Loading...

Travelers Companies

NYSE:TRV
Snowflake Description

Established dividend payer with adequate balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TRV
NYSE
$34B
Market Cap
  1. Home
  2. US
  3. Insurance
Company description

The Travelers Companies, Inc., through its subsidiaries, provides a range of commercial and personal property, and casualty insurance products and services to businesses, government units, associations, and individuals in the United states and internationally. The last earnings update was 8 days ago. More info.


Add to Portfolio Compare Print
TRV Share Price and Events
7 Day Returns
0.8%
NYSE:TRV
2.3%
US Insurance
1.4%
US Market
1 Year Returns
-7.1%
NYSE:TRV
0.3%
US Insurance
2.3%
US Market
TRV Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Travelers Companies (TRV) 0.8% 5.5% 2.5% -7.1% 19.7% 54.8%
US Insurance 2.3% 5.5% 5.2% 0.3% 36.7% 42.6%
US Market 1.4% 5.6% 5.7% 2.3% 44.2% 40.9%
1 Year Return vs Industry and Market
  • TRV underperformed the Insurance industry which returned 0.3% over the past year.
  • TRV underperformed the Market in United States of America which returned 2.3% over the past year.
Price Volatility
TRV
Industry
5yr Volatility vs Market

Value

 Is Travelers Companies undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Travelers Companies to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data    Our calculation method for this is changing soon.

Below are the data sources, inputs and calculation used to determine the intrinsic value for Travelers Companies.

NYSE:TRV Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 14 analysts.
= Stable Book Value * Return on Equity
= $94.48 * 12.6%
$11.86
Book Value of Equity per Share Weighted future Book Value estimates from 12 analysts. $94.48
Discount Rate (Cost of Equity) See below 9%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:TRV
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 7.3%
Insurance Unlevered Beta Simply Wall St/ S&P Global 0.75
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.745 (1 + (1- 21%) (19.21%))
0.858
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.86
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.858 * 7.27%)
8.97%

Discounted Cash Flow Calculation for NYSE:TRV using Excess Returns Model Model

The calculations below outline how an intrinsic value for Travelers Companies is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NYSE:TRV Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (12.6% – 8.97%) * $94.48)
$3.39
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $3.39 / (8.97% - 2.73%)
$54.30
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $94.48 + $54.30
$148.78
NYSE:TRV Discount to Share Price
Calculation Result
Value per share (USD) From above. $148.78
Current discount Discount to share price of $129.82
= -1 x ($129.82 - $148.78) / $148.78
12.7%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Travelers Companies is available for.
Intrinsic value
13%
Share price is $129.82 vs Future cash flow value of $148.78
Current Discount Checks
For Travelers Companies to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Travelers Companies's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Travelers Companies's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Travelers Companies's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Travelers Companies's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:TRV PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $9.36
NYSE:TRV Share Price ** NYSE (2019-02-21) in USD $129.82
United States of America Insurance Industry PE Ratio Median Figure of 94 Publicly-Listed Insurance Companies 18.01x
United States of America Market PE Ratio Median Figure of 3,045 Publicly-Listed Companies 17.39x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Travelers Companies.

NYSE:TRV PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:TRV Share Price ÷ EPS (both in USD)

= 129.82 ÷ 9.36

13.86x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Travelers Companies is good value based on earnings compared to the US Insurance industry average.
  • Travelers Companies is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Travelers Companies's expected growth come at a high price?
Raw Data
NYSE:TRV PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 13.86x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts
7.3%per year
United States of America Insurance Industry PEG Ratio Median Figure of 67 Publicly-Listed Insurance Companies 1.16x
United States of America Market PEG Ratio Median Figure of 2,118 Publicly-Listed Companies 1.44x

*Line of best fit is calculated by linear regression .

