9.5 billion of deployable holding-company capital following the second quarter and repurchased $1 billion of stock during the quarter, along with paying $280 million in dividends. Over the past decade, ALL repurchased 39% of its outstanding shares. It still has $2.6 billion left under its buyback authorization.

Allstate’s Earnings Estimates & Surprise HistoryThe Zacks Consensus Estimate for 2026 adjusted earnings for Allstate is currently pegged at $34.45 per share, which has witnessed 12 upward revisions against no downward movement over the past month. During this time, the consensus mark for 2027 earnings improved 4%. The consensus estimate for 2026 and 2027 revenues suggests 4.4% and 4% year-over-year increases, respectively.

It beat earnings estimates in each of the past four quarters, with an average surprise of 45.3%.

ALL is trading comparatively cheap at the moment from a valuation standpoint. Its forward earnings multiple of 8.73X is lower than its five-year median of 10.90X and the industry average of 26.85X. Allstate now has a Value Score of A.

Zacks Rank & Other Key PicksAllstate currently sports a Zacks Rank #1 (Strong Buy). Some other top-ranked stocks in the broader insurance space are Horace Mann Educators Corporation (HMN - Free Report) , CNO Financial Group, Inc. (CNO - Free Report) and Assurant, Inc. (AIZ - Free Report) . While Horace Mann Educators also has a Zacks Rank #1, CNO Financial and Assurant are carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Horace Mann Educators’ current-year earnings is pegged at $4.78 per share, which has witnessed two upward revisions over the past 30 days and no movement in the opposite direction. Furthermore, the consensus estimate for HMN’s 2026 revenues indicates a 3.9% year-over-year increase.

The consensus mark for CNO Financial’s current-year earnings is pegged at $4.74 per share, which indicates 16.2% year-over-year growth. It has witnessed two upward estimate revisions against none in the opposite direction in the past 30 days. CNO beat earnings estimates in each of the last four quarters, with an average surprise of 23.2%.

The Zacks Consensus Estimate for Assurant’s current year earnings is pegged at $22.05 per share, which indicates 11.5% year-over-year growth. It has witnessed five upward estimate revisions against none in the opposite direction in the past month. AIZ beat earnings estimates in each of the last four quarters, with an average surprise of 17.7%.

Key Takeaways Allstate combines high ROE with a 19% long-term earnings growth expectation and strong earnings surprises.Arista has a 26.1% long-term earnings growth outlook and is gaining traction in high-speed switching products.Gartner carries a 21% long-term earnings growth expectation and averaged a 13.5% earnings surprise. The broader equity markets witnessed intense volatility over the past few days in sync with the bond yields but in the opposite direction. After surging to multi-decade highs, bond yields declined significantly as the Treasury Department announced plans to more than double the size of its government debt repurchases. This apparently helped the stock market snap a three-day losing streak and revive its momentum.

However, surging oil prices and economic sanctions against Iran, which President Trump claimed to be the “Economic Warfare and Isolation on an unprecedented scale,” added to the cacophony and pulled equity markets down while pushing bond yields higher. With a lasting peace agreement in the Middle East appearing to be far from being guaranteed, market uncertainty remained elevated.

As investors employ a wait-and-see approach in a classic example of “backing and filling” in the market, they can benefit from “cash cow” stocks that garner higher returns. However, identifying cash-rich stocks alone does not make for a solid investment proposition unless it is backed by attractive efficiency ratios, such as return on equity (ROE). A high ROE ensures that the company is reinvesting cash at a high rate of return. The Allstate Corporation (ALL - Free Report) , Arista Networks, Inc. (ANET - Free Report) , Annaly Capital Management, Inc. (NLY - Free Report) , Gartner, Inc. (IT - Free Report) and AMETEK, Inc. (AME - Free Report) are some of the stocks with high ROE to profit from.

ROE: A Key MetricROE = Net Income/Shareholders’ Equity

ROE helps investors distinguish profit-generating companies from profit burners and is useful in determining the financial health of a company. In other words, this financial metric enables investors to identify companies that diligently deploy cash for higher returns.

