KNOWLEDGE CHECK This chart shows a scatterplot with the x-axis being the estimated sales growth and the y-axis being the estimated P/E multiple. Given this data alone, which of the following companies may warrant further analysis by a portfolio manager looking to buy an insurance company for her portfolio? < > ALLSTATE CORP Equity RVC - Related Functions Menu Message *c: 3 to Hide Securities ALL US Equity 1 Customize Peers Bloomberg Peers Global X Axis Sales Growth Est Actions Relative Value Correlation Closest By Mkt Cap Y AXIS P/E EST Graph Absolute Relative to PG Allstate Corp/The vs Bloomberg Peers Primary Benchmark Outliers Track Mouse 35.00 Y-0.228.16.921 Security 30.00 Peers Peer Group 25.00 Name ALLSTATE CORP HARTFORD FINA... DI AMERICAN INTER... HIJ KEMPER CORP 14 ANERICAN FINAN... II) NA FINANCIAL MARKEL CORP VI WHITE MOUNTAI... ALLIED WORLD A.. 9) ARCHI CAPITAL G 2 XL GROUP PLC UNITED FIRE GR... MICHUBBLID 31 MERCURY GENER.. PROASSURANCE - 31 EMPLOYERS HOL.. MINI INITY PROPE J SAFETY INSURAN... Sales 2.77 1.36 -1.71 5.05 2.24 3.88 2.29 NA 1.61 1.66 13.60 10.54 35.95 6./7 5.28 3.56 2.82 NA P/E 12.39 10.89 11.14 20.28 12.19 10.37 33.11 133.32 16.02 16.71 10.88 16,38 11.96 19.91 18.74 12.05 15.64 14.32 PA Est 20.00 15.00 10,00 5.00 20.00 -20.00 20:00 40.00 Metric Sales Growth Est P/E EST ALL US 2.72 12.39 Schere Size Market Cap (USD) SPX Peer Group Median 3.19 2.84 2.14 NA 15.49 15.49 20.00 20.00 Sales Growth Beta - 226 Low 16.01 (RIE) 8.29 (AFSI) Alpha 16.921 High 35.95 (CB) 13332 (WTH) ? Allstate Erie Indemnity Markel Chubb 40.00
