Alleghany Corporation (Y)

(A Top Pick Jan 06/22, Down 6%)Stockchase Research Editor: Michael O’Reilly Our PAST TOP PICK with Y has triggered its stop at $625. To remain disciplined, we recommend covering the position at this time. This will result in a net investment loss of 2%, when combined with our previous buy recommendation.

Stockchase Research Editor: Michael O'Reilly Y, a New York based property and casualty insurance company, is reiterated as a TOP PICK. As expected earnings showed a sizable drop that was COVID and hurricane related, but the decline was much less severe than analysts expected. Analysts expect EPS next year to be up sharply next year, projecting a forward PE of 9 versus peers at 13. The company currently trades just above book value. We continue to recommend a stop-loss at $625, looking to achieve $858 -- upside potential exceeding 28%. Yield 0% (Analysts’ price target is $857.50)

(A Top Pick Feb 09/21, Up 15.6%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with Y is progressing well. We recommend trailing up the stop (from $495) to $625 at this time.

Stockchase Research Editor: Michael O'Reilly Y is a New York based property and casualty insurance company. Earnings are expected to show a 40% drop in 2020 that are COVID and hurricane related, but that is already factored into the price presently for the shares. Analysts expect EPS next year to be up 200% and to grow by 30% annually over the next five years. The company currently trades below book value. Over 85% of the shares are held by large institutions -- making staying power strong. We would buy this with a stop-loss at $495, looking to achieve $825 -- upside potential exceeding 35%. Yield 0% (Analysts’ price target is $825.00)