NYSE:TRV PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 13.86x ÷ 7.3%

1.91x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Travelers Companies is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Travelers Companies's assets?
Raw Data
NYSE:TRV PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $86.85
NYSE:TRV Share Price * NYSE (2019-02-21) in USD $129.82
United States of America Insurance Industry PB Ratio Median Figure of 116 Publicly-Listed Insurance Companies 1.28x
United States of America Market PB Ratio Median Figure of 5,129 Publicly-Listed Companies 1.87x
NYSE:TRV PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:TRV Share Price ÷ Book Value per Share (both in USD)

= 129.82 ÷ 86.85

1.49x

* Primary Listing of Travelers Companies.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Travelers Companies is overvalued based on assets compared to the US Insurance industry average.
X
Value checks
We assess Travelers Companies's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check)
  5. Travelers Companies has a total score of 2/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Travelers Companies expected to perform in the next 1 to 3 years based on estimates from 14 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
7.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Travelers Companies expected to grow at an attractive rate?
  • Travelers Companies's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Travelers Companies's earnings growth is positive but not above the United States of America market average.
  • Travelers Companies's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:TRV Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:TRV Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 14 Analysts 7.3%
NYSE:TRV Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 14 Analysts -1.4%
United States of America Insurance Industry Earnings Growth Rate Market Cap Weighted Average 17.3%
United States of America Insurance Industry Revenue Growth Rate Market Cap Weighted Average 2.6%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 12.7%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:TRV Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:TRV Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2021-12-31 2,896
2020-12-31 29,391 5,007 3,003 10
2019-12-31 28,274 4,783 2,935 11
NYSE:TRV Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 30,282 4,380 2,504
2018-09-30 29,937 3,709 2,435
2018-06-30 29,539 3,706 2,022
2018-03-31 29,246 3,468 2,092
2017-12-31 28,902 4,148 2,041
2017-09-30 28,518 4,624 2,431
2017-06-30 28,154 4,663 2,850
2017-03-31 27,755 4,200 2,919
2016-12-31 27,499 4,469 2,992
2016-09-30 27,110 3,823 2,914
2016-06-30 26,947 3,852 3,126
2016-03-31 26,872 4,085 3,273

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Travelers Companies's earnings are expected to grow by 7.3% yearly, however this is not considered high growth (20% yearly).
  • Travelers Companies's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:TRV Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below

All data from Travelers Companies Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TRV Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2021-12-31 11.81 11.81 11.81 1.00
2020-12-31 11.94 13.50 11.20 11.00
2019-12-31 11.17 12.25 10.70 12.00
NYSE:TRV Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 9.36
2018-09-30 9.03
2018-06-30 7.44
2018-03-31 7.64
2017-12-31 7.39
2017-09-30 8.73
2017-06-30 10.13
2017-03-31 10.26
2016-12-31 10.39
2016-09-30 9.97
2016-06-30 10.50
2016-03-31 10.77

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Travelers Companies is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Travelers Companies's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Travelers Companies has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Travelers Companies performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Travelers Companies's growth in the last year to its industry (Insurance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Travelers Companies's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.
  • Travelers Companies's 1-year earnings growth exceeds its 5-year average (22.7% vs -11.5%)
  • Travelers Companies's earnings growth has exceeded the US Insurance industry average in the past year (22.7% vs 3.2%).
Earnings and Revenue History
Travelers Companies's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Travelers Companies Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TRV Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 30,282.00 2,504.00 4,297.00
2018-09-30 29,937.00 2,435.00 4,318.00
2018-06-30 29,539.00 2,022.00 4,304.00
2018-03-31 29,246.00 2,092.00 4,236.00
2017-12-31 28,902.00 2,041.00 4,170.00
2017-09-30 28,518.00 2,431.00 4,134.00
2017-06-30 28,154.00 2,850.00 4,146.00
2017-03-31 27,755.00 2,919.00 4,155.00
2016-12-31 27,499.00 2,992.00 4,154.00
2016-09-30 27,110.00 2,914.00 4,145.00
2016-06-30 26,947.00 3,126.00 4,116.00
2016-03-31 26,872.00 3,273.00 4,094.00
2015-12-31 26,815.00 3,414.00 4,094.00
2015-09-30 26,920.00 3,585.00 4,094.00
2015-06-30 27,008.00 3,575.00 4,097.00
2015-03-31 27,083.00 3,447.00 4,066.00
2014-12-31 27,174.00 3,665.00 3,964.00
2014-09-30 27,116.00 3,616.00 3,878.00
2014-06-30 26,662.00 3,562.00 3,781.00
2014-03-31 26,460.00 3,801.00 3,711.00
2013-12-31 26,080.00 3,646.00 3,757.00
2013-09-30 25,820.00 2,967.00 3,709.00
2013-06-30 25,900.00 2,966.00 3,679.00
2013-03-31 25,676.00 2,544.00 3,641.00
2012-12-31 25,740.00 2,454.00 3,610.00
2012-09-30 25,636.00 2,765.00 3,587.00
2012-06-30 25,531.00 2,239.00 3,543.00
2012-03-31 25,560.00 1,378.00 3,557.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Travelers Companies has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Travelers Companies used its assets more efficiently than the US Insurance industry average last year based on Return on Assets.
  • Travelers Companies's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Travelers Companies's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Travelers Companies has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Travelers Companies's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Travelers Companies's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Travelers Companies's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Travelers Companies's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Travelers Companies's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 3.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Travelers Companies Company Filings, last reported 1 month ago.

