Progressive slowdown in growth likely to weigh on shares, says UBS

UBS analyst Brian Meredith points out that Progressive’s CEO in the company’s quarterly letter to shareholders, disclosed in the company’s Q1, noted that the company is reevaluating its rate plans and intends to be more aggressive for the remainder of the year in response to Q1 profitability and continued elevated inflation. Progressive’s growth and market-share gains are a key part of its investment thesis and a slowdown in growth will likely weigh on shares, which "trade at a meaningful premium to peers," the analyst tells investors. UBS keeps a Neutral rating and $148 price target on Progressive shares.