A Holistic Look At The Travelers Companies, Inc. (NYSE:TRV)

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I’ve been keeping an eye on The Travelers Companies, Inc. (NYSE:TRV) because I’m attracted to its fundamentals. Looking at the company as a whole, as a potential stock investment, I believe TRV has a lot to offer. Basically, it is a dependable dividend-paying company that has been able to sustain great financial health over the past. In the following section, I expand a bit more on these key aspects. For those interested in understanding where the figures come from and want to see the analysis, take a look at the report on Travelers Companies here.

Established dividend payer with adequate balance sheet

With a debt-to-equity ratio of 29%, TRV’s debt level is acceptable. This implies that TRV has a healthy balance between taking advantage of low cost debt funding as well as sufficient financial flexibility without succumbing to the strict terms of debt. TRV’s has produced operating cash levels of 0.67x total debt over the past year, which implies that TRV’s management has put its borrowings into good use by generating enough cash to cover a sufficient portion of borrowings.

NYSE:TRV Historical Debt February 9th 19
NYSE:TRV Historical Debt February 9th 19

TRV is also a dividend company, with ample net income to cover its dividend payout, which has been consistently growing over the past decade, keeping income investors happy.

NYSE:TRV Historical Dividend Yield February 9th 19
NYSE:TRV Historical Dividend Yield February 9th 19

Next Steps:

For Travelers Companies, there are three fundamental factors you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for TRV’s future growth? Take a look at our free research report of analyst consensus for TRV’s outlook.
  2. Historical Performance: What has TRV’s returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of TRV? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

To help readers see past the short term volatility of the financial market, we aim to bring you a long-term focused research analysis purely driven by fundamental data. Note that our analysis does not factor in the latest price-sensitive company announcements.

The author is an independent contributor and at the time of publication had no position in the stocks mentioned. For errors that warrant correction please contact the editor at editorial-team@simplywallst.com.