Allstate is rising today simply on the speculation that Allstate is in play for a takeover. ICANN has bought a large stake.::
Break this evil company up into little
Pieces and sell them
Off..
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@4htr+1jjWBkFs- agree. Allstate is not going to get bought out by a progressive even when the time comes. The wolf is high off of his own exhaust fumes.
@tsx+1jjWBkFs- Please wolf.. NO!!! we don't want Allstate stink rotting out our Progressive company. 15 yrs at that ho-e dealing with the Joe vs the Volcanoe bosses and flickering office lights. Sorry to all the friends stuck at Allcrap but if you want to come to progressive... interview for the job like the rest of us. We don't want to transplant any contaminated Allcrap soil to our well manicured and maintained Eden.
The share price is around $120. A buyout would most likely require an offer well in excess of that so let us just say $150 a share. There is something like 250 million shares outstanding. That would require at least $37,500,000,000 to buyout Allstate. What company is going to do that? If they were going to get bought out it would have been in 08 or 09 when the price was down at like $15 a share.
They are not going to sell off the homeowners line because that would further put pressure on the auto business. Home has been profitable for the last several years and helps subsidize the auto product. Without home, the pressure on auto would be greater and would require even higher rates and less retention. That would cause it to shrink faster and the share price would go lower in turn hurting the Wilson's of the world that thrive off of a high stock price. Not going to happen.
I have said it before and I will say it again. They will continue to squeeze blood from a stone and make money off of the slowly shrinking book of business they have. Wallstreet likes profits and until Allstate consistently is not making one they will continue to eat up the high stock price and share buybacks as it makes them all richer. Wilson will be long gone and a millionaire 100 times over by the time Allstate is irrelevant. It is not rocket science. They are not getting bought out any time soon. There
@tsx+1jjWBkFs Not sure what has really been going on with independents recently but 2 have closed where I lived, both had been in business 10-15 years friends of some of the old employees said they were losing too many customers to the major carriers (SF, Farmers, Allstate).
Go smoke another one- you are day dreaming
Progressive does have a homeowner product through ASI. However, it is light years behind Allstate’s home product. It is very difficult to build a home insurance product organically. Here is the home owners market share report:
Rank Group/company Direct premiums written (1) Market share (2)
1 State Farm $19,717,032 17.9%
2 Allstate Corp. 9,773,497 8.9
3 USAA Insurance Group 7,362,747 6.7
4 Liberty Mutual 6,991,283 6.3
5 Farmers Insurance Group of Companies 6,043,865 5.5
6 Travelers Companies Inc. 4,866,357 4.4
7 American Family Insurance Group 4,442,467 4.0
8 Nationwide Mutual Group 3,344,181 3.0
9 Chubb Ltd. 3,113,149 2.8
10 Progressive Corp. 1,897,225 1.7
Remember, Wilson graduated from the Sears School of thinking. One of the last great assets of Sears was craftsmen tools. It was sold off to the highest bidder. Monkey see monkey do.
Progressive can come in and fix the Allstate auto product by converting it to their platform and pricing sophistication. Moreover, Progressive can adopt the Allstate home product platform and run with it. Moreover, Progressive is not giving up any margins by pricing their direct business lower than their agent business.
Unfortunately, the 35 year folks that do nothing will not be invited to the party that Progress-All will be throwing in Mayfield Ohio. Progressive will be administering an enem@ and quite a few folks will purged.
Wow up 2 percent today online with market for day after 12 percent decline yesterday and that's a sig a takeover is coming?
This article explains the paper trail that links Carl Icahn to Allstate:
https://www.benzinga.com/analyst-ratings/analyst-color/22/10/29362435/does-carl-icahn-have-a-secret-activist-stake-in-allstate-if-he-does-now-is-the-time
The Wolf checking in here! We have been claiming a "ProgressAll" merger for over a year! This is bad news for all the " Wolves' " around the country. We have been making a living for years by inept leadership of Allstate. The " Wolves' " (Ex-Allstate Agents) get 1,000's of customers a day that are fed up with Allstate's poor claim service, extraordinarily high home and auto rates, and poor customer service.
With Tricia Griffith taking over, she will clean up the hot mess going on at Allstate. Most importantly, Tricia will cut the fat out of Allstate's industry leading expense ratio. Mrs. Griffith will fix the broken Allstate auto product and leverage the Allstate home product. Progressive will utilize the slimmed down Allstate Exclusive Agent program while expanding the digital footprint. Carl Icahn will facilitate the sale of all of the other garbage companies that Allstate owns. Moreover, the Nat Gen book will be rolled into the Progressive umbrella.
Time for the " Wolves' " (Ex-Allstate Agents) to seek new ways to market their independent agencies. The party is over! We can no longer depend on Tom Wilson's inept Sears management style. There are new Sheriffs in town! DON'T mess with Ichan/Griffith leadership TEAM!