Orin
ALLNYSE·Insurance - Property & Casualty

The Allstate Corporation ALL

Market cap $59.0BP/E 4.5× trailingGross margin 42.2%Reports Wed 4 Nov, after the close
$229.05
+3.39 (+1.50%)live 09:30 ET
52-wk $188.08 – $277.22
Watch
Orin's take
0.68conviction · moderate
Refreshed 22 Aug · take v8. A new filing or a print queues the next refresh.

Allstate's earnings turnaround is unambiguously confirmed — FY2025 produced $10.28B net income and $38.19 diluted EPS versus a $1.29B net loss in FY2022 — yet the stock trades at 5.12x P/E and 4.15x EV/EBITDA, each roughly 53% below the P&C peer median. The shares have cooled from the overbought conditions flagged two weeks ago (RSI down to 51.67, price retraced to $259.74 from prior highs), offering a more balanced entry alongside a positive smart money score of 0.0241 as of Q2 2026.

July 2026 catastrophe losses of $682M are a legitimate near-term headwind but remain absorbable given FY2025's $10.28B net income and $9.88B free cash flow.

What could go wrong

  • Catastrophe season escalation. Allstate already disclosed $682M in July 2026 estimated cat losses ($539M after-tax); an active H2 hurricane season could compound Q3–Q4 underwriting pressure.
  • Margin sustainability. Operating margin expanded from -3.6% in FY2022 to 19.8% in FY2025; any reversion in underwriting discipline or reserve adequacy would undercut the cheap-earnings thesis.
  • Persistent insider selling. Over the trailing 24 months, insiders net sold 490,246 shares worth $148.6M, including continued sales in August 2026 by senior executives.
  • Revenue growth deceleration. Top-line growth slowed to 4.64% in FY2025 from 12.24% in FY2024, potentially signaling pricing-power limits as the rate-driven recovery matures.

What would change my mind

Q3 2026 underwriting results. Combined ratio or auto-loss-cost trends show margin deterioration beyond what July's $682M cat losses explainbearish
Sustained technical breakout above $265. Stock holds above the August intraday range with rising volume and MACD turns bullishbullish
Additional analyst downgrades. More sell-side firms join the Aug 20 bearish call with price-target cuts citing cat or margin concernsbearish

Where this comes from: fundamentals FY2025 · peer_relative · peer_relative · technicals. Orin's read on ALL; not advice.

Twelve months actual closes to 2026-09-23 · actual filings

Sept 25Nov 25Jan 26Mar 26May 26Jul 26

50-day average 200-day average · volume below

Largest holders · 13F Q2 2026

Money flow
FilerPositionOf fund
Vanguard Capital Management$4.0B0.1% of fund
Vanguard Portfolio Management$3.2B0.1% of fund
State Street$3.0B0.1% of fund
Franklin Resources$2.1B0.4% of fund
Geode Capital Management$2.0B0.1% of fund
Price T Rowe Associates /Md/$1.9B0.2% of fund

103 filers · quarter ended Q2 2026 · positions, not flows

Insiders, last 24 months: 316 Form 4 filings, net −$147.7M. Of the 50 on hand, 0 were open-market purchases and 7 sales— the rest are grants, option exercises and tax withholding.

Ask Orin about ALL

its filings · its transcripts · its numbers

Orin answers questions about ALL from its filings, transcripts and numbers — with the source behind every claim. Your own desk starts with 3 free days, card required.

Start 3 free days

Where it trades

vs its own 5y · Financial Services
MetricNowOwn medianSector
P/E4.5×21.6×
EV/EBITDA3.7×
P/S0.84×0.73×
P/B1.7×2.1×

Its P/E sits 40th percentile of its own last 5 years (+0.52σ from its own mean).

What the price assumes

-9.6%

free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $9.9B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.

What Wall Street published

45 firms · 2026-09-23
Consensus target

$270

$226$319 · +18% against today's price

How they rate it
  • 18 buy or overweight
  • 23 hold
  • 4 underweight or sell

The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.

Against the companies it is compared to

median P/E 10.2× of 7 peers
CompanyMarket capP/EEV/EBITDAGrossNetROE
ALLThe Allstate Corporation$58B4.5×3.7×42.2%19.2%43%
AFLAflac Incorporated$59B12.4×8.9×53.9%26.9%16%
CBChubb Limited$129B11.8×11.9×39.6%18.1%15%
CINFCincinnati Financial Corporation$25B7.6×5.5×52.3%23.8%21%
HIGThe Hartford Financial Services Group, Inc.$35B8.1×7.9×43.9%15.0%23%
PGRThe Progressive Corporation$118B10.2×8.2×26.9%12.8%35%
TRVThe Travelers Companies, Inc.$75B9.5×7.4×34.7%17.0%26%
WRBW. R. Berkley Corporation$25B13.8×10.3×44.8%10.7%20%

The median is of the 7 peers listed above and nothing else — check it against the column. This company trades 56.2% below it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.

What it has traded at

P/E by fiscal year
FY14 11.0×FY25 5.4×

What its sector has traded at

Financial Services
FY14 29.6×FY26 23.9×

Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.

Discounted cash flow

not recomputed since
ModelFair valueAgainstComputed
Standard DCF$344$224.50 · +53%2026-06-10
Levered DCF$1212$224.50 · +440%2026-06-10

The vendor’s intrinsic-value models. Treat them as a low-growth anchor — for a fast grower the market routinely pays well above a DCF. These were computed against the price in the “against” column, not today’s.

Every estimate on one scale

price $229.05
52-week range$188 – $277
Analyst targets$226 – $319
Standard DCF$344 as of 2026-06-10, when it was $224.50
Levered DCF$1212 as of 2026-06-10, when it was $224.50
At own 5y-median P/E (5×)$268
At 5y P/E range (-195–21×)$-9909 – $1089
At sector P/E (22×)$1093

The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.