Loews Corporation

Methodology

Loews Corporation's conglomerate structure spanning property-casualty insurance (CNA), hotels, energy pipelines, and packaging creates complex earnings requiring sum-of-the-parts analysis. The company trades at a discount to net asset value. This calculation is challenging given the diverse holdings—valuing each subsidiary separately and comparing to market cap provides better insights than consolidated earnings metrics.

Methodology

Loews' PEG ratio has limited applicability given the conglomerate structure and holding company discount. The company's value lies in the discount to underlying asset values rather than consolidated growth rates. For Loews, valuation should focus on sum-of-the-parts NAV compared to market capitalization and management's capital allocation track record.

Methodology

Loews pays a modest dividend reflecting conservative capital management and opportunistic investment approach. The company balances dividends with buybacks when trading at significant discounts to NAV. PEGY provides some context, though for holding companies, the NAV discount and management's capital allocation decisions matter more than dividend-adjusted earnings metrics.