Insurance management company Erie Indemnity (NASDAQ:ERIE) will be reporting results this Thursday after market hours. Here’s what you need to know.
Erie Indemnity beat analysts’ revenue expectations by 29% last quarter, reporting revenues of $989.4 million, up 12.3% year on year. It was a slower quarter for the company, with a significant miss of analysts’ EPS estimates.
Is Erie Indemnity a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Erie Indemnity’s revenue to grow 9.8% year on year to $1.09 billion, slowing from the 17.9% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $3.55 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Erie Indemnity has only missed Wall Street’s revenue estimates once over the last two years, exceeding top-line expectations by 7% on average.
Looking at Erie Indemnity’s peers in the property & casualty insurance segment, some have already reported their Q2 results, giving us a hint as to what we can expect. Mercury General delivered year-on-year revenue growth of 13.2%, beating analysts’ expectations by 2%, and Allstate reported revenues up 6%, falling short of estimates by 0.7%. Mercury General’s stock price was unchanged after the resultswhile Allstate was up 5.7%.
Read our full analysis of Mercury General’s results here and Allstate’s results here.
Investors in the property & casualty insurance segment have had fairly steady hands going into earnings, with share prices down 2% on average over the last month. Erie Indemnity is up 4.5% during the same time.
Today’s young investors won’t have read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.
StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.