Moreover, ROE is often used to compare the profitability of a company with other firms in the industry; the higher, the better. It measures how well a company is multiplying its profits without investing new equity capital and portrays management’s efficiency in rewarding shareholders with attractive risk-adjusted returns.

Screening ParametersIn order to shortlist stocks that are cash-rich with high ROE, we have added Cash Flow greater than $1 billion and ROE greater than X-Industry as our primary screening parameters. In addition, we have taken a few other criteria into consideration to arrive at a winning strategy.

Price/Cash Flow less than X-Industry: This metric measures how much investors pay for $1 of free cash flow. A lower ratio indicates that investors need to pay less for a better cash flow-generating stock.

Return on Assets (ROA) greater than X-Industry: This metric determines how much profit a company earns for every dollar of assets, which includes cash, accounts receivable, property, equipment, inventory and furniture. The higher the ROA, the better it is for the company.

5-Year EPS Historical Growth greater than X-Industry: This criterion indicates that continued earnings momentum has translated into solid cash strength.

Zacks Rank less than or equal to 2: Zacks Rank #1 (Strong Buy) or 2 (Buy) stocks are known to outperform irrespective of the market environment.

Here are five of the 10 stocks that qualified the screening:

Allstate: Headquartered in Northbrook, IL, Allstate is the third-largest property-casualty (P&C) insurer and the largest publicly held personal lines carrier in the United States. The company also provides a range of life insurance and investment products to its diverse customer base. It provides insurance products to approximately 16 million households through more than 12,000 exclusive agencies and financial specialists in the United States and Canada.

The company has a long-term earnings growth expectation of 19% and delivered a trailing four-quarter earnings surprise of 45.3%, on average. It has a VGM Score of A. Allstate sports a Zacks Rank #1 at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Arista: Santa Clara, CA-based Arista is engaged in providing cloud networking solutions for data centers and cloud computing environments. The company holds a leadership position in 100-gigabit Ethernet switching for the high-speed datacenter segment. It is increasingly gaining market traction in 200- and 400-gig high-performance switching products and remains well-positioned for healthy growth in the data-driven cloud networking business with proactive platforms and predictive operations.

The company has a long-term earnings growth expectation of 26.1%. It delivered a trailing four-quarter earnings surprise of 8.9%, on average. Arista sports a Zacks Rank #1.

  Annaly: Based in New York, Annaly is a mortgage real estate investment trust that primarily owns, manages and finances a portfolio of real estate-related investment securities. Its investment portfolio includes mortgage pass-through certificates, collateralized mortgage obligations and credit risk transfer.

The company has a long-term earnings growth expectation of 1.2%. It delivered a trailing four-quarter earnings surprise of 3.1%, on average. Annaly currently carries a Zacks Rank #2.

  Gartner: Headquartered in Stamford, CT, Gartner is reportedly the world's leading information technology research and advisory firm. The company offers rich domain expertise and technology-related insight necessary for an informed decision-making process.

Gartner has a long-term earnings growth expectation of 21% and delivered a trailing four-quarter earnings surprise of 13.5%, on average. Gartner sports a Zacks Rank #1.

 AMETEK: Located in Berwyn, PA, AMETEK is one of the leading manufacturers of electronic appliances and electromechanical devices. It has more than 120 operating sites worldwide. The company operates more than 80 sales and service stations in North America, Europe, Asia and South America to support these operations.

The company has a long-term earnings growth expectation of 9.4%. It delivered a trailing four-quarter earnings surprise of 4.9%, on average. AMETEK carries a Zacks Rank #2.

Top Wall Street analysts changed their outlook on these top names. For a complete view of all analyst rating changes, including upgrades, downgrades and initiations, please see our analyst ratings page.

