4 Dividend-Paying P&C Stocks to Watch in the Insurance Space

Zacks11-26

The Zacks Property and Casualty Insurance industry is well-poised to benefit from better pricing, prudent underwriting, increased exposure, an improving rate environment and a solid capital position. ...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2486788860?lang=en_US&edition=fundamental","thumbnail":"https://s.yimg.com/uu/api/res/1.2/FRg4RidWg2vgNJHgK9SJxA--~B/aD00MTM7dz02MjA7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/zacks.com/ffea6ebd26f5d710d2792ac7db03dab2","is_english":true,"pubTime":"2024-11-26 22:38","share_image_url":"https://static.laohu8.com/5f26f4a48f9cb3e29be4d71d3ba8c038","id":"2486788860","market":"us","top_or_hot":-1,"title":"4 Dividend-Paying P&C Stocks to Watch in the Insurance Space","media":"Zacks","content":"<div>\n<p>The Zacks Property and Casualty Insurance industry is well-poised to benefit from better pricing, prudent underwriting, increased exposure, an improving rate environment and a solid capital position. ...</p>\n\n<a href=\"https://finance.yahoo.com/news/4-dividend-paying-p-c-143800569.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>4 Dividend-Paying P&C Stocks to Watch in the Insurance Space</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\n4 Dividend-Paying P&C Stocks to Watch in the Insurance Space\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-11-26 22:38 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/4-dividend-paying-p-c-143800569.html><strong>Zacks</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>The Zacks Property and Casualty Insurance industry is well-poised to benefit from better pricing, prudent underwriting, increased exposure, an improving rate environment and a solid capital position. ...</p>\n\n<a href=\"https://finance.yahoo.com/news/4-dividend-paying-p-c-143800569.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"CINF","symbol_name":"辛辛那提金融","start_time":0,"source_url":"https://finance.yahoo.com/news/4-dividend-paying-p-c-143800569.html","article_id":"2486788860","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/FRg4RidWg2vgNJHgK9SJxA--~B/aD00MTM7dz02MjA7YXBwaWQ9eXRhY2h5b24-/https://media.zenfs.com/en/zacks.com/ffea6ebd26f5d710d2792ac7db03dab2"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2486788860","pubTimestamp":1732631880,"columns":[],"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":"The Zacks Property and Casualty Insurance industry is well-poised to benefit from better pricing, prudent underwriting, increased exposure, an improving rate environment and a solid capital position. With the ongoing economic expansion, insurers remain well-poised for growth. The buoyancy in the industry is further confirmed by its Zacks Industry Rank #31, which places it in the top 12% of more than 250 Zacks industries.However, industry players continue to grapple with issues like higher catastrophe events, both natural and man-made, which drag down underwriting profit.Per Aon, 280 notable global natural disaster events occurred in the first nine months of 2024, which resulted in economic losses of $258 billion and insurance losses of $102 billion. Per Aon, severe convective storms are projected to have driven $59 billion of the insurance industry catastrophe loss for the first nine months of 2024.Despite these challenges surrounding the industry, the P&C insurance industry has return","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"CINF":"辛辛那提金融","BK4523":"印度概念","AFGC":"American Financial Group, Inc.","BK4585":"ETF&股票定投概念","BK4107":"财产与意外伤害保险","ROE":"ASTORIA US QUALITY KINGS ETF","BK4588":"碎股","CNA":"CAN金融","AFG":"美国金融集团有限公司","BK4099":"汽车制造商","TTM":"塔塔汽车","FAF":"第一美国","BK4117":"多元化保险"},"translate_title":"保险领域值得关注的4只派息财险股票","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"AFG":1,"CNA":1,"FAF":1,"ROE":1,"TTM":1,"US7Y.BOND":0.9,"US6M.BOND":0.9,"US5Y.BOND":0.9,"US3Y.BOND":0.9,"US30Y.BOND":0.9,"US2Y.BOND":0.9,"US12M.BOND":0.9,"US10Y.BOND":0.9,"CINF":0.9,"AFGC":0.78},"content_text":"The Zacks Property and Casualty Insurance industry is well-poised to benefit from better pricing, prudent underwriting, increased exposure, an improving rate environment and a solid capital position. With the ongoing economic expansion, insurers remain well-poised for growth. The buoyancy in the industry is further confirmed by its Zacks Industry Rank #31, which places it in the top 12% of more than 250 Zacks industries.However, industry players continue to grapple with issues like higher catastrophe events, both natural and man-made, which drag down underwriting profit. Per Aon, 280 notable global natural disaster events occurred in the first nine months of 2024, which resulted in economic losses of $258 billion and insurance losses of $102 billion. Per Aon, severe convective storms are projected to have driven $59 billion of the insurance industry catastrophe loss for the first nine months of 2024. Despite these challenges surrounding the industry, the P&C insurance industry has returned 33.4% in the year-to-date period, outperforming the Zacks S&P 500 composite and the Finance sector’s growth of 25.3% and 23.2%, respectively.