DOWLING & PARTN Has Bearish Forecast for STC FY2026 Earnings

Key Points

• DOWLING & PARTN lowered Stewart Information Services’ FY2026 EPS forecast to $4.68 from $4.89, below the current consensus estimate of $4.89.
• Stewart’s latest quarterly results missed expectations, with EPS of $1.33 versus $1.50 expected and revenue of $900.7 million versus $903.67 million; EPS also declined from $1.64 a year earlier.
• Despite mixed analyst sentiment and a consensus “Hold” rating, the company raised its quarterly dividend to $0.55, representing a 5% yield, while insiders purchased 10,000 shares during the last quarter.

Stewart Information Services Corporation (NYSE:STC - Free Report) - Equities research analysts at DOWLING & PARTN cut their FY2026 earnings estimates for Stewart Information Services in a report released on Tuesday, October 27th. DOWLING & PARTN analyst G. Dunn now expects that the insurance provider will post earnings per share of $4.68 for the year, down from their previous forecast of $4.89. The consensus estimate for Stewart Information Services' current full-year earnings is $4.89 per share.

Stewart Information Services (NYSE:STC - Get Free Report) last posted its earnings results on Wednesday, October 21st. The insurance provider reported $1.33 earnings per share for the quarter, missing analysts' consensus estimates of $1.50 by ($0.17). The company had revenue of $900.70 million for the quarter, compared to analysts' expectations of $903.67 million. Stewart Information Services had a return on equity of 9.39% and a net margin of 3.58%. During the same quarter in the prior year, the company earned $1.64 EPS.

A number of other equities research analysts have also recently weighed in on STC. Benchmark started coverage on Stewart Information Services in a research note on Tuesday, July 21st. They set a "buy" rating and a $87.00 price objective for the company. Wall Street Zen downgraded Stewart Information Services from a "buy" rating to a "hold" rating in a research report on Saturday, July 25th. Keefe, Bruyette & Woods lowered Stewart Information Services from an "outperform" rating to a "market perform" rating and cut their target price for the company from $77.00 to $71.00 in a research note on Monday, July 27th. Zacks Research lowered Stewart Information Services from a "hold" rating to a "strong sell" rating in a research note on Thursday, October 22nd. Finally, Citigroup reiterated a "market outperform" rating on shares of Stewart Information Services in a report on Monday, October 12th. Four research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, the stock presently has a consensus rating of "Hold" and an average target price of $75.75.

Stewart Information Services Stock Up 1.5%

Shares of NYSE STC opened at $44.14 on Thursday. Stewart Information Services has a 12-month low of $42.66 and a 12-month high of $78.61. The stock's fifty day simple moving average is $59.23 and its two-hundred day simple moving average is $64.95. The stock has a market capitalization of $1.35 billion, a PE ratio of 11.06 and a beta of 1.04. The company has a current ratio of 1.85, a quick ratio of 1.98 and a debt-to-equity ratio of 0.39.

Stewart Information Services Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Tuesday, September 15th were paid a $0.55 dividend. This represents a $2.20 annualized dividend and a yield of 5.0%. This is a positive change from Stewart Information Services's previous quarterly dividend of $0.5250. The ex-dividend date was Tuesday, September 15th. Stewart Information Services's payout ratio is 55.14%.

Insider Buying and Selling

In other Stewart Information Services news, Director Thomas G. Apel purchased 2,000 shares of Stewart Information Services stock in a transaction dated Friday, October 23rd. The shares were acquired at an average cost of $47.73 per share, with a total value of $95,460.00. Following the completion of the transaction, the director owned 46,182 shares in the company, valued at approximately $2,204,266.86. This trade represents a 4.53% increase in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director William S. Jr. Corey purchased 2,000 shares of Stewart Information Services stock in a transaction dated Friday, October 23rd. The shares were acquired at an average cost of $46.82 per share, for a total transaction of $93,640.00. Following the completion of the transaction, the director owned 13,433 shares of the company's stock, valued at approximately $628,933.06. This represents a 17.49% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders acquired 10,000 shares of company stock valued at $460,960 over the last quarter. Insiders own 2.94% of the company's stock.

Institutional Trading of Stewart Information Services

Hedge funds and other institutional investors have recently made changes to their positions in the business. Caitlin John LLC purchased a new stake in shares of Stewart Information Services in the 2nd quarter valued at $28,000. Integrated Wealth Concepts LLC acquired a new stake in shares of Stewart Information Services in the second quarter worth $42,000. Kings Path Partners LLC acquired a new stake in shares of Stewart Information Services in the third quarter worth $52,000. State of Wyoming acquired a new stake in shares of Stewart Information Services in the third quarter worth $52,000. Finally, Versant Capital Management Inc raised its holdings in shares of Stewart Information Services by 93.6% during the third quarter. Versant Capital Management Inc now owns 1,152 shares of the insurance provider's stock worth $57,000 after purchasing an additional 557 shares during the last quarter. Hedge funds and other institutional investors own 96.90% of the company's stock.

Stewart Information Services News Roundup

Here are the key news stories impacting Stewart Information Services this week:

• Positive Sentiment: Company insiders made a series of open-market purchases. CEO Frederick Eppinger bought 3,000 shares for approximately $133,350, while directors Deborah Jane Matz, William S. Corey Jr., Clifford Bradley Jr. and Thomas G. Apel collectively purchased 7,000 shares. The transactions occurred at prices between $43.91 and $47.73, potentially signaling that management and directors view STC as undervalued after its decline. Stewart insider buying report
• Positive Sentiment: Stewart’s quarterly dividend was increased to $0.55 per share from $0.525, providing an annualized payout of $2.20 and a yield of roughly 5.1% at recent prices. The higher dividend may attract income-focused investors.
• Neutral Sentiment: Stephens maintained an “overweight” rating but lowered its price target from $80 to $70. The target reduction reflects a more cautious outlook, although it remains well above recent trading levels and implies meaningful potential upside. Stephens forecast report
• Negative Sentiment: Recent quarterly results were below expectations. Stewart reported earnings of $1.33 per share versus the $1.50 consensus estimate, while revenue of $900.7 million was slightly below forecasts. EPS also fell from $1.64 in the prior-year quarter, raising concerns about near-term profitability.
• Negative Sentiment: Analyst sentiment remains mixed: Zacks downgraded the stock to “strong sell,” while the broader consensus rating is “Hold.” The shares are trading far below their moving averages, indicating that investors continue to discount weaker real-estate transaction and earnings conditions.

About Stewart Information Services

Stewart Information Services Corporation NYSE: STC is a global provider of title insurance and real estate transaction services. Through its Stewart Title operations, the company helps protect property owners, lenders and other participants from losses arising from defects in a property's title.

The company offers title searches and examinations, title insurance policies, escrow and closing services, settlement services, and related solutions for residential and commercial real estate transactions.

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