RLI Corp. (NYSE:RLI) Shares Purchased by Global Alpha Capital Management Ltd.

Key Points

• Global Alpha Capital Management Ltd. increased its stake in RLI Corp. by 127.8% during the first quarter, owning a total of 523,086 shares worth approximately $42 million.
• RLI Corp. has seen a consensus rating of "Hold," with a target price of $78.60, as several research firms adjust their ratings.
• The company recently raised its quarterly dividend from $0.15 to $0.16 per share, reflecting a 1.0% yield and a payout ratio of 18.34%.

Global Alpha Capital Management Ltd. grew its holdings in RLI Corp. (NYSE:RLI - Free Report) by 127.8% in the 1st quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor owned 523,086 shares of the insurance provider's stock after purchasing an additional 293,428 shares during the quarter. RLI makes up 3.1% of Global Alpha Capital Management Ltd.'s portfolio, making the stock its 10th biggest position. Global Alpha Capital Management Ltd. owned 0.57% of RLI worth $42,019,000 as of its most recent SEC filing.

Several other large investors have also modified their holdings of the business. Covestor Ltd raised its stake in shares of RLI by 1,589.8% during the 1st quarter. Covestor Ltd now owns 1,656 shares of the insurance provider's stock worth $133,000 after acquiring an additional 1,558 shares in the last quarter. Cynosure Group LLC grew its position in RLI by 148.8% during the 1st quarter. Cynosure Group LLC now owns 4,501 shares of the insurance provider's stock worth $362,000 after purchasing an additional 2,692 shares during the last quarter. National Bank of Canada FI grew its position in RLI by 109.8% during the 1st quarter. National Bank of Canada FI now owns 39,668 shares of the insurance provider's stock worth $3,189,000 after purchasing an additional 20,764 shares during the last quarter. Swiss National Bank grew its position in RLI by 97.5% during the 1st quarter. Swiss National Bank now owns 159,800 shares of the insurance provider's stock worth $12,837,000 after purchasing an additional 78,900 shares during the last quarter. Finally, Mitsubishi UFJ Asset Management Co. Ltd. grew its position in RLI by 100.0% during the 1st quarter. Mitsubishi UFJ Asset Management Co. Ltd. now owns 396 shares of the insurance provider's stock worth $32,000 after purchasing an additional 198 shares during the last quarter. Institutional investors own 77.89% of the company's stock.

RLI Trading Down 0.3%

Shares of RLI traded down $0.20 during mid-day trading on Friday, reaching $66.46. The stock had a trading volume of 400,100 shares, compared to its average volume of 842,575. The company has a debt-to-equity ratio of 0.06, a current ratio of 0.35 and a quick ratio of 0.35. RLI Corp. has a 52-week low of $65.14 and a 52-week high of $91.14. The business's fifty day moving average is $70.85 and its 200 day moving average is $73.98. The firm has a market cap of $6.10 billion, a price-to-earnings ratio of 19.04 and a beta of 0.66.

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

RLI Increases Dividend

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

Insiders Place Their Bets

In related news, COO Jennifer L. Klobnak bought 3,000 shares of the stock in a transaction on Thursday, July 24th. The stock was bought at an average price of $69.15 per share, with a total value of $207,450.00. Following the completion of the purchase, the chief operating officer directly owned 98,450 shares in the company, valued at $6,807,817.50. This represents a 3.14% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. 2.16% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

Several research firms have weighed in on RLI. JMP Securities reissued a "market perform" rating on shares of RLI in a research report on Thursday, April 24th. Wall Street Zen raised shares of RLI from a "sell" rating to a "hold" rating in a research report on Saturday, July 26th. Finally, Compass Point downgraded shares of RLI from a "strong-buy" rating to a "hold" rating in a research report on Friday, April 25th. One investment analyst has rated the stock with a sell rating, five have issued a hold rating and two have assigned a buy rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $78.60.

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.