American Coastal Insurance (NASDAQ:ACIC) Raised to Strong-Buy at Zacks Research

Key Points

• Zacks Research upgraded American Coastal Insurance to “strong buy” from “hold.” Analysts overall rate the stock “Moderate Buy,” with an average price target of $13.00.
• ACIC shares opened at $10.95, up 4.0%, with a market capitalization of approximately $517.6 million. The company’s latest quarterly earnings were $0.33 per share, below the $0.42 consensus estimate, despite a 30.31% net margin and 27.95% return on equity.
• Insider ownership stands at 49.20%; CEO Bennett Bradford Martz bought 10,000 shares, while another insider sold 21,196 shares. Institutional investors own 22.11% of the company, with several funds recently initiating or increasing positions.

American Coastal Insurance (NASDAQ:ACIC - Get Free Report) was upgraded by stock analysts at Zacks Research from a "hold" rating to a "strong-buy" rating in a note issued to investors on Wednesday, Zacks reports.

A number of other research analysts have also weighed in on ACIC. Raymond James Financial reaffirmed an "outperform" rating and set a $13.00 price objective on shares of American Coastal Insurance in a research report on Tuesday, August 11th. Weiss Ratings downgraded American Coastal Insurance from a "hold (c+)" rating to a "hold (c)" rating in a report on Wednesday, August 12th. One investment analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and two have issued a Hold rating to the company's stock. Based on data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $13.00.

American Coastal Insurance Trading Up 4.0%

NASDAQ:ACIC opened at $10.95 on Wednesday. American Coastal Insurance has a one year low of $9.01 and a one year high of $13.06. The company has a debt-to-equity ratio of 0.01, a current ratio of 0.88 and a quick ratio of 0.88. The company's 50-day simple moving average is $9.52 and its 200 day simple moving average is $10.44. The firm has a market capitalization of $517.61 million, a P/E ratio of 5.72 and a beta of -0.51.

American Coastal Insurance (NASDAQ:ACIC - Get Free Report) last announced its quarterly earnings data on Wednesday, August 5th. The company reported $0.33 earnings per share for the quarter, missing analysts' consensus estimates of $0.42 by ($0.09). American Coastal Insurance had a return on equity of 27.95% and a net margin of 30.31%. The business had revenue of $82.60 million during the quarter. As a group, analysts forecast that American Coastal Insurance will post 1.33 EPS for the current fiscal year.

Insider Transactions at American Coastal Insurance

In other news, CEO Bennett Bradford Martz acquired 10,000 shares of American Coastal Insurance stock in a transaction on Tuesday, September 22nd. The stock was acquired at an average cost of $9.15 per share, for a total transaction of $91,500.00. Following the purchase, the chief executive officer owned 444,611 shares in the company, valued at $4,068,190.65. This trade represents a 2.30% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Brooke Adler sold 21,196 shares of the company's stock in a transaction that occurred on Thursday, September 24th. The stock was sold at an average price of $9.06, for a total transaction of $192,035.76. Following the completion of the transaction, the insider owned 100,175 shares in the company, valued at approximately $907,585.50. This represents a 17.46% decrease in their position. The disclosure for this sale is available in the SEC filing. 49.20% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On American Coastal Insurance

Several hedge funds and other institutional investors have recently added to or reduced their stakes in ACIC. Daytona Street Capital LLC raised its stake in shares of American Coastal Insurance by 15.0% in the third quarter. Daytona Street Capital LLC now owns 11,500 shares of the company's stock worth $106,000 after purchasing an additional 1,500 shares during the last quarter. Versant Capital Management Inc increased its holdings in American Coastal Insurance by 1,646.9% in the 3rd quarter. Versant Capital Management Inc now owns 7,302 shares of the company's stock worth $66,000 after buying an additional 6,884 shares in the last quarter. Squarepoint Ops LLC purchased a new position in American Coastal Insurance in the 2nd quarter worth about $173,000. Beacon Pointe Advisors LLC purchased a new position in American Coastal Insurance in the 2nd quarter worth about $754,000. Finally, Empowered Funds LLC purchased a new position in American Coastal Insurance in the 2nd quarter worth about $2,992,000. 22.11% of the stock is owned by institutional investors.

American Coastal Insurance Company Profile

American Coastal Insurance Corporation NASDAQ: ACIC is a property and casualty insurance holding company focused on commercial residential property coverage. Through its insurance subsidiaries, the company provides policies for condominium associations, homeowners associations, apartment buildings and other residential properties with shared or commercial ownership structures.

The company specializes in insurance for properties exposed to severe weather and catastrophe risks, including hurricanes and other coastal events.

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