On Mar 14, 2013, shares of
) hit a 52-week high of $44.68.
Loews saw a 3% year over year top line growth in 2012. Results
also exceeded the Zacks Consensus Estimate by 4.3%. Higher
insurance premiums coupled with an increase in net investment
income and contract drilling revenues, led to the overall
improvement in top line.
Loews also has been continuously working towards strengthening
its hotel business and tripling its net income by 2015. Loews
remains on track to strengthen its hotel business by doubling its
hotel count within the next three to five years.
It acquired two hotels in 2012, one in Jan 2013 and one in Feb
2013 and has two more under construction. The company's total
number of hotels stands at 21.
It also forayed into the natural gas liquids business with the
acquisition of PL Midstream.
Moreover, the Loews subsidiary Diamond Offshore continues to work
on improving its fleet. Strong balance sheet with low leverage
and adequate cash and strong rating scores are among the
Loews delivered positive earnings surprise in 2 of 4 quarters in
2012. The Zacks Consensus Estimate for 2013 is pegged at $3.37
representing a year-over-year growth of 37.91%. For 2014, the
Zacks Consensus Estimate is $4.04 representing a year-over-year
improvement of 19.91%.
The shares are trading at a 13.5% discount to the peer group
average on a price to book basis. The 1-year return from the
stock is 15.5%, much above the S&P 500's return of
Loews currently carries a Zacks Rank #3 (Hold). Among others from
CNO Financial Group
) and Assured Guaranty (
) carry a favorable Zacks Rank #1 (Strong Buy) and are worth
ASSURED GUARNTY (AGO): Free Stock Analysis
AXA SA -SP ADR (AXAHY): Free Stock Analysis
CNO FINL GRP (CNO): Free Stock Analysis
LOEWS CORP (L): Free Stock Analysis Report
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