(TRV) The Travelers Companies - Overview
Sector: Financial Services | Industry: Insurance - Property & Casualty | Exchange: NYSE (USA) | Market Cap: 62.069m USD | Total Return: 13.7% in 12m
Avg Turnover: 401M
EPS Trend: 97.6%
Qual. Beats: 0
Rev. Trend: 97.3%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
The Travelers Companies, Inc. (TRV) is a major provider of property and casualty insurance, serving commercial, governmental, and individual clients across North America and international markets. Founded in 1853, the firm operates through three primary segments: Business Insurance, Bond & Specialty Insurance, and Personal Insurance. Its distribution network relies heavily on independent agencies, brokers, and wholesale agents to market products ranging from workers compensation and surety bonds to personal automobile and homeowners policies.
As a constituent of the property and casualty sector, the company generates revenue through earned premiums and investment income from its underlying float. This business model is sensitive to interest rate fluctuations and catastrophic loss cycles, which directly impact underwriting margins and portfolio yields. Investors may find it useful to examine ValueRay for a deeper look at these valuation drivers.
- Rising catastrophe losses from extreme weather events strain quarterly underwriting margins
- Higher interest rates boost net investment income from core fixed-income portfolios
- Personal auto and homeowners insurance rate hikes drive premium growth momentum
- Strong retention and pricing power in commercial lines support long-term revenue stability
- Favorable prior-year reserve development enhances earnings per share and capital return capacity
| Net Income: 7.60b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA 1.44 > 1.0 |
| NWC/Revenue: 59.21% < 20% (prev 50.15%; Δ 9.06% < -1%) |
| CFO/TA 0.08 > 3% & CFO 11.4b > Net Income 7.60b |
| Net Debt (-88.7b) to EBITDA (10.6b): -8.39 < 3 |
| Current Ratio: 1.31 > 1.5 & < 3 |
| Outstanding Shares: last quarter (218.4m) vs 12m ago -5.21% < -2% |
| Gross Margin: 44.02% > 18% (prev 24.56%; Δ 19.45% > 0.5%) |
| Asset Turnover: 35.17% > 50% (prev 34.57%; Δ 0.60% > 0%) |
| Interest Coverage Ratio: 22.37 > 6 (EBIT TTM 9.89b / Interest Expense TTM 442.0m) |
| A: 0.20 (Total Current Assets 123b - Total Current Liabilities 94.2b) / Total Assets 142b |
| B: 0.40 (Retained Earnings 56.4b / Total Assets 142b) |
| C: 0.07 (EBIT TTM 9.89b / Avg Total Assets 139b) |
| D: 0.29 (Book Value of Equity 32.0b / Total Liabilities 110b) |
| Altman-Z'' = 3.41 = A |
| DSRI: 0.95 (Receivables 23.3b/23.6b, Revenue 48.9b/47.0b) |
| GMI: 0.56 (GM 24.56% / 44.02%) |
| AQI: 0.95 (AQ_t 0.13 / AQ_t-1 0.14) |
| SGI: 1.04 (Revenue 48.9b / 47.0b) |
| TATA: -0.03 (NI 7.60b - CFO 11.4b) / TA 142b) |
| Beneish M = -3.47 (Cap -4..+1) = AA |
As of June 07, 2026, the stock is trading at USD 303.25 with a total of 1,151,318 shares traded.
Over the past week, the price has changed by +3.89%,
over one month by +0.63%,
over three months by -0.75% and
over the past year by +13.67%.
The Travelers Companies has received a consensus analysts rating of 3.39. Therefore, it is recommended to hold TRV.