NYSE:TRV Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 22,894.00 6,564.00 4,358.00
2018-09-30 22,460.00 6,564.00 4,796.00
2018-06-30 22,623.00 6,464.00 4,107.00
2018-03-31 22,979.00 6,963.00 4,883.00
2017-12-31 23,731.00 6,571.00 5,239.00
2017-09-30 23,738.00 6,921.00 6,238.00
2017-06-30 23,858.00 6,920.00 5,620.00
2017-03-31 23,612.00 6,438.00 5,066.00
2016-12-31 23,221.00 6,437.00 5,172.00
2016-09-30 24,439.00 6,436.00 5,072.00
2016-06-30 24,714.00 6,436.00 4,253.00
2016-03-31 24,166.00 6,344.00 4,948.00
2015-12-31 23,598.00 6,344.00 5,051.00
2015-09-30 24,033.00 6,743.00 5,472.00
2015-06-30 24,121.00 6,350.00 4,241.00
2015-03-31 24,847.00 6,349.00 4,798.00
2014-12-31 24,836.00 6,349.00 4,738.00
2014-09-30 25,321.00 6,348.00 5,400.00
2014-06-30 25,532.00 6,347.00 4,129.00
2014-03-31 25,387.00 6,347.00 4,294.00
2013-12-31 24,796.00 6,346.00 4,176.00
2013-09-30 24,811.00 6,346.00 5,674.00
2013-06-30 24,890.00 5,852.00 3,702.00
2013-03-31 25,596.00 5,851.00 3,611.00
2012-12-31 25,405.00 6,350.00 3,813.00
2012-09-30 25,905.00 6,350.00 3,903.00
2012-06-30 25,049.00 6,349.00 3,505.00
2012-03-31 24,872.00 6,606.00 3,672.00
  • Travelers Companies's level of debt (28.7%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (25.6% vs 28.7% today).
  • Debt is well covered by operating cash flow (66.7%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 9.4x coverage).
X
Financial health checks
We assess Travelers Companies's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Travelers Companies has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Travelers Companies's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.37%
Current annual income from Travelers Companies dividends. Estimated to be 2.58% next year.
If you bought $2,000 of Travelers Companies shares you are expected to receive $47 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Travelers Companies's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.4%).
  • Travelers Companies's dividend is below the markets top 25% of dividend payers in United States of America (3.54%).
Upcoming dividend payment

