Progressive prepares for strong earnings report

Progressive Insurance (PGR) will release its quarterly earnings report today, Monday 15tand the company is expected to demonstrate positive results.

Ahead of the earnings report, the company’s shares were up slightly Friday before the market closed. However, as of Monday morning, the stock is up 1.44% to $216 per share. It appears that investors are hopeful about the company’s report and how it will impact the stock price.

The company is expected to show that its profits increased year-over-year when it releases its earnings report for the quarter ending in late March 2024. These reports will have a significant impact on the company’s share price.

What are the expectations regarding PGR shares?

The company could post earnings per share of $2.96 if its earnings are in line with expectations and current data. That would be about a 355% improvement over last year. In terms of full-year revenue, the outlook puts Progressive’s numbers at about $16.5 billion, which would be a solid 16% increase.

What’s really important for investors is that the stock’s price forecast for the quarter has recently increased. Over the past month, the forecast is up 7.35% from the previous number. That explains why the stock is up ahead of the earnings report.

We recommend that investors consider buying Progressive stock at this point. We expect the price to rise and the stock to appreciate over time. While some business markets are hard to buy stocks like retail and technology, Progressive has been doing well in the insurance niche and has recently shown improvement quarter over quarter.

We don’t see any significant indicators that would prevent it from doing well again this quarter as the numbers come in and are released. US PPI numbers were stronger than expected, which could hold back the stock a bit, but we still expect strong performance from PGR stocks.