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Progressive price target lowered to $199 from $203 at BofA

Progressive price target lowered to $199 from $203 at BofA

BofA lowered the firm’s price target on Progressive to $199 from $203 and keeps a Buy rating on the shares. Personal auto insurance is a cyclical business and despite outperforming the market year-to-date, Progressive shares are currently trading at multi-year P/E lows. However, the firm’s EPS forecasts assume healthy revenue growth can be sustained in a personal auto insurance market “enjoying pricing increases unrivaled in nearly 50 years” and remain 19% and 35% above consensus for 2024 and 2025, respectively, the analyst tells investors.

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