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Don't Overlook These Highly Ranked Insurance Stocks it's Time to Buy

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With a number of insurance stocks currently holding spots on the Zacks Rank #1 (Strong Buy) list, the Zacks Insurance-Multi Line Industry stands out in particular and is in the top 16% of over 250 Zacks industries.

Offering a variety of insurance products and services to their clients, earnings estimate revisions are nicely up across this industry and here are a few of the top stocks to consider.

Assured Guaranty (AGO - Free Report)

Protecting holders of debt instruments and other monetary obligations from defaults in scheduled payments, Assured Guaranty markets directly to issuers and underwriters of municipal finance, structured finance securities, and mortgage markets.

Assured Guaranty's stock is up +13% YTD with the company coming off a record year that saw annual earnings at $10.78 per share in 2023. Attributed to its diversified production strategy, Assured Guaranty saw its highest annual Gross Written Premiums (GWPs) and PVPs (Present Value of New Business Production) in over a decade. Notably, Assured Guaranty impressively exceeded its fourth quarter earnings expectations by an eye-popping 469% in late February with Q4 EPS at $5.75 compared to the Zacks Consensus of $1.01 a share.  

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Image Source: Zacks Investment Research

Following the very impressive earnings beat, EPS estimates for fiscal 2024 and FY25 have soared over the last 60 days with Assured Guaranty’s stock now up +69% in the last year.

Zacks Investment Research
Image Source: Zacks Investment Research

Zurich Insurance Group (ZURVY - Free Report)

Zurich Insurance Group’s multi-line offerings extend to a wide range of general insurance and life insurance products and services for individuals, small businesses, mid-sized and large companies along with multinational corporations.

While Zurich Insurance Group’s stock is only up +1% YTD, earnings estimate revisions have nicely increased over the last two months suggesting more upside. Furthermore, ZURVY has risen a respectable +9% over the last year with appealing EPS growth on the horizon. To that point, annual earnings are forecasted to climb 38% in FY24 to $4.11 per share versus $2.97 a share last year. Plus, FY25 EPS is projected to rise another 8%.

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Image Source: Zacks Investment Research

It’s also noteworthy that Zurich Insurance Group’s stock has a 4.24% annual dividend that impressively tops the industry average of 2.49% and the S&P 500’s average of 1.29%.

Zacks Investment Research
Image Source: Zacks Investment Research

Other Stocks to Watch                                 

Two other stocks boasting a Zacks Rank #1 (Strong Buy) and enjoying positive earnings estimate revisions among the Insurance-Multi Line Industry are Enact Holdings (ACT - Free Report)  and Fidelis Insurance Holdings Limited (FIHL - Free Report) .

Operating through its wholly-owned subsidiary Genworth Mortgage, Enact Holdings provides U.S. private mortgage insurance with Fidelis Insurance Holdings Limited providing insurance and reinsurance services primarily in Bermuda, Ireland, and the United Kingdom.

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