RLI (NYSE:RLI) Shares Gap Down After Earnings Miss

RLI Corp. (NYSE:RLI)’s stock price gapped down before the market opened on Thursday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $78.07, but opened at $70.84. RLI shares last traded at $70.48, with a volume of 132,682 shares changing hands.

The insurance provider reported $0.41 earnings per share for the quarter, missing analysts’ consensus estimates of $1.05 by ($0.64). RLI had a return on equity of 19.03% and a net margin of 23.77%.

RLI Cuts Dividend

The business also recently declared a None dividend, which was paid on Friday, December 20th. Stockholders of record on Friday, November 29th were paid a $2.145 dividend. The ex-dividend date was Friday, November 29th. This represents a dividend yield of 0.7%. RLI’s dividend payout ratio is presently 12.75%.

Wall Street Analyst Weigh In

Several analysts recently commented on RLI shares. Keefe, Bruyette & Woods cut their price objective on RLI from $100.50 to $100.00 and set an “outperform” rating for the company in a report on Friday, January 10th. Jefferies Financial Group increased their price objective on shares of RLI from $82.50 to $90.00 and gave the stock a “buy” rating in a research note on Wednesday, October 9th. Compass Point lifted their price target on shares of RLI from $85.00 to $92.50 and gave the stock a “buy” rating in a research note on Friday, October 25th. Oppenheimer began coverage on RLI in a research note on Wednesday, October 16th. They issued a “market perform” rating for the company. Finally, Wolfe Research initiated coverage on shares of RLI in a research note on Wednesday, October 9th. They set an “outperform” rating and a $91.00 target price on the stock. Three research analysts have rated the stock with a hold rating and four have assigned a buy rating to the stock. According to MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $91.20.

Insiders Place Their Bets

In other RLI news, Director Michael J. Stone sold 400 shares of RLI stock in a transaction that occurred on Thursday, December 12th. The stock was sold at an average price of $84.78, for a total value of $33,910.00. Following the sale, the director now owns 429,622 shares of the company’s stock, valued at $36,421,205.05. The trade was a 0.09 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. 5.09% of the stock is currently owned by corporate insiders.

Institutional Trading of RLI

A number of large investors have recently made changes to their positions in the business. UMB Bank n.a. raised its position in RLI by 620.0% during the third quarter. UMB Bank n.a. now owns 180 shares of the insurance provider’s stock valued at $28,000 after purchasing an additional 155 shares during the period. Versant Capital Management Inc increased its position in RLI by 53.8% during the fourth quarter. Versant Capital Management Inc now owns 203 shares of the insurance provider’s stock valued at $33,000 after acquiring an additional 71 shares during the last quarter. V Square Quantitative Management LLC bought a new stake in RLI in the third quarter worth about $32,000. Nomura Asset Management Co. Ltd. boosted its position in shares of RLI by 76.9% during the third quarter. Nomura Asset Management Co. Ltd. now owns 230 shares of the insurance provider’s stock valued at $36,000 after buying an additional 100 shares during the period. Finally, EverSource Wealth Advisors LLC grew its stake in shares of RLI by 45.6% during the second quarter. EverSource Wealth Advisors LLC now owns 246 shares of the insurance provider’s stock valued at $37,000 after buying an additional 77 shares during the last quarter. 77.89% of the stock is currently owned by institutional investors.

RLI Price Performance

The stock has a market capitalization of $6.44 billion, a PE ratio of 15.44 and a beta of 0.47. The firm has a fifty day moving average price of $83.32 and a two-hundred day moving average price of $78.80.

RLI Company Profile

RLI Corp., an insurance holding company, underwrites property and casualty insurance. Its Casualty segment provides commercial and personal coverage products; and general liability products, such as coverage for third-party liability of commercial insureds, including manufacturers, contractors, apartments, and mercantile.