U.S. markets open in 9 hours 12 minutes
  • S&P Futures

    4,430.25
    -2.75 (-0.06%)
     
  • Dow Futures

    34,774.00
    +31.00 (+0.09%)
     
  • Nasdaq Futures

    15,149.00
    -45.75 (-0.30%)
     
  • Russell 2000 Futures

    2,281.00
    +4.00 (+0.18%)
     
  • Crude Oil

    76.11
    +0.66 (+0.87%)
     
  • Gold

    1,749.70
    -2.30 (-0.13%)
     
  • Silver

    22.62
    -0.07 (-0.30%)
     
  • EUR/USD

    1.1697
    -0.0004 (-0.04%)
     
  • 10-Yr Bond

    1.4840
    +0.0240 (+1.64%)
     
  • Vix

    18.76
    +1.01 (+5.69%)
     
  • GBP/USD

    1.3706
    +0.0002 (+0.01%)
     
  • USD/JPY

    111.1900
    +0.2120 (+0.19%)
     
  • BTC-USD

    42,673.79
    -1,408.46 (-3.20%)
     
  • CMC Crypto 200

    1,057.79
    -43.73 (-3.97%)
     
  • FTSE 100

    7,063.40
    +11.92 (+0.17%)
     
  • Nikkei 225

    30,122.51
    -117.55 (-0.39%)
     

Everest Re Group (RE) to Report Q2 Earnings: What's in Store?

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
·3 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.

Everest Re Group RE is slated to report second-quarter 2021 results on Jul 28, after market close. The company delivered an earnings surprise of 41.39% in the last reported quarter.

Factors to Consider

Everest Re’s premiums in the second quarter are likely to have benefited from new business opportunities, better pricing, strong renewal retention, expanded shares on attractive renewals, global presence and product diversification. The Zacks Consensus Estimate for premiums earned is pegged at $2. billion, indicating an increase of 19.4% from the year-ago reported figure.

The Insurance segment is likely to have benefited from product diversification, international insurance growth, ramp up of Canadian and European platforms, and expense management.

Net investment income is likely to have benefited from higher income from fixed income portfolio, increase in limited partnership income, higher dividend income from equity portfolio, and increased income from other invested assets. The Zacks Consensus Estimate for net investment income is pegged at $202 million, indicating more than five-fold increase from the year-ago reported figure.

A benign catastrophe environment is likely to aid underwriting results. The consensus estimate for combined ratio is pegged at 90, indicating an improvement of 800 basis points from the year- ago reported number.

The consensus estimate for Reinsurance segment combined ratio is pegged at 88. The consensus estimate for Insurance segment combined ratio is pegged at 93, an improvement of 1000 basis points.

The Zacks Consensus Estimate for the second quarter is pegged at $9.00, indicating more than four-fold rise from the year-ago reported quarter.

What the Zacks Model Says

Our proven model does not conclusively predict an earnings beat for Everest Re this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. That is not the case as you can see below.

Earnings ESP: Everest Re has an Earnings ESP of 0.00%. This is because both the Most Accurate Estimate and the Zacks Consensus Estimate are pegged at $9.00 You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.

Everest Re Group, Ltd. Price and EPS Surprise

Everest Re Group, Ltd. Price and EPS Surprise
Everest Re Group, Ltd. Price and EPS Surprise

Everest Re Group, Ltd. price-eps-surprise | Everest Re Group, Ltd. Quote

Zacks Rank: Everest Re currently carries a Zacks Rank of 3.

Stocks to Consider

Some insurance stocks with the right combination of elements to come up with an earnings beat this time around are:

The Allstate Corporation ALL presently has an Earnings ESP of +1.35% and a Zacks Rank #3. You can see the complete list of today’s Zacks #1 Rank stocks here.

Chubb Limited CB currently has an Earnings ESP of +4.00% and is a Zacks #2 Ranked stock.

Arch Capital Group ACGL currently has an Earnings ESP of +11.11% and is a Zacks #3 Ranked stock.




Want 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

Chubb Limited (CB) : Free Stock Analysis Report

The Allstate Corporation (ALL) : Free Stock Analysis Report

Everest Re Group, Ltd. (RE) : Free Stock Analysis Report

Arch Capital Group Ltd. (ACGL) : Free Stock Analysis Report

To read this article on Zacks.com click here.