Cincinnati Financial (NASDAQ:CINF) Shares Gap Up After Better-Than-Expected Earnings

Cincinnati Financial Co. (NASDAQ:CINF)’s stock price gapped up before the market opened on Tuesday after the company announced better than expected quarterly earnings. The stock had previously closed at $135.87, but opened at $144.21. Cincinnati Financial shares last traded at $138.13, with a volume of 119,347 shares traded.

The insurance provider reported ($0.24) EPS for the quarter, topping analysts’ consensus estimates of ($0.61) by $0.37. Cincinnati Financial had a net margin of 20.22% and a return on equity of 9.01%. The firm had revenue of $2.34 billion for the quarter, compared to analyst estimates of $2.70 billion. During the same quarter in the prior year, the firm earned $1.72 EPS. The company’s revenue was up 13.2% on a year-over-year basis.

Cincinnati Financial Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, April 15th. Stockholders of record on Monday, March 24th were given a dividend of $0.87 per share. This is a boost from Cincinnati Financial’s previous quarterly dividend of $0.81. The ex-dividend date of this dividend was Monday, March 24th. This represents a $3.48 annualized dividend and a dividend yield of 2.53%. Cincinnati Financial’s payout ratio is currently 23.97%.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on CINF. StockNews.com upgraded Cincinnati Financial from a “sell” rating to a “hold” rating in a report on Thursday, April 17th. Keefe, Bruyette & Woods dropped their price objective on shares of Cincinnati Financial from $182.00 to $148.00 and set an “outperform” rating on the stock in a research report on Wednesday, April 9th. Finally, Roth Mkm upped their target price on Cincinnati Financial from $140.00 to $160.00 and gave the company a “buy” rating in a research report on Wednesday, February 12th. Two research analysts have rated the stock with a hold rating and four have given a buy rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $147.40.

Institutional Trading of Cincinnati Financial

A number of hedge funds have recently bought and sold shares of CINF. IFM Investors Pty Ltd lifted its position in shares of Cincinnati Financial by 6.7% during the 1st quarter. IFM Investors Pty Ltd now owns 31,832 shares of the insurance provider’s stock valued at $4,333,000 after buying an additional 1,988 shares during the last quarter. OneDigital Investment Advisors LLC raised its holdings in Cincinnati Financial by 15.3% during the 1st quarter. OneDigital Investment Advisors LLC now owns 5,728 shares of the insurance provider’s stock valued at $846,000 after acquiring an additional 759 shares during the period. Principal Financial Group Inc. boosted its holdings in shares of Cincinnati Financial by 6.3% in the first quarter. Principal Financial Group Inc. now owns 201,411 shares of the insurance provider’s stock worth $29,752,000 after acquiring an additional 11,964 shares during the period. Mutual Advisors LLC raised its stake in shares of Cincinnati Financial by 14.3% during the 1st quarter. Mutual Advisors LLC now owns 3,381 shares of the insurance provider’s stock valued at $499,000 after purchasing an additional 424 shares during the period. Finally, Revisor Wealth Management LLC boosted its stake in Cincinnati Financial by 120.0% in the 1st quarter. Revisor Wealth Management LLC now owns 27,606 shares of the insurance provider’s stock worth $4,102,000 after purchasing an additional 15,056 shares during the period. 65.24% of the stock is currently owned by institutional investors.

Cincinnati Financial Stock Performance

The company has a 50-day moving average price of $139.19 and a two-hundred day moving average price of $142.55. The stock has a market capitalization of $21.53 billion, a P/E ratio of 9.51, a PEG ratio of 8.30 and a beta of 0.53. The company has a quick ratio of 0.31, a current ratio of 0.29 and a debt-to-equity ratio of 0.06.

Cincinnati Financial Company Profile

Cincinnati Financial Corporation, together with its subsidiaries, provides property casualty insurance products in the United States. It operates through five segments: Commercial Lines Insurance, Personal Lines Insurance, Excess and Surplus Lines Insurance, Life Insurance, and Investments. The Commercial Lines Insurance segment offers coverage for commercial casualty, commercial property, commercial auto, and workers' compensation.