10 Best Health Insurance Stocks to Buy

2. The Progressive Corporation (NYSE:PGR)

Number of Hedge Fund Holders: 89

The Progressive Corporation (NYSE:PGR) is a leading U.S. insurer, providing auto and health insurance solutions.

In its Q2 2024 financial report, The Progressive Corporation (NYSE:PGR) exceeded analysts’ expectations for adjusted earnings per share, reporting $2.48 per share—$0.45 higher than the projected $2.03. However, the company slightly missed revenue estimates, bringing in $17.21 billion versus the expected $17.54 billion.

Goldman Sachs recently raised its price target for The Progressive Corporation (NYSE:PGR) from $262 to $280, maintaining a Buy rating. This revision is based on positive developments such as stronger PIF (policies in force) growth and a better-than-expected underlying loss ratio in the personal auto segment. These gains were partially offset by a higher expense ratio for personal lines. Goldman Sachs also expressed confidence in the sustainability of favorable loss cost trends, leading to a 13% increase in EPS estimates for 2024, and a 3% boost for 2025 and 2026.

By the end of Q2 2024, 89 hedge funds tracked by Insider Monkey held positions in The Progressive Corporation (NYSE:PGR), with Viking Global, led by Andreas Halvorsen, being the largest stakeholder with a $832.2 million stake.

Parnassus Investments, an investment management company, released first quarter 2024 investor letter and mentioned The Progressive Corporation (NYSE:PGR). Here is what the fund said:

“The Progressive Corporation (NYSE:PGR) shares appreciated as investors reacted well to the insurer’s latest financials, including higher-than-expected-growth in net premiums. The company’s consistently profitable underwriting, scale advantages and strong execution are becoming more evident to investors as it continues to gain market shares.”