Why Travelers (TRV) is a Top Growth Stock for the Long-Term

Core Insights - Zacks Premium provides various tools for investors to enhance their stock market strategies, including daily updates on Zacks Rank and Industry Rank, access to the Zacks 1 Rank List, Equity Research reports, and Premium stock screens [1][2] Zacks Style Scores - Zacks Style Scores are indicators designed to help investors select stocks with the highest potential to outperform the market within 30 days, rated from A to F based on value, growth, and momentum characteristics [3] - The Style Scores consist of four categories: Value Score, Growth Score, Momentum Score, and VGM Score, each focusing on different investment strategies [4][5][6][7] Value Score - The Value Score identifies attractive and discounted stocks using ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow, appealing to value investors [4] Growth Score - The Growth Score emphasizes a company's financial strength and future outlook, analyzing projected and historical earnings, sales, and cash flow to find stocks with sustainable growth [5] Momentum Score - The Momentum Score focuses on trends in stock prices and earnings outlooks, using factors like one-week price change and monthly earnings estimate changes to identify favorable investment opportunities [6] VGM Score - The VGM Score combines the three Style Scores to rate stocks based on their overall attractiveness in value, growth, and momentum, serving as a strong indicator alongside the Zacks Rank [7] Zacks Rank - The Zacks Rank is a proprietary model that utilizes earnings estimate revisions to assist investors in building successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8][9] Stock Selection Strategy - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B to maximize potential upside, while those with lower ranks should also have strong Style Scores to mitigate risks [10][11][12] Company Spotlight: Travelers Companies Inc. (TRV) - Travelers Companies Inc., established in 1853, provides a range of property and casualty insurance products and services in the U.S. and select international markets [13] - TRV holds a 3 (Hold) Zacks Rank with a VGM Score of A, and a Growth Style Score of B, indicating a forecasted year-over-year earnings growth of 42.3% for the current fiscal year [14] - The company has seen 13 analysts revise their earnings estimates higher in the last 60 days, with the Zacks Consensus Estimate increasing by $1.49 to $18.68 per share, and an average earnings surprise of 25.4% [14][15]