- StrongBuy: 3
- Buy: 6
- Hold: 11
- Sell: 3
- StrongSell: 0
| Analysts Target Price | 314.5 | 3.7% |
P/E Trailing = 8.7105
P/E Forward = 10.3093
P/S = 1.2682
P/B = 1.9405
P/EG = 2.3596
Revenue TTM = 48.9b USD
EBIT TTM = 9.89b USD
EBITDA TTM = 10.6b USD
Long Term Debt = 8.97b USD (from longTermDebt, last quarter)
Short Term Debt = 300.0m USD (from shortTermDebt, last quarter)
Debt = 9.27b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -88.7b USD (calculated: Debt 9.27b - CCE 98.0b)
Enterprise Value = 62.1b USD (floored to Market Cap, CCE > MCap+Debt)
Interest Coverage Ratio = 22.37 (Ebit TTM 9.89b / Interest Expense TTM 442.0m)
EV/FCF = 5.42x (Enterprise Value 62.1b / FCF TTM 11.4b)
FCF Yield = 18.44% (FCF TTM 11.4b / Enterprise Value 62.1b)
FCF Margin = 23.38% (FCF TTM 11.4b / Revenue TTM 48.9b)
Net Margin = 15.54% (Net Income TTM 7.60b / Revenue TTM 48.9b)
Gross Margin = 44.02% ((Revenue TTM 48.9b - Cost of Revenue TTM 27.4b) / Revenue TTM)
Gross Margin QoQ = 46.48% (prev 53.09%)
Tobins Q-Ratio = 0.44 (Enterprise Value 62.1b / Total Assets 142b)
Interest Expense / Debt = 4.77% (Interest Expense 442.0m / Debt 9.27b)
Taxrate = 19.51% (1.84b / 9.45b)
NOPAT = 7.96b (EBIT 9.89b * (1 - 19.51%))
Current Ratio = 1.31 (Total Current Assets 123b / Total Current Liabilities 94.2b)
Debt / Equity = 0.29 (Debt 9.27b / totalStockholderEquity, last quarter 32.0b)
Debt / EBITDA = -8.39 (Net Debt -88.7b / EBITDA 10.6b)
Debt / FCF = -7.75 (Net Debt -88.7b / FCF TTM 11.4b)
Total Stockholder Equity = 31.5b (last 4 quarters mean from totalStockholderEquity)
RoA = 5.46% (Net Income 7.60b / Total Assets 142b)
RoE = 24.14% (Net Income TTM 7.60b / Total Stockholder Equity 31.5b)
RoCE = 24.44% (EBIT 9.89b / Capital Employed (Equity 31.5b + L.T.Debt 8.97b))
RoIC = 17.31% (NOPAT 7.96b / Invested Capital 46.0b)
WACC = 6.31% (E(62.1b)/V(71.3b) * Re(6.68%) + D(9.27b)/V(71.3b) * Rd(4.77%) * (1-Tc(0.20)))
Discount Rate = 6.68% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -86.67 | Cagr: -2.48%
[DCF] Terminal Value 77.97% ; FCFF base≈10.5b ; Y1≈12.0b ; Y5≈17.6b
[DCF] Fair Price = 1.67k (EV 265b - Net Debt -88.7b = Equity 354b / Shares 212.6m; r=8.35% [WACC [floored]]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 97.56 | EPS CAGR: 53.92% | SUE: 0.62 | # QB: 0
Revenue Correlation: 97.26 | Revenue CAGR: 9.07% | SUE: 0.45 | # QB: 0
EPS current Quarter (2026-06-30): EPS=4.84 | Chg30d=+0.21% | Revisions=-4% | Analysts=22
EPS next Quarter (2026-09-30): EPS=6.35 | Chg30d=+0.16% | Revisions=+8% | Analysts=22
EPS current Year (2026-12-31): EPS=28.11 | Chg30d=-0.20% | Revisions=+0% | GrowthEPS=+1.9% | GrowthRev=-0.8%
EPS next Year (2027-12-31): EPS=28.55 | Chg30d=+0.17% | Revisions=+11% | GrowthEPS=+1.6% | GrowthRev=+2.9%
[Analyst] Revisions Ratio: +11%