27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
The analysts lowered their 2016 EPS estimate to $1.85 from $1.91 and maintained the 2017 estimate of $2.13. This decision was followed by a disappointing 2Q results on July 14 when Progressive posted 2Q16 operating earnings of $0.29 per share, down 46 percent from the same quarter last year, missing the consensus estimate of $0.33.
The analysts maintained their Hold rating on the company, describing it as a well-managed company with a clean balance sheet. "The company targets the value segment of the Property-Casualty insurance market and spends aggressively on marketing in order to gain market share. However, earnings growth has been uneven in recent quarters, and valuations are high compared to the peer group," wrote Argus.
According to the analysts, the shares are a suitable core holding for long-term investors, but they need more stable earnings growth or lower valuations to re-classify the company to Buy.
At time of writing, Progressive was down 0.45 percent on the day, trading at $32.95.
Did you like this article? Could it have been improved? Please email feedback@benzinga.com with the story link to let us know!
27% profits every 20 days?
This is what Nic Chahine averages with his options buys. Not selling covered calls or spreads... BUYING options. Most traders don't even have a winning percentage of 27% buying options. He has an 83% win rate. Here's how he does it.
ENTER TO WIN $500 IN STOCK OR CRYPTO
Enter your email and you'll also get Benzinga's ultimate morning update AND a free $30 gift card and more!