Purchase Travelers Companies on or before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:TRV Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 14 Analyst Estimates (S&P Global) See Below
United States of America Insurance Industry Average Dividend Yield Market Cap Weighted Average of 80 Stocks 2.5%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2001 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.5%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:TRV Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2021-12-31 3.60 4.00
2020-12-31 3.43 14.00
2019-12-31 3.21 14.00
NYSE:TRV Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-02-14 3.080 2.395
2019-01-22 3.080 2.453
2018-10-18 3.080 2.498
2018-07-19 3.080 2.381
2018-04-24 3.080 2.404
2017-10-19 2.880 2.106
2017-07-20 2.880 2.306
2017-04-20 2.880 2.322
2017-02-16 2.680 2.202
2017-01-24 2.680 2.262
2016-07-21 2.680 2.320
2016-04-21 2.680 2.361
2016-02-11 2.440 2.165
2016-01-21 2.440 2.323
2015-10-20 2.440 2.183
2015-07-21 2.440 2.378
2015-04-21 2.440 2.414
2014-10-21 2.200 2.090
2014-07-22 2.200 2.368
2014-04-22 2.200 2.359
2013-10-22 2.000 2.331
2013-07-23 2.000 2.405
2013-04-23 2.000 2.397
2012-10-18 1.840 2.401
2012-07-19 1.840 2.788
2012-04-19 1.840 2.916
2012-01-24 1.640 2.790
2011-10-19 1.640 2.858
2011-08-02 1.640 3.283
2011-04-21 1.640 2.748
2011-02-02 1.440 2.437
2010-11-04 1.440 2.600
2010-08-04 1.440 2.772
2010-04-23 1.440 2.873
2010-02-03 1.320 2.508
2009-10-22 1.320 2.608
2009-08-05 1.200 2.482
2009-05-06 1.200 2.916
2009-02-23 1.200 3.048

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Travelers Companies's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be well covered by earnings (3.3x coverage).
X
Income/ dividend checks
We assess Travelers Companies's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Travelers Companies afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Travelers Companies has a total score of 5/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Travelers Companies's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Alan Schnitzer
COMPENSATION $15,233,759
AGE 52
TENURE AS CEO 3.2 years
CEO Bio

Mr. Alan David Schnitzer is Chairman of the Board of Travelers Companies, Inc. since August 2017 and Chief Executive Officer and Director since December 2015. Mr. Schnitzer joined the Travelers Companies in April 2007 as Vice Chairman and Chief Legal Officer from April 2007 until May 2008. He previously served as Vice Chairman and Chief Executive Officer of Business and International Insurance from July 2014. Mr. Schnitzer served in various positions : Vice Chairman of Financial, Professional & International Insurance and Field Management; Chief Legal Officer from May 2012 until July 2014 and Vice Chairman and Chief Legal Officer and Executive Vice President of Financial, Professional and International Insurance from May 2008 until May 2012 at Travelers Companies Inc. He served as the Company's lead outside counsel as a Partner in the law firm of Simpson Thacher & Bartlett LLP, where he advised corporate clients on a variety of transactions and general corporate law matters. He serves as Vice Chairman of the Advisory Board for the Penn Institute for Urban Research. He also serves on the Board of Directors of New York City Ballet, Memorial Sloan Kettering Cancer Center, Partnership for New York City and Connecticut Council for Education Reform. In addition, he is a member of the Council on Foreign Relations, the Economic Club of New York and The Business Council. He earned his undergraduate degree in finance and accounting from The Wharton School of the University of Pennsylvania and his J.D. from Columbia Law School.

CEO Compensation
  • Alan's compensation has increased by more than 20% in the past year.
  • Alan's remuneration is higher than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Travelers Companies management team in years:

2.2
Average Tenure
53.5
Average Age
  • The tenure for the Travelers Companies management team is about average.
Management Team

Alan Schnitzer

TITLE
Chairman & CEO
COMPENSATION
$15M
AGE
52
TENURE
3.2 yrs

Bill Heyman

TITLE
Vice Chairman & Chief Investment Officer
COMPENSATION
$7M
AGE
69
TENURE
16.8 yrs

Avrohom Kess

TITLE
Vice Chairman & Chief Legal Officer
COMPENSATION
$6M
AGE
49
TENURE
2.2 yrs

Dan Frey

TITLE
Executive VP & CFO
TENURE
0.4 yrs

Mojgan Lefebvre

TITLE
Executive VP & Chief Information Officer
TENURE
0.4 yrs

Andy Bessette

TITLE
Executive VP & Chief Administrative Officer
AGE
64
TENURE
17.1 yrs

Abbe Goldstein

TITLE
Senior Vice President of Investor Relations
TENURE
0.8 yrs

Christine Kalla

TITLE
Executive VP

Lisa Caputo

TITLE
Executive Vice President of Marketing
AGE
54
TENURE
2.2 yrs

Maria Olivo

TITLE
Executive VP & President of International and Strategic Development
COMPENSATION
$1M
AGE
53
TENURE
11.3 yrs
Board of Directors Tenure

