Allstate (NYSE:ALL) Shares Gap Down – Should You Sell?

The Allstate Corporation (NYSE:ALL)’s stock price gapped down prior to trading on Wednesday . The stock had previously closed at $250.35, but opened at $241.13. Allstate shares last traded at $237.4690, with a volume of 345,709 shares.

Analysts Set New Price Targets

Several equities analysts have weighed in on the company. Cantor Fitzgerald increased their price objective on Allstate from $236.00 to $242.00 and gave the company a “neutral” rating in a report on Thursday, July 9th. Wall Street Zen lowered Allstate from a “buy” rating to a “hold” rating in a research note on Sunday, July 12th. JPMorgan Chase & Co. upped their price target on Allstate from $263.00 to $282.00 and gave the company an “overweight” rating in a research report on Tuesday. Evercore set a $240.00 price objective on Allstate in a report on Friday, July 10th. Finally, Wells Fargo & Company boosted their price objective on Allstate from $229.00 to $243.00 and gave the company an “equal weight” rating in a research note on Wednesday, May 6th. Three research analysts have rated the stock with a Strong Buy rating, six have assigned a Buy rating, twelve have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Allstate has an average rating of “Moderate Buy” and a consensus price target of $253.05.

Allstate Price Performance

The business’s fifty day simple moving average is $226.55 and its 200-day simple moving average is $214.11. The company has a current ratio of 0.36, a quick ratio of 0.36 and a debt-to-equity ratio of 0.25. The firm has a market cap of $62.09 billion, a P/E ratio of 5.32, a PEG ratio of 0.42 and a beta of 0.16.

Allstate (NYSE:ALL) last posted its earnings results on Wednesday, April 29th. The insurance provider reported $10.65 earnings per share (EPS) for the quarter, topping the consensus estimate of $7.31 by $3.34. Allstate had a return on equity of 42.66% and a net margin of 17.81%.The firm had revenue of $16.94 billion for the quarter, compared to the consensus estimate of $15.24 billion. During the same quarter in the prior year, the business posted $3.53 earnings per share. The business’s quarterly revenue was up 3.0% on a year-over-year basis. As a group, analysts forecast that The Allstate Corporation will post 29.99 EPS for the current fiscal year.

Allstate Dividend Announcement

The company also recently announced 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. This represents a $4.32 dividend on an annualized basis and a yield of 1.8%. The ex-dividend date of this dividend is Monday, August 31st. Allstate’s dividend payout ratio is 9.53%.

Insider Activity

In other news, insider Mark Q. Prindiville sold 1,550 shares of the business’s stock in a transaction on Friday, May 22nd. The shares were sold at an average price of $216.27, for a total transaction of $335,218.50. Following the completion of the transaction, the insider directly owned 27,558 shares in the company, valued at $5,959,968.66. The trade was a 5.32% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director Andrea Redmond sold 2,225 shares of the company’s stock in a transaction on Monday, June 1st. The stock was sold at an average price of $202.91, for a total transaction of $451,474.75. Following the completion of the transaction, the director directly owned 2,225 shares in the company, valued at approximately $451,474.75. The trade was a 50.00% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 22,353 shares of company stock worth $4,851,560 in the last three months. Corporate insiders own 1.55% of the company’s stock.

Hedge Funds Weigh In On Allstate

Institutional investors have recently added to or reduced their stakes in the business. CIBC Bancorp USA Inc. bought a new stake in Allstate during the third quarter valued at approximately $7,814,000. Mitsubishi UFJ Asset Management Co. Ltd. increased its holdings in shares of Allstate by 5.1% in the 4th quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 552,120 shares of the insurance provider’s stock worth $112,533,000 after buying an additional 26,586 shares during the last quarter. Mezzasalma Advisors LLC raised its position in shares of Allstate by 58.6% during the 4th quarter. Mezzasalma Advisors LLC now owns 23,918 shares of the insurance provider’s stock valued at $4,875,000 after buying an additional 8,837 shares in the last quarter. Meyer Handelman Co. lifted its holdings in shares of Allstate by 4.8% during the 4th quarter. Meyer Handelman Co. now owns 206,787 shares of the insurance provider’s stock worth $43,043,000 after acquiring an additional 9,438 shares during the last quarter. Finally, AIA Group Ltd lifted its holdings in shares of Allstate by 479.8% during the 3rd quarter. AIA Group Ltd now owns 13,190 shares of the insurance provider’s stock worth $2,831,000 after acquiring an additional 10,915 shares during the last quarter. 76.47% of the stock is currently owned by institutional investors.

About Allstate

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.