If You'd Invested $1,000 in Progressive Stock (PGR) 10 Years Ago, Here's How Much You'd Have Today

Core Insights - Progressive Insurance has demonstrated exceptional stock performance, averaging annual gains of 24% over the past decade, significantly outperforming the S&P 500's 12.5% [2] - A $1,000 investment in Progressive shares would have grown to approximately $10,073, with reinvested dividends yielding an average annual gain of 26% [2] - The company has a technological advantage, having utilized telematics for driver data collection for over 15 years, contributing to its profitability [4] Company Performance - Progressive has surpassed GEICO in market share as of 2023, indicating strong competitive positioning in the insurance industry [4] - The company's recent forward-looking price-to-earnings (P/E) ratio is 15, which is below its five-year average of 19, suggesting potential undervaluation [4] - Progressive offers a growing dividend, with a recent yield of 2%, enhancing its attractiveness to investors [4] Industry Context - The insurance industry is generally resistant to economic downturns and tariffs, making it a stable investment option [4] - Despite the perception that insurance is not an exciting sector, it remains essential for individuals and businesses, ensuring consistent demand [4]