Federated Hermes Inc. Has $12.73 Million Stake in RLI Corp. (NYSE:RLI)

Key Points

• Federated Hermes Inc. increased its stake in RLI Corp. by 52.2% in the first quarter, owning approximately 158,434 shares valued at $12.73 million.
• RLI Corp. reported $0.84 earnings per share (EPS), exceeding the consensus estimate, with a 20% year-over-year revenue growth to $562.28 million.
• The company announced a dividend increase, with a quarterly payment of $0.16 per share, reflecting a dividend yield of 1.0% and a payout ratio of 18.34%.

Federated Hermes Inc. increased its position in shares of RLI Corp. (NYSE:RLI - Free Report) by 52.2% during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 158,434 shares of the insurance provider's stock after acquiring an additional 54,363 shares during the period. Federated Hermes Inc. owned about 0.17% of RLI worth $12,727,000 at the end of the most recent reporting period.

A number of other institutional investors and hedge funds have also bought and sold shares of the company. Golden State Wealth Management LLC grew its stake in shares of RLI by 100.0% in the first quarter. Golden State Wealth Management LLC now owns 372 shares of the insurance provider's stock worth $30,000 after purchasing an additional 186 shares during the last quarter. Alpha DNA Investment Management LLC lifted its holdings in RLI by 7.8% during the 4th quarter. Alpha DNA Investment Management LLC now owns 2,622 shares of the insurance provider's stock worth $432,000 after buying an additional 189 shares during the period. SBI Securities Co. Ltd. grew its position in shares of RLI by 56.8% in the 1st quarter. SBI Securities Co. Ltd. now owns 530 shares of the insurance provider's stock valued at $43,000 after buying an additional 192 shares during the last quarter. Versant Capital Management Inc grew its position in shares of RLI by 100.0% in the 1st quarter. Versant Capital Management Inc now owns 406 shares of the insurance provider's stock valued at $33,000 after buying an additional 203 shares during the last quarter. Finally, Farther Finance Advisors LLC increased its stake in shares of RLI by 88.5% in the first quarter. Farther Finance Advisors LLC now owns 477 shares of the insurance provider's stock valued at $38,000 after buying an additional 224 shares during the period. Institutional investors and hedge funds own 77.89% of the company's stock.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on RLI shares. JMP Securities reaffirmed a "market perform" rating on shares of RLI in a research note on Thursday, April 24th. Wall Street Zen upgraded shares of RLI from a "sell" rating to a "hold" rating in a research report on Saturday, July 26th. Keefe, Bruyette & Woods reduced their price objective on shares of RLI from $95.00 to $85.00 and set an "outperform" rating on the stock in a research note on Wednesday, April 9th. Finally, Compass Point downgraded shares of RLI from a "strong-buy" rating to a "hold" rating in a research note on Friday, April 25th. One investment analyst has rated the stock with a sell rating, five have given a hold rating and two have given a buy rating to the company. According to MarketBeat, RLI presently has an average rating of "Hold" and an average price target of $78.60.

Insider Activity at RLI

In other news, COO Jennifer L. Klobnak purchased 3,000 shares of the company's stock in a transaction that occurred on Thursday, July 24th. The shares were acquired at an average cost of $69.15 per share, with a total value of $207,450.00. Following the purchase, the chief operating officer owned 98,450 shares in the company, valued at $6,807,817.50. This represents a 3.14% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. 2.16% of the stock is currently owned by corporate insiders.

RLI Price Performance

RLI stock opened at $65.80 on Friday. The stock has a market capitalization of $6.04 billion, a price-to-earnings ratio of 18.85 and a beta of 0.66. RLI Corp. has a 52-week low of $65.14 and a 52-week high of $91.14. The company has a debt-to-equity ratio of 0.06, a quick ratio of 0.35 and a current ratio of 0.35. The stock's 50 day moving average price is $71.74 and its two-hundred day moving average price is $74.36.

RLI (NYSE:RLI - Get Free Report) last issued its earnings results on Monday, July 21st. The insurance provider reported $0.84 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.75 by $0.09. The business had revenue of $562.28 million for the quarter, compared to analyst estimates of $445.55 million. RLI had a net margin of 17.81% and a return on equity of 15.82%. RLI's revenue was up 20.0% on a year-over-year basis. During the same period in the prior year, the firm earned $1.72 earnings per share. On average, equities analysts predict that RLI Corp. will post 3.08 earnings per share for the current year.

RLI Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Friday, June 20th. Stockholders of record on Friday, May 30th were paid a $0.16 dividend. The ex-dividend date was Friday, May 30th. This represents a $0.64 annualized dividend and a dividend yield of 1.0%. This is a boost from RLI's previous quarterly dividend of $0.15. RLI's dividend payout ratio (DPR) is 18.34%.

RLI Profile

RLI Corp., an insurance holding company, underwrites property and casualty insurance. Its Casualty segment provides commercial and personal coverage products; and general liability products, such as coverage for third-party liability of commercial insureds, including manufacturers, contractors, apartments, and mercantile.

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