Keefe, Bruyette & Woods Issues Pessimistic Forecast for Bowhead Specialty (NYSE:BOW) Stock Price

Key Points

• Keefe, Bruyette & Woods has lowered the price target for Bowhead Specialty (NYSE:BOW) from $45.00 to $42.00, while maintaining an "outperform" rating, suggesting a potential upside of 32.90% from the current price.
• Bowhead Specialty reported $0.37 EPS for the last quarter, exceeding analyst expectations, with revenue significantly outpacing estimates at $232.36 million.
• Recent insider activity includes Director Matthew Botein selling 2 million shares valued at $61.32 million, reducing his ownership by 18.23%.

Bowhead Specialty (NYSE:BOW - Free Report) had its price target lowered by Keefe, Bruyette & Woods from $45.00 to $42.00 in a report published on Tuesday,Benzinga reports. The firm currently has an outperform rating on the stock.

BOW has been the subject of a number of other reports. Piper Sandler started coverage on Bowhead Specialty in a report on Wednesday, April 16th. They set an "overweight" rating and a $44.00 price target for the company. Deutsche Bank Aktiengesellschaft started coverage on Bowhead Specialty in a report on Friday, August 8th. They set a "buy" rating for the company. Finally, Morgan Stanley increased their price target on Bowhead Specialty from $36.00 to $39.00 and gave the stock an "equal weight" rating in a report on Monday, May 19th. Two analysts have rated the stock with a hold rating and five have given a buy rating to the company's stock. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average price target of $39.17.

Bowhead Specialty Trading Down 0.5%

NYSE:BOW traded down $0.14 during trading hours on Tuesday, hitting $30.65. 367,347 shares of the company were exchanged, compared to its average volume of 318,768. The stock has a market capitalization of $1.00 billion, a price-to-earnings ratio of 20.85 and a beta of -0.69. Bowhead Specialty has a one year low of $26.70 and a one year high of $42.29. The company has a fifty day simple moving average of $34.13 and a 200 day simple moving average of $35.95.

Bowhead Specialty (NYSE:BOW - Get Free Report) last announced its earnings results on Tuesday, August 5th. The company reported $0.37 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.36 by $0.01. The business had revenue of $232.36 million during the quarter, compared to analyst estimates of $134.66 million. Bowhead Specialty had a return on equity of 13.25% and a net margin of 10.05%. Equities research analysts predict that Bowhead Specialty will post 1.36 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Gallatin Point Capital Llc sold 2,000,000 shares of the firm's stock in a transaction dated Friday, August 8th. The shares were sold at an average price of $30.66, for a total value of $61,320,000.00. Following the transaction, the director owned 8,968,445 shares of the company's stock, valued at approximately $274,972,523.70. This trade represents a 18.23% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Matthew Botein sold 2,000,000 shares of the firm's stock in a transaction dated Friday, August 8th. The shares were sold at an average price of $30.66, for a total transaction of $61,320,000.00. Following the completion of the transaction, the director directly owned 8,968,445 shares in the company, valued at approximately $274,972,523.70. The trade was a 18.23% decrease in their position. The disclosure for this sale can be found here.

Hedge Funds Weigh In On Bowhead Specialty

Large investors have recently added to or reduced their stakes in the business. SBI Securities Co. Ltd. bought a new position in shares of Bowhead Specialty during the 1st quarter worth approximately $44,000. Summit Investment Advisors Inc. lifted its position in shares of Bowhead Specialty by 66.4% during the 4th quarter. Summit Investment Advisors Inc. now owns 1,218 shares of the company's stock worth $43,000 after buying an additional 486 shares in the last quarter. Raymond James Financial Inc. bought a new position in shares of Bowhead Specialty during the 2nd quarter worth approximately $52,000. Nemes Rush Group LLC bought a new position in shares of Bowhead Specialty during the 1st quarter worth approximately $61,000. Finally, Tower Research Capital LLC TRC lifted its position in shares of Bowhead Specialty by 99.0% during the 2nd quarter. Tower Research Capital LLC TRC now owns 1,926 shares of the company's stock worth $72,000 after buying an additional 958 shares in the last quarter.

Bowhead Specialty Company Profile

Bowhead Specialty Holdings Inc provides specialty property and casualty insurance products in the United States. It underwrites casualty insurance solutions for risks in the construction, distribution, heavy manufacturing, real estate, and hospitality segments; professional liability insurance solutions for financial institutions, private and public directors and officers liability insurance, errors and omissions liability insurance, and cyber segments; and healthcare solutions for hospitals, senior care providers, managed care organizations, miscellaneous medical facilities, and healthcare management liability segments.