) earnings per share for November 2012 came in at 13 cents,
plummeting nearly 37% from 20 cents in November 2011. Net income
dipped 38% from September 2011 to $77.7 million.
ALLSTATE CORP (ALL): Free Stock Analysis
PROGRESSIVE COR (PGR): Free Stock Analysis
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Numbers in November
The company recorded net premiums of $1.13 billion in November
2012, up 5% from $1.07 billion in the year-ago period. Net
premiums earned were $1.26 billion, up 9% from $1.16 billion in
Net realized gains on securities in the quarter were $10.2
million, dropping 76% from $42.1 million in November 2011. The
combined ratio − the percentage of premiums paid out as claims
and expenses − deteriorated 350 basis points from the prior-year
quarter to 93.6% in November 2012.
During November, policies in force remained healthy, with the
Personal Auto segment increasing 4% year over year but down 0.4%
sequentially. Special Lines followed the same trend, increasing
4% year over year and declining 0.4% from the preceding month.
In Personal Auto, Direct Auto policies in force increased 4% year
over year but inched down 0.3% from the preceding month. Agency
Auto was up 3% year over year but down 0.5% from last month.
Progressive's Commercial Auto segment reported an increase of
2.1% year over year.
Total expenses for the reported month escalated 12.6% to $1.19
billion from $1.06 billion in November 2011. The major components
contributing to the increase in total expenses were a 17.4%
increase in losses and loss adjustment expenses, and a slight
rise of 0.2% in policy acquisition costs. However, a 3% decline
in other underwriting expenses was a partial offset.
Progressive reported book value per share of $10.08, up from
$9.71 as of Nov 30, 2011 and $9.93 as of Oct 31, 2012.
Return on equity on a trailing 12-month basis was 17.9%,
improving from 17.0% in November 2011 and 17.8% in November 2012.
The debt-to-total-capital ratio was 25.3% as of Nov 30, 2012,
down from 29.1% as of Nov 30, 2011 and from 25.6% as of Oct 31,
The quantitative Zacks #3 Rank (short-term Hold rating) for the
company indicates no clear directional pressure on the shares
over the near term.
), which closely competes with Progressive, shares the same Zacks