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Travelers (TRV) Q2 Earnings Report Preview: What To Look For

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Property and casualty insurer Travelers (NYSE: TRV) will be reporting results this Friday before market hours. Here’s what investors should know.

Travelers missed analysts’ revenue expectations last quarter, reporting revenues of $11.88 billion, flat year on year. It was a softer quarter for the company, with a significant miss of analysts’ net premiums earned estimates and a significant miss of analysts’ book value per share estimates.

Is Travelers a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, the market is expecting Travelers’s revenue to be flat year on year, slowing from the 6.7% increase it recorded in the same quarter last year.

Travelers Total Revenue

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Travelers has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at Travelers’s peers in the insurance segment, only Progressive has reported results so far. It met analysts’ revenue estimates, delivering year-on-year sales growth of 7.3%.

Read our full analysis of Progressive’s earnings results here.

There has been positive sentiment among investors in the insurance segment, with share prices up 5.9% on average over the last month. Travelers is up 7% during the same time and is heading into earnings with an average analyst price target of $327.13 (compared to the current share price of $329).

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