Selective Insurance Group (NASDAQ:SIGI) Stock Rating Raised to "Buy" at Wall Street Zen

Key Points

• Wall Street Zen upgraded Selective Insurance Group to “Buy” from “Hold,” although the broader analyst consensus remains “Hold” with an average price target of $101.
• Selective reported quarterly earnings of $2.37 per share, beating the $1.91 consensus estimate, while revenue reached approximately $1.33 billion versus expectations of $1.17 billion.
• Management raised its investment-income outlook, increased the quarterly dividend by 11.6% to $0.48 per share, and authorized a $200 million share-repurchase program; however, net premiums written declined 7% year over year.

Selective Insurance Group (NASDAQ:SIGI - Get Free Report) was upgraded by equities research analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a research note issued on Saturday, Wall Street Zen reports.

Several other equities research analysts also recently issued reports on SIGI. Morgan Stanley increased their price objective on Selective Insurance Group from $72.00 to $80.00 and gave the stock an "underweight" rating in a research note on Monday, July 6th. Piper Sandler dropped their price target on Selective Insurance Group from $105.00 to $97.00 and set a "neutral" rating for the company in a report on Monday, September 28th. Royal Bank Of Canada raised their target price on Selective Insurance Group from $110.00 to $115.00 and gave the stock an "outperform" rating in a report on Monday, July 27th. Weiss Ratings downgraded Selective Insurance Group from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Tuesday, September 1st. Finally, Oppenheimer restated an "outperform" rating and issued a $115.00 price objective on shares of Selective Insurance Group in a research note on Tuesday, October 13th. Two research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and an average price target of $101.00.

Selective Insurance Group Stock Performance

Shares of Selective Insurance Group stock opened at $96.61 on Friday. The company has a debt-to-equity ratio of 0.26, a quick ratio of 0.29 and a current ratio of 0.29. The firm's 50-day simple moving average is $88.87 and its 200-day simple moving average is $89.81. Selective Insurance Group has a 1 year low of $72.78 and a 1 year high of $101.25. The firm has a market cap of $5.76 billion, a PE ratio of 10.69 and a beta of 0.26.

Selective Insurance Group (NASDAQ:SIGI - Get Free Report) last released its earnings results on Thursday, October 22nd. The insurance provider reported $2.37 earnings per share for the quarter, beating the consensus estimate of $1.91 by $0.46. The firm had revenue of $1.33 billion during the quarter, compared to analyst estimates of $1.17 billion. Selective Insurance Group had a net margin of 9.40% and a return on equity of 15.40%. During the same quarter in the previous year, the firm earned $1.85 earnings per share. Equities analysts forecast that Selective Insurance Group will post 8.20 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, EVP Michael Lanza sold 17,100 shares of the company's stock in a transaction on Tuesday, July 28th. The shares were sold at an average price of $94.04, for a total value of $1,608,084.00. Following the completion of the sale, the executive vice president owned 16,565 shares in the company, valued at $1,557,772.60. This represents a 50.79% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this hyperlink. Company insiders own 0.82% of the company's stock.

Hedge Funds Weigh In On Selective Insurance Group

Hedge funds have recently bought and sold shares of the company. Squarepoint Ops LLC bought a new position in shares of Selective Insurance Group in the second quarter worth approximately $5,408,000. Legal & General Group Plc bought a new position in shares of Selective Insurance Group during the second quarter valued at $8,349,000. Bank of America Corp DE purchased a new stake in Selective Insurance Group during the second quarter valued at $63,423,000. The Manufacturers Life Insurance Company purchased a new stake in shares of Selective Insurance Group in the 2nd quarter worth $5,496,000. Finally, Wellington Management Group LLP purchased a new stake in shares of Selective Insurance Group in the second quarter worth $77,149,000. Hedge funds and other institutional investors own 82.88% of the company's stock.

Selective Insurance Group News Roundup

Here are the key news stories impacting Selective Insurance Group this week:

• Positive Sentiment: Third-quarter adjusted earnings were $2.37 per share, exceeding the $1.91 consensus estimate and rising from $1.75 a year earlier. Total revenue of approximately $1.33 billion also exceeded the cited analyst estimate of $1.17 billion. Selective Insurance Q3 Earnings Top Estimates
• Positive Sentiment: After-tax net investment income increased 16% year over year to $127.3 million, supporting quarterly net income of $126.4 million, up 12% from the prior year. Selective Reports Q3 Net Income
• Positive Sentiment: Management raised its after-tax net investment income outlook to $490 million for 2026 and maintained a favorable full-year GAAP combined-ratio outlook of 96.5% to 97.5%. Selective 2026 Outlook
• Positive Sentiment: The board increased the quarterly dividend 11.6% to $0.48 per share and authorized a new $200 million share-repurchase program, signaling confidence in cash generation and potentially supporting per-share value.
• Neutral Sentiment: Selective appointed Jacob E. Rothfuss as executive vice president and president of Standard Lines, effective no later than April 2027. The leadership change is unlikely to materially affect the stock immediately. Selective Leadership Appointment
• Negative Sentiment: Net premiums written declined 7% year over year and total revenue fell 2%, highlighting slower underlying premium growth despite the earnings beat and stronger investment results.

Selective Insurance Group Company Profile

Selective Insurance Group, Inc is a holding company for a group of property and casualty insurance subsidiaries. Founded in 1926 and headquartered in Branchville, New Jersey, the company provides insurance products and related services primarily through a network of independent agents.

Selective serves commercial, personal and public-sector customers. Its commercial offerings include business owners policies, commercial automobile, workers' compensation, general liability, commercial property and other specialty coverages.

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