Keefe, Bruyette & Woods analyst Meyer Shields downgraded Allstate Corp (NYSE:ALL) from Market Perform to Underperform and slashed the price target from $255 to $250. Allstate closed at $259.74 on Wednesday. See how other analysts view this stock. Morgan Stanley analyst Cesar Medina downgraded Liberty Latin America Ltd (NASDAQ:LILA) from Equal-Weight to Underweight and maintained the price target of $7. Liberty Latin America shares closed at $8.34 on Wednesday. See how other analysts view this stock. Gordon Haskett analyst Chuck Grom downgraded TJX Companies Inc (NYSE:TJX) from Buy to Accumulate and announced a $155 price target. TJX closed at $144.50 on Wednesday. See how other analysts view this stock. GLJ Research analyst Gordon L. Johnson downgraded Fluence Energy Inc (NASDAQ: FLNC) from Buy to Hold and cut the price target from $26 to $12.89. Fluence Energy shares closed at $12.07 on Wednesday. See how other analysts view this stock. RBC Capital analyst Trung Huynh downgraded Merck & Co., Inc (NYSE:MRK) from Outperform to Sector Perform and raised the price target from $142 to $150. Merck closed at $152.20 on Wednesday. See how other analysts view this stock. Considering buying ALL stock? Here’s what analysts think:

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AssuredPartners Investment Advisors LLC purchased a new stake in The Allstate Corporation (NYSE:ALL – Free Report) in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor purchased 3,309 shares of the insurance provider’s stock, valued at approximately $787,000.

Several other institutional investors have also made changes to their positions in ALL. Gables Capital Management Inc. acquired a new position in shares of Allstate in the 2nd quarter worth approximately $26,000. Allied Private Wealth LLC bought a new position in shares of Allstate in the second quarter valued at about $29,000. Kelleher Financial Advisors acquired a new stake in shares of Allstate in the 2nd quarter valued at $28,000. MV Capital Management Inc. acquired a new position in shares of Allstate during the fourth quarter valued at $25,000. Finally, Navalign LLC acquired a new stake in shares of Allstate during the 4th quarter worth approximately $27,000. 76.47% of the stock is currently owned by institutional investors and hedge funds.

Allstate Stock Down 0.3% ALL stock opened at $260.24 on Thursday. The Allstate Corporation has a 52 week low of $188.08 and a 52 week high of $277.22. The business has a 50-day simple moving average of $249.00 and a 200 day simple moving average of $224.35. The company has a quick ratio of 0.36, a current ratio of 0.36 and a debt-to-equity ratio of 0.24. The company has a market cap of $65.80 billion, a PE ratio of 5.20, a price-to-earnings-growth ratio of 0.40 and a beta of 0.16.

Allstate (NYSE:ALL – Get Free Report) last announced its quarterly earnings data on Wednesday, August 5th. The insurance provider reported $8.99 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $6.06 by $2.93. Allstate had a net margin of 18.97% and a return on equity of 41.64%. The firm had revenue of $15.43 billion for the quarter, compared to the consensus estimate of $15.46 billion. During the same period in the prior year, the company posted $5.94 earnings per share. The business’s revenue for the quarter was up 11.8% on a year-over-year basis. Sell-side analysts anticipate that The Allstate Corporation will post 34.5 EPS for the current fiscal year. Allstate Announces Dividend The company also recently disclosed a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Monday, August 31st will be issued a dividend of $1.08 per share. The ex-dividend date of this dividend is Monday, August 31st. This represents a $4.32 annualized dividend and a dividend yield of 1.7%. Allstate’s dividend payout ratio (DPR) is 8.63%.

Analyst Upgrades and Downgrades A number of research analysts have issued reports on ALL shares. JPMorgan Chase & Co. boosted their target price on Allstate from $282.00 to $292.00 and gave the company an “overweight” rating in a research note on Tuesday, August 11th. Zacks Research upgraded shares of Allstate from a “hold” rating to a “strong-buy” rating in a research note on Monday. Wall Street Zen raised shares of Allstate from a “hold” rating to a “buy” rating in a research report on Monday, July 20th. HSBC downgraded shares of Allstate from a “buy” rating to a “hold” rating and increased their price objective for the stock from $244.00 to $264.00 in a research note on Monday, July 6th. Finally, Weiss Ratings upgraded Allstate from a “buy (a-)” rating to a “buy (a)” rating in a report on Thursday, August 6th. Four investment analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, nine have issued a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of “Hold” and a consensus target price of $265.53.

