Allstate operates in four business segments: Allstate Protection, Discontinued Lines and Coverages, Allstate Financial, and Corporate and Other. Its auto, homeowners, and other personal property and casualty products are mostly sold in the U.S. The company was founded in 1931 and is based in Northbrook, Illinois.
ALL Price Forecast Based on DCF Valuation
DCF Fair Value Target:
We started the process of determining a valid price forecast for Allstate Corp with a discounted cash flow analysis -- the results of which can be found in the table below. To summarize, we found that Allstate Corp ranked in the 67th percentile in terms of potential gain offered. Moreover, under all the scenarios we modelled, the output consistently forecasted positive returns. As for the metrics that stood out in our discounted cash flow analysis of Allstate Corp, consider:
As a business, ALL is generating more cash flow than 91.89% of positive cash flow stocks in the Financial Services.
Allstate Corp's weighted average cost of capital (WACC) is 7%; for context, that number is higher than just 22.16% of tickers in our DCF set.
ALL's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than just 22.16% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
GHL, TW, JHG, KMPR, and SIGI can be thought of as valuation peers to ALL, in the sense that they are in the Financial Services sector and have a similar price forecast based on DCF valuation.
Insurance giant Allstate (ALL) is set to report second-quarter earnings results after the closing bell on Tuesday. The stock is trading at a pretty low valuation at this time and a pattern on the chart could be indicating that the stock is ready to rally. Analysts expect the company to...
Allstate (ALL), one of the blue-chips of the property and casualty arena, is undervalued at today's market value of $91.16. The company has built a strong underwriting machine that generates profits from its efficiency and underwriting margins. With all of the uncertainty around the COVID-19 pandemic, Allstate stepped up and...
Facebook is facing a growing advertiser boycott — dozens of companies announced over the past month that they'll pause ad spending on the social network. A new report reveals that, in addition to the companies that announced they were joining the boycott, a handful of major advertisers quietly paused ad spending on Facebook with no announcement this month. Walmart, Geico, McDonald's, Allstate, Kellogg's, Kohl's, Dell, Peloton, and Ikea all paused Facebook ads in July, costing the social network millions in revenue, according to a report from Media Matters. The boycott was started by civil rights activists to protest hate speech and misinformation on Facebook's platform. But for advertisers, pulling out of Facebook is more about brand safety than political activism. Visit Business Inside...