LOS ANGELES, Nov. 13, 2025 /PRNewswire/ -- Thanksgiving fills homes with food, family and gratitude — but a busy kitchen working overtime to get dinner on the table between football games and growling bellies also means a higher risk of cooking fires. Mercury Insurance (NYSE: MCY) wants the day to end with celebration, not cleanup, and is sharing simple tips to help keep every kitchen safe. According to the National Fire Protection Association (NFPA), an estimated 1,446 home cooking fires were reported on T ...

Core Viewpoint - The article discusses the recent poor performance of certain stocks, highlighting the need for investors to discern between genuine buying opportunities and potential pitfalls in the market [1]. Group 1: Stocks to Sell - **FactSet (FDS)**: The stock has seen a one-month return of -5.7% and is currently trading at $261.06 per share, with a forward P/E ratio of 14.6x [2][3]. - **Kemper (KMPR)**: This stock has experienced a significant one-month return of -26.8%, trading at $36.43 per share with a forward P/B ratio of 0.8x [4][6]. Group 2: Stock to Watch - **Broadridge (BR)**: The stock has a one-month return of -7.3%. It has shown muted annual revenue growth of 5.5% over the last two years, with earnings growth lagging behind peers at an annual increase of 8.1% [7][8]. - Broadridge processes over $10 trillion in trades daily and manages proxy voting for over 800 million equity positions, providing technology-driven solutions for financial institutions [9]. - The company stands out due to its unique value proposition, achieving above-market annual sales growth of 8.9% over the last five years, an increase in free cash flow margin by 8.6 percentage points, and rising returns on capital [10].

Core Viewpoint - Defiance ETFs has launched the Defiance Daily Target 2X Long LMND ETF (Ticker: LMNX), aimed at providing active traders with leveraged exposure to Lemonade, Inc. (NYSE: LMND), a company known for its innovative insurance technology solutions [1][2]. Group 1: Fund Overview - The LMNX ETF seeks to deliver 200% of the daily percentage change in the share price of Lemonade, Inc., allowing investors to express short-term bullish views on the stock [2][3]. - The fund is designed for knowledgeable investors who understand the risks associated with leveraged investments and are willing to actively monitor their portfolios [6]. Group 2: Underlying Company - Lemonade, Inc. operates as a fully digital insurance company, offering various insurance products including renters, homeowners, car, pet, and life insurance through licensed carriers in the U.S. and Europe [4]. - The company utilizes proprietary AI-driven software and automation to enhance efficiency in policy issuance, claims management, and customer interaction, thereby redefining the traditional insurance experience [4]. Group 3: Investment Strategy - The fund employs a fixed-fee business model and relies on reinsurance agreements to manage underwriting risk and stabilize financial results [4]. - The LMNX ETF is not an investment in Lemonade, Inc. itself, but rather a financial instrument that seeks to leverage the performance of LMND [5].

Core Thesis - Lemonade, Inc. has achieved a historic milestone of $1 billion in-force premium (IFP) in just 8.5 years, making it the fastest insurer to reach this scale [2] - The company's Q2 2025 results show a 29% year-over-year IFP growth to $1.08 billion and a 35% increase in revenue, marking its seventh consecutive quarter of accelerating momentum [2] Financial Performance - Gross loss ratios improved by 12 points to 67% overall and by 13 points in auto to 82%, indicating effective underwriting and risk selection through its AI-driven model [3] - Management has reaffirmed a 2025 adjusted EBITDA loss guidance of $135–$140 million, with expectations of sequential improvement each quarter [3] Competitive Advantage - Lemonade's AI-first platform allows for rapid claims processing, sometimes in under three seconds, and provides compounding data advantages [2] - The company's integrated architecture facilitates cross-selling synergies, margin expansion, and global scalability, distinguishing it from traditional insurers [4] Market Dynamics - The shift towards AI-first platforms in the insurance market positions Lemonade for accelerated growth and improving fundamentals, suggesting potential for durable market leadership [4] - The European business is scaling more efficiently than early U.S. operations, generating twice the new business per growth dollar [3] Historical Context - The stock price of Lemonade has appreciated approximately 90.07% since previous bullish coverage, reflecting the successful execution of its diversification strategy [5] - The current bullish thesis emphasizes the company's AI-driven scale and profitability trajectory, aligning with earlier positive assessments [5]

Core Insights - Mercury Insurance emphasizes the importance of storm preparedness to mitigate property damage and ensure family safety during severe weather events [2][3] - The National Oceanic and Atmospheric Administration (NOAA) reports that storms cause tens of billions of dollars in property damage annually in the U.S., with flooding being a significant contributor [3] Company Overview - Mercury Insurance is a multi-line insurance carrier offering personal auto, homeowners, renters, and commercial insurance across various states, including Arizona, California, and Texas [4][6] - The company has a strong network of over 6,340 independent agents and has received an "A" rating from A.M. Best, along with accolades for its auto insurance services [6] Storm Preparedness Checklist - Homeowners are advised to inspect roofs for damage, clean gutters, and check weatherproofing around windows and doors to prevent water intrusion [5] - It is recommended to ensure proper drainage around the foundation, test sump pumps, and secure outdoor items to minimize storm-related risks [5] - Emergency supplies such as flashlights, batteries, and non-perishable food should be kept on hand, and vehicles should be parked in safe locations to avoid flood damage [5] - Homeowners should review their insurance policies to confirm coverage for storm damage, particularly regarding flood insurance, which often requires a separate policy [5]

Core Insights - Lemonade is rapidly transforming the insurance industry by leveraging artificial intelligence to enhance customer experience and operational efficiency [2][5][6] - The company reported a significant increase in customer base and in-force premium, indicating strong business momentum [6][7] - Despite recent stock gains, Lemonade's stock price remains significantly below its peak, suggesting potential for future growth [3][14] Customer Growth - Lemonade's customer base reached a record 2.7 million by the end of Q2 2025, reflecting a 24% year-over-year increase, up from 21% in the previous quarter [6] - The company operates in various insurance markets, including renters, homeowners, pet, life, and car insurance, utilizing AI chatbots for quick quotes and claims processing [5][6] Financial Performance - In Q2 2025, Lemonade's in-force premium (IFP) hit a record $1.08 billion, representing a 29% year-over-year increase, marking the seventh consecutive quarter of accelerated IFP growth [7] - Revenue for Q2 reached $164.1 million, a 35% increase year-over-year, surpassing management's forecast of $158 million [11] - The company raised its full-year revenue guidance for 2025 by $50.5 million, from $662 million to $712.5 million, following strong Q2 results [11] Profitability and Losses - Lemonade reported an adjusted EBITDA loss of $40.9 million in Q2, an improvement from the $43 million loss in the same period last year, indicating progress towards profitability [12] - The company maintains over $1 billion in liquidity, providing ample resources for continued investment in growth initiatives [13] Valuation and Future Outlook - Lemonade's price-to-sales (P/S) ratio has decreased to 6.1, making the stock appear attractive compared to its peak of 90 during the tech frenzy in 2021 [14] - The company aims to grow its IFP to $10 billion over the next decade, suggesting significant long-term growth potential for investors [16]