From Nasdaq: 2025-02-04 09:21:00

Fourth-quarter results in the insurance sector are expected to show improvement, with a 24.3% increase in earnings and an 11.2% rise in revenues. Catastrophe losses may impact profitability. Palomar Holdings, Assurant Inc., Brighthouse Financial Inc., and Unum Group are expected to outperform earnings estimates, with positive Earnings ESP and Zacks Rank.

Underwriting results may benefit from better pricing and exposure growth, but catastrophe losses from events like Hurricane Milton could impact profitability. Commercial insurance rates increased 2.64%, while personal lines saw a 4% rise in the fourth quarter of 2024. Auto premiums may have increased due to higher vehicle repair and medical costs.

Palomar Holdings, focusing on catastrophe insurance, is expected to see a decrease in fourth-quarter earnings. Assurant, a global risk management provider, may see a decrease in earnings as well. Brighthouse Financial, a life insurance and investment management company, is expected to see a significant increase in earnings. Unum Group, providing insurance and related services, may see a 19% increase in earnings.

A company targeting millennial and Gen Z audiences is expected to have explosive growth potential. A recent pullback in the stock makes it an ideal time to invest. Zacks experts have identified this company as having the most upside potential, with significant revenue generation and a strong market presence.

Overall, the insurance sector is poised for growth in the fourth quarter, with specific companies showing potential for outperforming earnings estimates. Factors like catastrophe losses, commercial insurance rate increases, and investment income will impact the industry’s performance.



Read more at Nasdaq:: 4 Insurers Poised to Outperform Estimates This Earnings Season