teekid/E+ via Getty Images Shares of American Financial Group (NYSE:AFG) have been a moderate performer over the past year, rising by 13%, though it has also paid $4 in special dividends alongside its quarterly $0.71 payout. I last covered AFG in May, rating shares a “buy,” though shares have underperformed a bit, down 4% in a flat market environment. While growth was slow, Q2 results were solid, and a potential turn in apartment rents should provide added benefit to 2025 earnings. I remain bullish. S ...

Core Insights - American Financial Group (AFG) reported $1.8 billion in revenue for Q2 2024, a year-over-year increase of 4.1% [1] - The EPS for the same period was $2.56, compared to $2.38 a year ago, with an EPS surprise of +1.19% against the consensus estimate of $2.53 [1] Revenue Performance - The reported revenue of $1.8 billion was a surprise of -10.72% compared to the Zacks Consensus Estimate of $2.02 billion [1] - P&C insurance net earned premiums were $1.59 billion, below the average estimate of $1.70 billion, but represented a +5.2% change year-over-year [5] - Net investment income was $188 million, slightly below the average estimate of $189.49 million, with a year-over-year change of -5.1% [6] - Specialty Casualty net earned premium was $739 million, compared to the average estimate of $752.57 million, reflecting a +3.9% year-over-year change [7] - Property and Transportation net earned premium was $543 million, below the average estimate of $626.71 million, with a +1.7% year-over-year change [8] - Specialty Financial net earned premium was $241 million, compared to the average estimate of $263.08 million, showing a +23.6% year-over-year change [9] - Other income (loss) was reported at $27 million, below the average estimate of $36.58 million, with an 8% year-over-year change [10] - Other Specialty net earned premium was $62 million, below the average estimate of $71.65 million, representing a -7.5% year-over-year change [11] Key Ratios - Property and Casualty Loss and LAE Ratio was 59.1%, better than the four-analyst average estimate of 60.1% [3] - Property and Transportation Underwriting Expense Ratio was 28.9%, compared to the four-analyst average estimate of 29.1% [3] - Property and Transportation Loss and LAE Ratio was 64%, better than the 66% average estimate [3] - Property and Transportation Combined Ratio was 92.6%, compared to the four-analyst average estimate of 95.1% [4] - Property and Casualty Combined Ratio - Specialty was 90.5%, better than the four-analyst average estimate of 91% [4] Stock Performance - Shares of American Financial have returned +2.1% over the past month, outperforming the Zacks S&P 500 composite's -6.7% change [11]

American Financial Group (AFG) came out with quarterly earnings of $2.56 per share, beating the Zacks Consensus Estimate of $2.53 per share. This compares to earnings of $2.38 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 1.19%. A quarter ago, it was expected that this property and casualty insurer would post earnings of $2.77 per share when it actually produced earnings of $2.76, delivering a surprise of -0.36%.Over the las ...

Investors in American Financial Group, Inc. (AFG) need to pay close attention to the stock based on moves in the options market lately. That is because the Sep 20, 2024 $62.5 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. I ...

American Financial Group, Inc. (AFG) is set to gain from new business opportunities, increased exposures, a better renewal rate environment, improved combined ratio, stronger underwriting profit and effective capital deployment. These, along with solid growth projections, make the stock worth retaining.Earnings of this Zacks Rank #3 (Hold) insurer have grown 6.1% in the last five years. It has a VGM Score of A. This helps to identify stocks with the most attractive value, growth and momentum.Its shares have ...

American Financial Group, Inc. (AFG) is well-positioned for growth, driven by new business opportunities, increased exposures and a good renewal rate environment, improved combined ratio, stronger underwriting profit and effective capital deployment.Growth ProjectionsThe Zacks Consensus Estimate for American Financial’s 2024 earnings per share indicates a year-over-year increase of 3.6%. The consensus estimate for revenues is pegged at $8 billion, implying a year-over-year improvement of 6.3%.The consensus ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☑ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarterly Period Ended March 31, 2024 or ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from ____ to ____ Commission File No. 1-13653 AMERICAN FINANCIAL GROUP, INC. Incorporated under the Laws of Ohio IRS Employer I.D. No. 31-1544320 301 East Fourth Street, Cinc ...

American Financial Group, Inc. (NYSE:AFG) Q1 2024 Earnings Conference Call May 2, 2024 11:30 AM ET Company Participants Diane Weidner - Vice President, Investor Relations Carl Lindner - Co-Chief Executive Officer and Director Craig Lindner - Co-Chief Executive Officer and Director Brian Hertzman - Senior Vice President and Chief Financial Officer Conference Call Participants Charles Lederer - Citigroup Michael Zaremski - BMO Capital Markets Andrew Andersen - Jefferies Meyer Shields - KBW Operator Thank you ...

