Travelers Raises Price Target to $340 and Unveils OpenAI-Powered AI Claims Assistant
Keefe Bruyette raised its Travelers price target to $340 from $320 with an Outperform rating, estimating 2025 GAAP loss and loss adjustment reserves were overstated by $1.94B. Travelers posted Q4 revenue of $12.43B versus $11.14B consensus and rolled out an AI Claim Assistant for auto claims.
1. Analyst Revises Price Target
On February 19, Keefe Bruyette analyst Meyer Shields raised Travelers’ price target to $340 from $320 and maintained an Outperform rating, citing an estimated $1.94B overstatement in 2025 GAAP loss and Allocated Loss Adjustment Expense reserves.
2. Q4 Revenue Outperformance
Travelers reported Q4 revenue of $12.43B compared with a $11.14B consensus, with Chairman and CEO Alan Schnitzer attributing the beat to strong underwriting discipline and robust investment returns.
3. Launch of AI Claim Assistant
On February 18, Travelers deployed an AI Claim Assistant built on OpenAI model capabilities for auto damage claims, leveraging language and speech recognition to streamline customer call handling with plans to expand across additional lines of business.