Get Our Latest Research Report on Allstate

Insider Transactions at Allstate In related news, insider John E. Dugenske sold 32,996 shares of the business’s stock in a transaction on Friday, August 7th. The stock was sold at an average price of $269.33, for a total transaction of $8,886,812.68. Following the sale, the insider owned 13,054 shares in the company, valued at $3,515,833.82. The trade was a 71.65% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, insider Mark Q. Prindiville sold 1,550 shares of the company’s stock in a transaction dated Friday, May 22nd. The stock was sold at an average price of $216.27, for a total value of $335,218.50. Following the completion of the transaction, the insider directly owned 27,558 shares of the company’s stock, valued at approximately $5,959,968.66. The trade was a 5.32% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 92,996 shares of company stock worth $24,543,894. Insiders own 1.55% of the company’s stock.

Allstate Company Profile (Free Report)

Allstate Corporation is a publicly traded insurance company headquartered in Northbrook, Illinois, and is one of the largest personal lines property and casualty insurers in the United States. Founded in 1931 as a subsidiary of Sears, Roebuck and Co, Allstate has grown into a diversified insurer that serves millions of consumers and businesses through a mix of distribution channels and product offerings.

The company underwrites a broad range of insurance products, with primary emphasis on auto and homeowners coverage.

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Here at Zacks, we focus on our proven ranking system, which places an emphasis on earnings estimates and estimate revisions, to find winning stocks. But we also understand that investors develop their own strategies, so we are constantly looking at the latest trends in value, growth, and momentum to find strong companies for our readers.

Looking at the history of these trends, perhaps none is more beloved than value investing. This strategy simply looks to identify companies that are being undervalued by the broader market. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at their current share price levels.

In addition to the Zacks Rank, investors looking for stocks with specific traits can utilize our Style Scores system. Of course, value investors will be most interested in the system's "Value" category. Stocks with "A" grades for Value and high Zacks Ranks are among the best value stocks available at any given moment.

One company to watch right now is Allstate (ALL - Free Report) . ALL is currently sporting a Zacks Rank #1 (Strong Buy), as well as a Value grade of A. The stock is trading with P/E ratio of 9.21 right now. For comparison, its industry sports an average P/E of 27.04. ALL's Forward P/E has been as high as 11.84 and as low as 8.78, with a median of 10.15, all within the past year.

Value investors also love the P/S ratio, which is calculated by simply dividing a stock's price with the company's sales. Some people prefer this metric because sales are harder to manipulate on an income statement. This means it could be a truer performance indicator. ALL has a P/S ratio of 0.93. This compares to its industry's average P/S of 1.31.

Finally, investors will want to recognize that ALL has a P/CF ratio of 8.66. This metric takes into account a company's operating cash flow and can be used to find stocks that are undervalued based on their solid cash outlook. This stock's P/CF looks attractive against its industry's average P/CF of 10.12. ALL's P/CF has been as high as 14.16 and as low as 8.07, with a median of 10.58, all within the past year.

Investors could also keep in mind Heritage Insurance (HRTG - Free Report) , another Insurance - Property and Casualty stock with a Zacks Rank of #1 (Strong Buy) and Value grade of A.

Heritage Insurance also has a P/B ratio of 2.30 compared to its industry's price-to-book ratio of 1.42. Over the past year, its P/B ratio has been as high as 2.45, as low as 1.03, with a median of 1.46.

These are only a few of the key metrics included in Allstate and Heritage Insurance strong Value grade, but they help show that the stocks are likely undervalued right now. When factoring in the strength of its earnings outlook, ALL and HRTG look like an impressive value stock at the moment.