Core Viewpoint - American Financial Group, Inc. (AFG) reported a decline in net operating earnings per share for Q1 2024, missing estimates due to lower investment income and higher expenses [1][2] Financial Performance - AFG's total revenues reached $1.8 billion, reflecting a 5.1% year-over-year increase, but fell short of estimates by 0.2% [2] - The net investment income decreased by 8.7% year over year to $198 million, which was below the expected $226.8 million [2] - Total costs and expenses rose by 8.5% year over year to $1.6 billion, lower than the estimate of $1.7 billion [2] Segment Analysis - The Specialty P&C Insurance segment generated $1.6 billion in net written premiums, an 8% increase year over year, driven by strong performance in various sub-segments [3] - Net written premiums in the Property & Transportation Group grew by 7% to $591 million, while the Specialty Casualty Group saw a 4% increase to $751 million [3] - Specialty Financial net written premiums surged by 27% year over year, contrasting with a 5% decline in other divisions [3] Underwriting and Losses - Pre-tax core operating earnings for the P&C Insurance segment were $340 million, down 2.8% year over year [4] - The underwriting profit decreased by 0.6% to $154 million, primarily due to lower profits in the Specialty Casualty Group [4] - Catastrophe losses amounted to $34 million, compared to $31 million in the previous year [4] Financial Position - AFG's cash and investments totaled $15.2 billion, a slight decline of 0.05% from the end of 2023 [5] - Long-term debt remained flat at $1.4 billion as of March 31, 2024 [5] - The book value per share was $54.32, down 0.7% from the end of 2023, with an annualized return on equity of 21.2%, an increase of 230 basis points year over year [5] Dividend Declaration - AFG declared cash dividends of $3.21 per share in Q1 2024, which included a special dividend of $2.50 per share paid in February [6]

Financial Performance - American Financial Group reported Q1 2024 net earnings of $242 million ($2.89 per share), up from $212 million ($2.49 per share) in Q1 2023, reflecting a year-over-year increase of 14.1%[1] - Net earnings for the first quarter of 2024 were $242 million, compared to $212 million in the first quarter of 2023, reflecting an increase of 14.2%[35] - Diluted earnings per share rose to $2.89 for Q1 2024, compared to $2.49 for Q1 2023, marking a 16.1% increase[35] - Core net operating earnings for Q1 2024 were $231 million ($2.76 per share), down from $247 million ($2.89 per share) in Q1 2023, indicating a decrease of 6.5%[2] - Core net operating earnings for the first quarter of 2024 were $231 million, down from $247 million in Q1 2023, a decrease of 6.5%[41] Revenue and Premiums - For the three months ended March 31, 2024, total revenues increased to $1,906 million, up from $1,740 million in the same period of 2023, representing a growth of 9.5%[35] - Gross and net written premiums increased by 8% in Q1 2024 compared to the prior year, driven by additional crop premiums from the Crop Risk Services acquisition and favorable renewal rates[11] - Gross written premiums in the Specialty P&C operations reached $2,336 million, an 8% increase from $2,155 million in the same quarter last year[38] - The Specialty Financial Group reported a 26% increase in gross written premiums in Q1 2024, primarily driven by growth in the financial institutions business[19] Investment Performance - The annualized return on equity (ROE) for Q1 2024 was 21.2%, compared to 18.9% in Q1 2023, showing an improvement of 1.3 percentage points[1] - The annualized return on alternative investments was approximately 9.0% for Q1 2024, down from 14.2% in the prior year quarter[21] - AFG recorded net realized gains of $11 million ($0.13 per share) in Q1 2024, compared to net realized losses of $37 million ($0.42 per share) in Q1 2023[22] Operational Metrics - The Specialty P&C insurance operations achieved a combined ratio of 90.1% in Q1 2024, slightly higher than the 89.2% reported in Q1 2023[10] - The combined ratio for the Specialty Group was 90.1% for Q1 2024, slightly higher than 89.2% in Q1 2023[38] - The loss and LAE ratio for the Specialty Group was 58.6% for Q1 2024, compared to 57.0% in Q1 2023[38] Shareholder Returns and Capital Management - AFG plans to return capital to shareholders through regular and special cash dividends and opportunistic share repurchases while seeking organic growth and acquisition opportunities[9] - AFG's book value per share was $50.57 at March 31, 2024, with a growth of 5.6% when including dividends for the quarter[3] - Shareholders' equity at March 31, 2024, was $4,240 million, down from $4,258 million at December 31, 2023[35] Upcoming Events - The company will hold a conference call to discuss the first quarter results on May 2, 2024, at 11:30 a.m. (ET)[28]