American Financial Group (AFG) reported $1.83 billion in revenue for the quarter ended March 2026, representing a year-over-year decline of 1.7%. EPS of $2.47 for the same period compares to $1.81 a year ago.
The reported revenue compares to the Zacks Consensus Estimate of $1.99 billion, representing a surprise of -8.29%. The company delivered an EPS surprise of -2.95%, with the consensus EPS estimate being $2.55.
While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.
As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately.
Here is how American Financial performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Property and Casualty combined ratio - Specialty - Loss and LAE Ratio: 56.3% compared to the 60.5% average estimate based on four analysts. Property and Casualty combined ratio - Specialty - Underwriting Expense Ratio: 34% versus 32.1% estimated by four analysts on average. Property and Casualty combined ratio - Specialty - Combined Ratio - Specialty: 90.3% versus the four-analyst average estimate of 92.8%. Specialty Casualty - Loss and LAE Ratio: 64.7% versus 66.5% estimated by three analysts on average. Specialty Casualty - Underwriting Expense Ratio: 31.1% compared to the 29% average estimate based on three analysts. Revenues- Net investment income: $187 million compared to the $210.21 million average estimate based on four analysts. The reported number represents a change of +8.1% year over year. Revenues- Net earned premiums: $1.61 billion versus the four-analyst average estimate of $1.77 billion. The reported number represents a year-over-year change of +1.8%. Specialty Casualty- Net earned premium: $799 million versus the three-analyst average estimate of $843.8 million. The reported number represents a year-over-year change of +0.6%. Property and Transportation- Net earned premium: $526 million versus $639.68 million estimated by three analysts on average. Compared to the year-ago quarter, this number represents a +5.2% change. Specialty Financial- Net earned premium: $284 million versus the three-analyst average estimate of $307.92 million. The reported number represents a year-over-year change of -0.7%. Revenues- Other income: $29 million versus the two-analyst average estimate of $28.88 million. The reported number represents a year-over-year change of +7.4%. Revenues- Income of managed investment entities- Investment income: $67 million versus the two-analyst average estimate of $70.11 million. The reported number represents a year-over-year change of -11.8%.View all Key Company Metrics for American Financial here>>>
Shares of American Financial have returned +2.9% over the past month versus the Zacks S&P 500 composite's +12.2% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.7 Best Stocks for the Next 30 Days
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American Financial Group, Inc. (AFG): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).