Allstate Corp ALL shares are trading lower Thursday after the company reported preliminary fourth-quarter results.
What Happened: Allstate said it anticipates a fourth-quarter adjusted net loss between $335 million and $385 million.
Premiums written increased 11.4% year-over-year to $11.5 billion. Allsate said the increase was primarily driven by higher average auto and home insurance premiums.
Allstate said it continued to implement significant auto insurance rate actions in the second half of 2022 in response to increased loss costs. During December, Allstate implemented auto rate increases of 10.6%. Total rate increases for the year are expected to raise annualized premiums by approximately 16.9%.
Homeowners premiums written increased 9.3% year-over-year to $2.9 billion. Premiums earned increased 9.4% on a year-over-year basis.
Allstate is set to report its full fourth-quarter financial results after the market close on Feb. 1.
Following the company's preliminary results, Wells Fargo analyst Elyse Greenspan maintained Allstate with an Underweight rating and lowered the price target from $107 to $105.
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ALL Price Action: Allstate has a 52-week high of $144.46 and a 52-week low of $111.85.
The stock was down 5.61% at $125 at time of publication, according to Benzinga Pro.
Photo: Mike Mozart from Flickr.
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