\nImage Source: Zacks Investment Research\nIndustry players that boast an impressive dividend history have always attracted yield-seeking investors. Property and casualty insurers like First American Financial Corporation FAF Cincinnati Financial Corporation CINF, CNA Financial Corporation CNA and American Financial Group AFG have been investors’ favorites, driven by their solid fundamentals that ensure consistent dividend payments.Global commercial insurance rates decreased 1% in the third quarter of 2024, which marked the first decrease in the composite rate in seven years, per the Marsh Global Insurance Market Index. Price hikes, operational strength, higher retention, strong renewal and the appointment of retail agents should help write higher premiums. Per Deloitte Insights, gross premiums are estimated to exceed $722 billion by 2030.Analysts at Swiss Re Institute predict premium growth of 9.5% for 2024 and 4% for 2025. Swiss Re Institute continues to predict an industry return on equity (ROE) of 9.5% in 2024 and 10% in 2025.The insurance industry is rate-sensitive. An improving rate environment is a boon for insurers, especially long-tail insurers. The Fed dropped interest rates by another 25 basis points to a range of 4.50-4.75% at the two-day Federal Open Market Committee meeting. With a large invested asset base, investment income should remain healthy.A solid capital level supports insurers in pursuing strategic mergers and acquisitions to gain market share, expand in niche areas and diversify operations into new business lines and geography, as well as increase dividends, pay special dividends and buy back shares. Deloitte estimates more mergers and acquisitions in the reinsurance space in 2024.The P&C insurance industry is witnessing increased use of technology like blockchain, artificial intelligence, advanced analytics, telematics, cloud computing and robotic process automation that expedite business operations and save costs. Insurers continue to invest heavily in technology to improve basis points, scale and efficiencies. Per the Deloitte FSI Predictions article, insurers are expected to generate around $4.7 billion in annual global premiums from AI-related insurance by 2032.\nHow to Pick Stocks With Solid Dividend Payouts?\nTo choose some of the best dividend stocks from the aforementioned industry, we have run the Zacks Stock Screener to identify stocks with a dividend yield in excess of 2% and a sustainable dividend payout ratio of less than 60%, reflecting enough room for future dividend increases. These stocks also have a five-year historical dividend growth rate of more than 2% and a Zacks Rank #1 (Strong Buy) or 3 (Hold). You can see the complete list of today’s Zacks #1 Rank stocks here.\nOur Top Picks\nFirst American Financial, with a market capitalization of $7.17 billion, provides financial services and operates through the Title Insurance and Services and Home Warranty segments. FAF remains well-poised to capitalize on the increased demand among millennials for first-time home purchases. This Zacks Rank #1 insurer is poised to rise on growing leadership in title data, benefiting from proprietary data extraction, sturdy distribution relationships, prudent underwriting and continued investments in technology.The insurer’s payout ratio is 58, with a five-year annualized dividend growth rate of 5.19%. Its current dividend yield of 3.1% is better than the industry average of 0.2%. The insurer’s quarterly dividend payment witnessed a 10-year CAGR (2015-2024) of 8%. (Check First American’s dividend history here.)\n\nFirst American Financial Corporation Dividend Yield (TTM)\n  \nFirst American Financial Corporation dividend-yield-ttm | First American Financial Corporation Quote\n\nFAF remains focused on strategic initiatives to strengthen its product offerings, intensify focus on its core business, invest in technology and redeploy capital to areas that fetch higher returns. Banking on strong operational performance, the company distributes wealth to its shareholders via dividends. It has been increasing its dividend payout each year and buying back shares.Cincinnati Financial, with a market capitalization of $24.92 billion, provides property casualty insurance products in the United States. This Zacks Rank #3 insurer remains poised to gain from price increases, a higher level of insured exposures and several growth initiatives, which include the expansion of Cincinnati Re and Cincinnati Global. This P&C insurer intends to grow the Commercial Lines and Excess and Surplus lines through additional agency appointments, expansion of local field presence, higher renewal written premiums and higher average renewal estimated pricing.The insurer’s payout ratio is 48, with a five-year annualized dividend growth rate of 7.97%. The dividend yield of 2.03% makes Cincinnati Financial an appealing choice for investors seeking stable returns. The insurer’s quarterly dividend payment witnessed a 10-year CAGR (2015-2024) of 5.8%. (Check Cincinnati Financial’s dividend history here.)