Progressive Corporation provides insurance for personal and commercial autos and trucks, motorcycles, boats, recreational vehicles, and homes. The company was founded in 1937 and is based in Mayfield Village, Ohio.
PGR Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Progressive Corp. To summarize, we found that Progressive Corp ranked in the 76th 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 Progressive Corp, consider:
As a business, PGR is generating more cash flow than 94.51% of positive cash flow stocks in the Financial Services.
The business' balance sheet suggests that 9% of the company's capital is sourced from debt; this is greater than only 22.73% of the free cash flow producing stocks we're observing.
PGR's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than 45.76% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Progressive Corp? See RGA, FNF, HIG, FAF, and CRD.A.