The past couple of months have been miserable for the financials sector due to fallout from the coronavirus pandemic. Despite a favorable interest rate backdrop, stocks for companies in this sector have been crushed on recessionary fears. Real estate investment trusts (REITs) and banks have been hit particularly hard.
But what about property and casualty insurers?
In its earnings report out last week, Travelers (NYSE: TRV) reported net income of $2.33 a share compared to $2.99 a share in the same quarter last year. Total net income of $600 million was negatively impacted by $68 million in after-tax charges related to the COVID-19 crisis. Travelers also hiked its dividend 4% to $0.85 a share. Net written premiums rose 4% to $7.3 billion as all lines of business contributed to the gain.
Source Fool.com