This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

4 Stock Strategies From Wall Street: Feb. 10 (Update 1)


4) Look at Web Traffic to Pick Insurance Stocks

Investors trying to pick stocks in the insurance sector should consider growing Web traffic trends.

UBS recently wrote a report on the increasing Web traffic among insurance companies that operate online.

"Consumer shopping activity remained robust with monthly unique visitors to our index of insurer and insurance aggregators' Web sites up 20% year-over-year last month verses 18% in December and 32% in November," writes the firm.

"The January rise in insurance Web site activity was led by Progressive (PGR) (+32% y/y) and Esurance (+98% y/y in its fourth month of ownership by ALL). After five months of growth that far outpaced the index, State Farm's web visit growth of 19% in Jan was in line with the index's 20% rise."

Esurance is a seller of car insurance and is one of the leading auto insurance issuers online. UBS notes that Esurance saw Web growth accelerate to 76% in the fourth quarter of last year and 80% so far in the current quarter, because of a new ad campaign. "Increased advertising spending suggests that the strong growth in Esurance Web traffic will continue," it writes.

By contrast, Allstate (ALL), the largest publicly-traded domestic home and auto insurer, which owns Esurance, has seen Web growth shrink up to 2% year over year over the past two months as newly issued applications decreased.

Allstate's fourth quarter profit more than doubled to $724 million, according to its earnings report on Feb. 1. It operating profit beat expectations, coming in at $1.48 a share. The stock is rated a strong buy by 13 analysts and a hold by 10 analysts out of 27 analysts covering the company, according to TheStreet Ratings .

-- Written by Chao Deng in New York.

>To contact the writer of this article, click here: Chao Deng.

>To follow the writer on Twitter, go to: @chao_deng

>To submit a news tip, send an email to:

4 of 4

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs