Benchmark Begins Coverage on Stewart Information Services (NYSE:STC)

Key Points

• Benchmark initiated coverage on Stewart Information Services with a Buy rating and an $87 price target, implying about 24.6% upside from the prior close.
• The company’s latest earnings beat expectations, with Q1 EPS of $0.78 versus the $0.52 estimate and revenue up 27.7% year over year to $778.4 million.
• Shares were down 3% on the day despite generally positive analyst sentiment; the stock has a Moderate Buy consensus with a $83 average target, and insider activity included a recent director purchase and CFO share sale.

Research analysts at Benchmark initiated coverage on shares of Stewart Information Services (NYSE:STC - Get Free Report) in a report released on Tuesday. The firm set a "buy" rating and a $87.00 price target on the insurance provider's stock. Benchmark's price objective indicates a potential upside of 24.60% from the stock's previous close.

STC has been the subject of several other reports. Zacks Research raised shares of Stewart Information Services to a "hold" rating in a report on Wednesday, May 27th. Weiss Ratings upgraded Stewart Information Services from a "buy (b-)" rating to a "buy (b)" rating in a research note on Friday, June 5th. Wall Street Zen raised Stewart Information Services from a "hold" rating to a "buy" rating in a report on Saturday, April 25th. Stephens restated an "overweight" rating and set a $88.00 price objective on shares of Stewart Information Services in a research note on Monday, May 18th. Finally, Keefe, Bruyette & Woods lowered their price target on Stewart Information Services from $81.00 to $77.00 and set an "outperform" rating for the company in a report on Thursday, June 25th. Five investment analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $83.00.

Stewart Information Services Trading Down 3.0%

STC opened at $69.82 on Tuesday. Stewart Information Services has a 52-week low of $57.10 and a 52-week high of $78.61. The company has a quick ratio of 2.12, a current ratio of 2.12 and a debt-to-equity ratio of 0.39. The firm has a market capitalization of $2.12 billion, a P/E ratio of 15.59 and a beta of 0.99. The firm's 50 day moving average is $67.04 and its 200-day moving average is $66.84.

Stewart Information Services (NYSE:STC - Get Free Report) last announced its earnings results on Wednesday, April 22nd. The insurance provider reported $0.78 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $0.52 by $0.26. Stewart Information Services had a return on equity of 10.07% and a net margin of 4.19%.The business had revenue of $778.40 million for the quarter, compared to analyst estimates of $730.43 million. During the same period in the previous year, the company earned $0.25 earnings per share. The company's revenue for the quarter was up 27.7% compared to the same quarter last year. Analysts expect that Stewart Information Services will post 5.8 EPS for the current fiscal year.

Insider Buying and Selling at Stewart Information Services

In other news, Director C Allen Bradley, Jr. bought 1,000 shares of the business's stock in a transaction on Monday, June 1st. The stock was purchased at an average cost of $63.87 per share, for a total transaction of $63,870.00. Following the completion of the transaction, the director directly owned 25,034 shares of the company's stock, valued at approximately $1,598,921.58. This trade represents a 4.16% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CFO David C. Hisey sold 10,992 shares of the firm's stock in a transaction dated Friday, April 24th. The shares were sold at an average price of $71.28, for a total value of $783,509.76. Following the transaction, the chief financial officer directly owned 61,929 shares of the company's stock, valued at $4,414,299.12. This represents a 15.07% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 2.94% of the stock is owned by insiders.

Institutional Trading of Stewart Information Services

Institutional investors and hedge funds have recently added to or reduced their stakes in the business. Caitong International Asset Management Co. Ltd bought a new position in shares of Stewart Information Services in the fourth quarter valued at $43,000. Exchange Traded Concepts LLC acquired a new position in shares of Stewart Information Services in the 4th quarter worth $65,000. Horizon Investments LLC acquired a new stake in shares of Stewart Information Services during the fourth quarter worth $65,000. Kemnay Advisory Services Inc. purchased a new stake in shares of Stewart Information Services during the fourth quarter valued at $66,000. Finally, Clearstead Advisors LLC lifted its holdings in shares of Stewart Information Services by 50.9% during the fourth quarter. Clearstead Advisors LLC now owns 981 shares of the insurance provider's stock valued at $69,000 after purchasing an additional 331 shares during the last quarter. 96.90% of the stock is owned by institutional investors and hedge funds.

Stewart Information Services Company Profile

Stewart Information Services Corporation NYSE: STC is a publicly traded provider of title insurance and real estate transaction services. The company underwrites title insurance policies for residential and commercial properties, offering lenders and property owners protection against title defects and liens. Beyond title insurance, Stewart delivers a range of ancillary services, including closing and escrow administration, property valuation, and risk mitigation solutions designed to streamline the mortgage process and reduce operational complexity for clients.

In addition to core title and settlement services, Stewart offers technology-driven products aimed at enhancing transparency and efficiency in real estate transactions.

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