RLI Corp. $RLI Position Increased by Hsbc Holdings PLC

Key Points

• HSBC Holdings increased its RLI position by 201.5% in the second quarter, bringing its holdings to 25,295 shares valued at approximately $1.49 million. Institutional investors and hedge funds collectively own 77.89% of RLI.
• RLI reported quarterly earnings of $0.83 per share, beating estimates of $0.72, while revenue rose 15.2% year over year to $575.57 million. The company posted a 17.61% return on equity and a 22.22% net margin.
• RLI declared a quarterly dividend of $0.18 per share, equivalent to $0.72 annually and a 1.2% yield. Analyst sentiment remains cautious, with a consensus “Reduce” rating and an average price target of $63.20.

Hsbc Holdings PLC boosted its holdings in shares of RLI Corp. (NYSE:RLI - Free Report) by 201.5% during the 2nd quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 25,295 shares of the insurance provider's stock after acquiring an additional 16,905 shares during the quarter. Hsbc Holdings PLC's holdings in RLI were worth $1,492,000 at the end of the most recent reporting period.

Other institutional investors and hedge funds have also modified their holdings of the company. State Street Corp boosted its holdings in RLI by 1.4% in the 4th quarter. State Street Corp now owns 8,875,002 shares of the insurance provider's stock valued at $567,823,000 after purchasing an additional 124,687 shares during the period. BlackRock Inc. acquired a new stake in shares of RLI during the second quarter worth approximately $492,175,000. Wasatch Advisors LP raised its position in RLI by 40.7% in the 2nd quarter. Wasatch Advisors LP now owns 3,631,273 shares of the insurance provider's stock valued at $214,499,000 after purchasing an additional 1,051,318 shares during the last quarter. Geode Capital Management LLC raised its holdings in shares of RLI by 3.2% in the fourth quarter. Geode Capital Management LLC now owns 2,191,891 shares of the insurance provider's stock valued at $140,260,000 after buying an additional 67,025 shares during the last quarter. Finally, Dimensional Fund Advisors LP lifted its position in shares of RLI by 1.1% during the first quarter. Dimensional Fund Advisors LP now owns 1,920,823 shares of the insurance provider's stock worth $109,567,000 after purchasing an additional 21,299 shares in the last quarter. 77.89% of the stock is currently owned by institutional investors and hedge funds.

RLI Stock Performance

Shares of NYSE RLI opened at $60.66 on Friday. The stock has a 50 day moving average price of $62.59 and a 200 day moving average price of $58.24. RLI Corp. has a 52 week low of $47.26 and a 52 week high of $67.32. The stock has a market capitalization of $5.57 billion, a PE ratio of 12.74 and a beta of 0.38.

RLI (NYSE:RLI - Get Free Report) last posted its quarterly earnings results on Wednesday, July 22nd. The insurance provider reported $0.83 earnings per share for the quarter, topping the consensus estimate of $0.72 by $0.11. RLI had a return on equity of 17.61% and a net margin of 22.22%.The firm had revenue of $575.57 million for the quarter, compared to analyst estimates of $568.70 million. During the same quarter in the previous year, the firm earned $0.82 EPS. The business's quarterly revenue was up 15.2% on a year-over-year basis. As a group, research analysts forecast that RLI Corp. will post 2.88 EPS for the current year.

RLI Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Shareholders of record on Monday, August 31st will be paid a $0.18 dividend. The ex-dividend date is Monday, August 31st. This represents a $0.72 dividend on an annualized basis and a yield of 1.2%. RLI's dividend payout ratio (DPR) is currently 15.13%.

Wall Street Analysts Forecast Growth

RLI has been the topic of several recent research reports. UBS Group set a $74.00 target price on shares of RLI in a research note on Tuesday, July 28th. Weiss Ratings upgraded RLI from a "hold (c-)" rating to a "hold (c)" rating in a report on Friday, August 28th. Wells Fargo & Company lowered shares of RLI from an "equal weight" rating to an "underweight" rating and set a $57.00 price objective on the stock. in a report on Wednesday, July 29th. Jefferies Financial Group cut RLI from a "hold" rating to an "underperform" rating and set a $53.00 target price on the stock. in a research note on Tuesday, August 25th. Finally, Wall Street Zen raised shares of RLI from a "sell" rating to a "hold" rating in a research note on Saturday, August 1st. One equities research analyst has rated the stock with a Buy rating, four have assigned a Hold rating and two have assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Reduce" and an average price target of $63.20.

About RLI

RLI Corp. is a specialty property and casualty insurance company headquartered in Peoria, Illinois. Through its subsidiaries, the company underwrites a broad range of insurance products for commercial and personal customers, with an emphasis on specialized risks that may not be fully addressed by standard insurance carriers.

RLI's products include commercial property and casualty coverage, transportation and marine insurance, surety bonds, workers' compensation, professional liability, and personal umbrella insurance.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.