\n\nCincinnati Financial Corporation Dividend Yield (TTM)\n  \nCincinnati Financial Corporation dividend-yield-ttm | Cincinnati Financial Corporation Quote\n\nCincinnati Financial’s consistent cash flow continues to boost liquidity. In terms of capital management, CINF has returned capital to shareholders through share buybacks, regular cash dividends, as well as special dividends. The board had increased the annual cash dividend rate for 64 consecutive years, a record that is believed to be matched by only seven other publicly traded companies in the United States. The dividend increases reflected strong operating performance and signaled management's and the board's positive outlook and confidence in outstanding capital, liquidity and financial flexibility.CNA Financial, with a market capitalization of $13.46 billion, offers commercial P&C insurance products, mainly across the United States. The insurer’s focus on better pricing, increased exposure, higher new businesses and retentions across its Specialty, Commercial and International segments poise it well for growth. Stable fixed-income returns and higher limited partnership returns should continue to support investment results. The insurer carries a Zacks Rank #3 at present.The insurer’s payout ratio is 36, with a five-year annualized dividend growth rate of 4.60%. Its current dividend yield is 3.5%. The insurer’s quarterly dividend payment witnessed a 10-year CAGR (2015-2024) of 5.8%. (Check CNA Financial’s dividend history here.)\n\nCNA Financial Corporation Dividend Yield (TTM)\n  \nCNA Financial Corporation dividend-yield-ttm | CNA Financial Corporation Quote\n\nCNA Financial boasts a solid balance sheet with capital remaining above the target levels required for all ratings. This, along with sufficient cash flows, enables CNA Financial to engage in shareholder-friendly moves like dividend hikes. On the back of a disciplined execution, denoted by strong underwriting results and confidence in future earnings performances, the company hiked its dividend over the past couple of years. Thus, the company remains committed to returning more value to shareholders.American Financial, with a market capitalization of $12.51 billion, is an insurance holding company that provides specialty property and casualty insurance products in the United States. The insurer is set to benefit from business opportunities, growth in the surplus lines and excess liability businesses and higher retentions in the renewal business, which boost premium growth.The insurer’s payout ratio is 27, with a five-year annualized dividend growth rate of 11.63%. Its current dividend yield is 2.15%. The insurer’s quarterly dividend payment witnessed a 10-year CAGR (2015-2024) of 31.9%. (Check American Financial’s dividend history here)\n\nAmerican Financial Group, Inc. Dividend Yield (TTM)\n  \nAmerican Financial Group, Inc. dividend-yield-ttm | American Financial Group, Inc. Quote\n\nAmerican Financial has traditionally maintained a moderate adjusted financial leverage of around 20%, with a good cash flow and interest coverage ratio. This Zacks Rank #3 insurer scores strongly with credit rating agencies. Also, in each of the last 18 years, the company has successfully increased its dividends. The robust operating profitability at the P&C segment, a stellar investment performance and effective capital management support effective shareholders return. The insurer expects its operations to continue to generate significant excess capital throughout the remainder of 2024, which provides ample opportunity for additional share repurchases or special dividends over the next year.\nWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report\nCincinnati Financial Corporation (CINF) : Free Stock Analysis Report\nFirst American Financial Corporation (FAF) : Free Stock Analysis Report\nCNA Financial Corporation (CNA) : Free Stock Analysis Report\nAmerican Financial Group, Inc. (AFG) : Free Stock Analysis Report\nTo read this article on Zacks.com click here.\nZacks Investment Research","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2486788860"}