LLoews Corporation demonstrates solid fundamental strength with consistent profitability and a manageable debt load. While current technical indicators suggest a neutral to slightly bearish short-term outlook, the company's diverse business segments and dividend payments offer stability. It's a fundamentally sound choice for investors seeking a blend of income and steady growth.
Loews' diversified business model spans insurance, energy, hospitality, and manufacturing, offering exposure to various economic cycles. While not directly tied to high-growth technological themes, its underlying businesses are essential services and industries.
Loews Corporation exhibits strong financial health, characterized by robust profitability, manageable debt, and consistent free cash flow generation. Its valuation metrics, particularly the P/E ratio, appear reasonable relative to its historical performance and industry peers.
The stock is trading below key moving averages and exhibits mixed signals from oscillators. While there's support around $91.12, the current trend suggests a neutral to slightly bearish short-term outlook, requiring careful observation for potential trend reversal signals.
| Factor | Score |
|---|---|
| Diversified Conglomerate | 80 |
| Financial Services Stability | 70 |
| Infrastructure & Energy | 60 |
| Consumer & Travel Exposure | 55 |
| Industrial Manufacturing | 50 |
| Factor | Score |
|---|---|
| Valuation | 85 |
| Profitability | 80 |
| Growth | 70 |
| Balance Sheet Health | 80 |
| Cash Flow Generation | 88 |
| Dividend Yield | 70 |
| Factor | Score |
|---|---|
| Trend Analysis | 30 |
| Momentum | 40 |
| Volume Confirmation | 60 |
| Support & Resistance | 70 |
| Oscillators | 50 |
Solid Debt Coverage
The company's debt of $8.94 billion is covered by its free cash flow of $2.39 billion in the latest annual period, indicating a reasonable ability to service its debt.
Sufficient Cash Reserves
The company has $0.54 billion in cash and equivalents, providing a buffer for short-term liabilities and potential unforeseen expenses.
High Quarterly P/E Ratio
The latest quarterly P/E ratio of 52.1 is significantly higher than the annual P/E of 20.0, potentially indicating that short-term earnings are low relative to the current stock price, which could be a sign of overvaluation.
Declining Net Margin
The net margin has decreased from 11.4% in 2021 to 8.2% in 2024, suggesting potential pressure on profitability.
May 2025
28
Ex-Dividend Date
June 2025
10
Next Dividend Date
August 2025
4
Next Earnings Date
H: $
A: $
L: $
Loews Corporation, through its subsidiaries, provides commercial property and casualty insurance in the United States and internationally. The company offers specialty insurance products, such as management and professional liability, and other coverage products; surety and fidelity bonds; professional liability coverages and risk management services to various professional firms, including architects, real estate agents, and accounting and law firms; standard and excess property, marine and boiler and machinery coverages, workers' compensation, general and product liability, commercial auto, umbrella, and excess and surplus coverages, and specialized loss-sensitive insurance programs and total risk management services relating to claim and information services; directors and officers, errors and omissions, employment practices, fiduciary, fidelity, and cyber coverages, as well as for small and mid-size firms, public and privately held firms, and not-for-profit organizations; and insurance products to serve the health care industry, including professional and general liability, as well as associated casualty coverage to aging services, allied medical facilities, dentists, physicians, nurses, and other medical practitioners. It also provides warranty and alternative risk and run-off long-term care insurance products. The company markets its insurance products and services through independent agents, brokers, and managing general underwriters. In addition, it engages in the transportation and storage of natural gas and natural gas liquids; and provision of ethane supply and transportation services for industrial customers in Louisiana and Texas, as well as operates a chain of 25 hotels. Further, the company develops, manufactures, and markets a range of extrusion blow-molded and injection molded plastic containers, as well as manufactures commodity and differentiated plastic resins. Loews Corporation was incorporated in 1969 and is headquartered in New York, New York.