Raymond James Believes Favorable Pricing Has Made Travelers Companies Stock Attractive To Investors

Raymond James analyst C. Gregory Peters upgraded Travelers Companies Inc TRV to Strong Buy from Market Perform with a price target of $185, implying a 16.13% upside.
The analyst expects the company to implement an additional auto and homeowners’ insurance rate hike over the next twelve months to account for inflation pressure, thus paving the way for the personal insurance (PI) segment’s year-on-year improvement.
The Business Insurance (BI) segment’s renewal pricing has positioned the company for further improvements in the underlying margins.
Peters expects Travelers to report earnings above the street view in the second half of the fiscal year 2023.
The analyst believes the company could be experiencing improving results stemming from several years of favorable pricing trends in commercial lines and rising interest rates benefiting net investment income.
Price Action: TRV shares are trading higher by 1.91% at $159.41 on the last check Monday.
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