5 Insurance Markets Likely to Increase Revenue Estimates in Q4

Improved pricing, new products and services, increased interest rates, and accelerated technological efforts are expected to be key factors in the insurance industry in the fourth quarter of 2022. Insurance companies are part of the Zacks scope. Money sector (one of 16 broad Zacks sectors within the Zacks Industry Rankings). Improvements and technology are expected to reduce costs and improve efficiency for such companies. Marsh & McLennan Companies, Inc. MMC, American International Group, Inc. AIG, Aflac Incorporated AFL, Everest Re Group, Ltd. RE and Voya Financial, Inc. VOYA.

With the help of Find Zacks Stocks, we have identified five companies, MMC, AIG, AFL, RE and VOYA, that are expected to exceed the Zacks Consensus Estimate in fourth-quarter earnings. These stocks have a good combination of both – a good thing. Income ESP and Zacks Rank #1 (Strong Buy), #2 (Buy), #3 (Hold) — exceeding expectations. You can identify the best stocks to buy or sell before they are reported to us. Get ESP Filter.

Before we get into the details of what is expected to impact its fourth-quarter performance, let’s take a look at the metrics. the parts.

According to the news Earnings Indicator, the group’s fourth-quarter 2022 revenue is projected to fall 9.2%, while revenue is expected to rise 2.7%. Rising interest rates, increased awareness, increased business and other factors are expected to support the growth of the business community.

Brand Comparison Q4 Results

In the fourth quarter, insurers are expected to witness an improvement in prices. A volatile environment and increased awareness are likely to drive the rate of policy innovation and support growth. price Good investment development and strong working capital are expected to increase corporate profits.

The big winter wind at the end of December caused a lot of damage for some insurers, which weighed on each of their games. For example, the Allstate Corporation alone incurred $478 million in damages from Winter Storm Elliott. This can give an idea of ​​how the properties suffered and how the injuries were distributed in the quarter.

However, auto and home insurance premiums are expected to rise significantly in the quarter under review, providing some respite for investors. Insurers are facing rising costs due to supply issues, a shortage of microchips and replacement parts for vehicles that opted for higher premiums. car This is expected to increase the price of the fourth quarter.

The effects of climate change are expected to prompt households to protect against climate change and release public health insurance, which has helped to health insurers. Insurers are expected to benefit from global expansion, increased costs, strengthened standards and cost-control efforts.

The high interest rate environment appears to have helped insurers’ earnings. Investments in securities and other investments in private equity, hedge funds, and real estate, among others, are expected to benefit corporate earnings.

The increase in demand for protection products and policies with “life” benefits is likely to increase the sales of life insurers. Digitalization efforts are expected to save costs, improve operations and create increased revenue for insurers.

Difficulty Q4 more

Below we list five insurance policies that have the right mix of elements to pull off a hit in this income season.

Based in New York, Marsh & McLennan is a global insurance broker. The solid performance of the Risk and Insurance Services, and Consulting businesses is expected to drive growth. fourth-quarter 2022 earnings, a high-cost exchange rate. The growth of new business and the maintenance of rates may help its performance in the quarter.

The Zacks Consensus Estimate for Marsh & McLennan’s fourth quarter is set at $1.40 per share, indicating a gain of 2.9%. from last year. Earnings have increased over the past four quarters, averaging 3.2%. MMC has an Earnings ESP of +2.72% and a current Zacks Rank #2. You can see the full list of Zacks #1 Rank today.

Marsh & McLennan Companies, Inc. Price and EPS Shock

Marsh & McLennan Companies, Inc. price-eps-shock | Marsh & McLennan Companies, Inc. Quote

Headquarters in New York, American International is a world-renowned insurance organization. Revamping the travel and underwriting business is expected to boost its Personal Lines insurance business. Living wage increases and Pensions are expected to help fourth-quarter 2022 earnings.

The Zacks Consensus Estimate for American International’s fourth quarter is set at $1.14 per share, which has improved 2.7% over the past 30 days. Earnings have topped three of the past four quarters and missed once, with an average surprise of 13%. AIG has an Earnings ESP of +13.33% and a current Zacks Rank #2.

American International Group, Inc. Price and EPS Shock

American International Group, Inc.  Price and EPS Shock

American International Group, Inc. price-eps-shock | American International Group, Inc. Quote

Aflac, based in Columbus, GA, offers complementary health and life insurance products. Enrollment growth, investment growth and sales growth are expected to benefit the company’s US division in the fourth quarter of 2022. spending is expected to improve and support profits on the growth of quality, a group that is offset by weak contributions from its Japanese division.

The Zacks Estimates for Aflac’s fourth-quarter 2022 earnings It is currently trading at $1.21 per share, which has seen three relative changes to none in the past 30 days. Revenues were up in each of the four quarters, averaging 4.8%. AFL has an Earnings ESP of +2.12% and a current Zacks Rank #2.

Aflac Incorporated Price and EPS Surprise

Aflac Incorporated Price and EPS Surprise

Aflac Incorporated price-eps-shock | Aflac Incorporated Quote

Headquarters in Hamilton, Bermuda, Everest Re property and casualty writing, reinsurance and insurance in the United States, Bermuda and international markets. The diversification of products, the expansion of its geographical position, international insurance, and the growth of the current position of Canada by seems to have helped his situation. fourth-quarter 2022 profit.

The Zacks Estimate for Everest Re’s fourth quarter is set at $8.96 per share, which has improved 3.8% over the past 30 days. . Earnings beat three of the last four quarters and missed one, with an average surprise of 10.3%. RE Earnings has an ESP of +16.41% and a current Zacks Rank #2.

Everest Re Group, Ltd. Price and EPS Shock

Everest Re Group, Ltd.  Price and EPS Shock

Everest Re Group, Ltd. price-eps-shock | Everest Re Group, Ltd. Quote

Based in New York, Voya Money offers retirement, investment and employee benefit products in the United States. Higher revenue from its Wealth Solutions, Investment Management and Health Solutions businesses, and benefits from its network expansion are likely to contribute to its fourth-quarter profits. His cost-saving plans are intended to benefit the bottom line.

The Zacks Consensus Estimate for Voya Financial’s fourth-quarter 2022 earnings has settled at $1.51 per share. The consensus estimate for revenue is set at $259.9 million. Earnings have increased over the past four quarters, with an average of 35.2%. VOYA has an earnings ESP of +7.77% and a current Zacks Rank #2.

Voya Financial, Inc. Price and EPS Shock

Voya Financial, Inc.  Price and EPS Shock

Voya Financial, Inc. price-eps-shock | Voya Financial, Inc. Quote

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