Average tenure and age of the Travelers Companies board of directors in years:

4.8
Average Tenure
66
Average Age
  • The tenure for the Travelers Companies board of directors is about average.
Board of Directors

Alan Schnitzer

TITLE
Chairman & CEO
COMPENSATION
$15M
AGE
52
TENURE
1.5 yrs

Jay Benet

TITLE
Vice Chairman
COMPENSATION
$6M
AGE
65
TENURE
0.4 yrs

Ken Duberstein

TITLE
Director
COMPENSATION
$325K
AGE
73
TENURE
20.8 yrs

John Dasburg

TITLE
Independent Lead Director
COMPENSATION
$351K
AGE
75
TENURE
1.5 yrs

Janet Dolan

TITLE
Director
COMPENSATION
$317K
AGE
68
TENURE
17.8 yrs

Don Shepard

TITLE
Director
COMPENSATION
$330K
AGE
71
TENURE
9.2 yrs

William Kane

TITLE
Director
COMPENSATION
$320K
AGE
67
TENURE
6.8 yrs

Todd Schermerhorn

TITLE
Director
COMPENSATION
$320K
AGE
57
TENURE
2.8 yrs

Laurie Thomsen

TITLE
Independent Director
COMPENSATION
$313K
AGE
61
TENURE
14.8 yrs

Clarence Otis

TITLE
Director
COMPENSATION
$193K
AGE
62
TENURE
1.5 yrs
Who owns this company?
Recent Insider Trading
  • Travelers Companies insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
29. Jan 19 Sell William Heyman Individual 25. Jan 19 25. Jan 19 -8,323 $125.54 $-1,044,869
15. Nov 18 Sell Andy Bessette Individual 14. Nov 18 14. Nov 18 -1,666 $126.17 $-210,199
21. Aug 18 Sell Andy Bessette Individual 17. Aug 18 17. Aug 18 -1,500 $130.76 $-196,137
X
Management checks
We assess Travelers Companies's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Travelers Companies has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

If You Had Bought Travelers Companies Shares Five Years Ago You'd Have Made 55%

Better yet, you'd like to see the share price move up more than the market average. … (NYSE:TRV) share price is up 55% in the last five years, that's less than the market return. … Travelers Companies's earnings per share are down 1.0% per year, despite strong share price performance over five years.

Simply Wall St -

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

Help shape the future of investing tools and you could win a $250 gift card! … Looking at the company as a whole, as a potential stock investment, I believe TRV has a lot to offer. … that has been able to sustain great financial health over the past.

Simply Wall St -

Does The Travelers Companies, Inc. (NYSE:TRV) Have A Good P/E Ratio?

We'll look at The Travelers Companies, Inc.'s (NYSE:TRV) P/E ratio and reflect on what it tells us about the company's share price. … Travelers Companies has a P/E ratio of 13.35, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Is It Too Late To Consider Buying The Travelers Companies, Inc. (NYSE:TRV)?

received a lot of attention from a substantial price movement on the NYSE over the last few months, increasing to $131.66 at one point, and dropping to the lows of $112.63. … Some share price movements can give investors a better opportunity to enter into the stock, and potentially buy at a lower price? … A question to answer is whether Travelers Companies's current trading price of $120.58 reflective of the actual value of the?

Simply Wall St -

Why Dividend Hunters Love The Travelers Companies, Inc. (NYSE:TRV)

There is a lot to be liked about The Travelers Companies, Inc. … The company currently pays out a dividend yield of 2.6% to shareholders, making it a relatively attractive dividend stock. … Let's dig deeper into whether Travelers Companies should have a place in your portfolio.

Simply Wall St -

Is The Travelers Companies, Inc.'s (NYSE:TRV) 11% ROE Strong Compared To Its Industry?

By way of learning-by-doing, we'll look at ROE to gain a better understanding of The Travelers Companies, Inc. … Our data shows Travelers Companies has a return on equity of 11% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

How Much Of The Travelers Companies Inc (NYSE:TRV) Do Institutions Own?

Every investor in The Travelers Companies Inc (NYSE:TRV) should be aware of the most powerful shareholder groups. … Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … With a market capitalization of US$33b, Travelers Companies is rather large.

Simply Wall St -

The Travelers Companies Inc (NYSE:TRV) Insiders Have Been Selling

So before you buy or sell The Travelers Companies Inc (NYSE:TRV), you may well want to know whether insiders have been buying or selling. … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … Travelers Companies Insider Transactions Over The Last Year.

Simply Wall St -

The Travelers Companies Inc (NYSE:TRV) Is Trading At A 3.28% Discount

Valuing TRV, an insurance stock, can be daunting since these financial firms generally have cash flows that are impacted by regulations that are not imposed upon other industries. … For instance, insurance firms that invest excess premiums are required to maintain a certain level of reserves to reduce the risk to shareholders.

Simply Wall St -

Is The Travelers Companies Inc's (NYSE:TRV) CEO Paid Enough To Stay Motivated?

First, this article will compare CEO compensation with compensation at other large companies. … How Does Alan Schnitzer's Compensation Compare With Similar Sized Companies. … Our data indicates that The Travelers Companies Inc is worth US$32.4b, and total annual CEO compensation is US$15m.

Simply Wall St -

Company Info

Map
Description

The Travelers Companies, Inc., through its subsidiaries, provides a range of commercial and personal property, and casualty insurance products and services to businesses, government units, associations, and individuals in the United states and internationally. The company operates through three segments: Business Insurance, Bond & Specialty Insurance, and Personal Insurance. The Business Insurance segment offers workers' compensation, commercial automobile and property, general liability, commercial multi-peril, employers' liability, public and product liability, professional indemnity, marine, aviation, onshore and offshore energy, construction, terrorism, personal accident, and kidnap and ransom insurance products. This segment operates through select accounts, which serve small businesses; commercial accounts that serve mid-sized businesses; national accounts, which serve large companies; and national property and other that serve large and mid-sized customers, commercial transportation industry, and agricultural businesses, as well as markets and distributes its products through brokers, wholesale agents, program managers, and specialized retail agents. The Bond & Specialty Insurance segment provides surety, fidelity, management and professional liability, and other property and casualty insurance products. The Personal Insurance segment offers property and casualty insurance covering personal risks, primarily automobile and homeowners insurance to individuals. The company distributes its products primarily through independent agencies and brokers. The Travelers Companies, Inc. was founded in 1853 and is based in New York, New York.

Details
Name: The Travelers Companies, Inc.
TRV
Exchange: NYSE
Founded: 1853
$34,172,352,751
263,391,034
Website: http://www.travelers.com
Address: The Travelers Companies, Inc.
485 Lexington Avenue,
New York,
New York, 10017,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE TRV Common Shares New York Stock Exchange US USD 16. Jan 1997
DB PA9 Common Shares Deutsche Boerse AG DE EUR 16. Jan 1997
LSE 0R03 Common Shares London Stock Exchange GB USD 16. Jan 1997
WBAG TRV Common Shares Wiener Boerse AG AT EUR 16. Jan 1997
SNSE TRV Common Shares Santiago Stock Exchange CL USD 16. Jan 1997
BMV TRV * Common Shares Bolsa Mexicana de Valores MX MXN 16. Jan 1997
BASE TRVV CEDEAR EACH REP 0.33 SHS Buenos Aires Stock Exchange AR ARS 08. Feb 2012
BOVESPA TRVC34 BDR EA REPR 1/2 COM USD0.00 Bolsa de Valores de Sao Paulo BR BRL 25. Apr 2016
Number of employees
Current staff
Staff numbers
30,400
Travelers Companies employees.
Industry
Property and Casualty Insurance
Insurance
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/02/22 00:16
End of day share price update: 2019/02/21 00:00
Last estimates confirmation: 2019/02/15
Last earnings filing: 2019/02/14
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.