RLI Corp. $RLI Shares Acquired by Vanguard Group Inc.

Key Points

• Vanguard increased its stake in RLI by 3.4% in Q4 and now owns 9,448,929 shares — about 10.29% of the company, valued at approximately $604.5 million.
• RLI beat EPS estimates (Q: $0.83 vs. $0.73 est.) but its revenue of $423.9 million missed expectations, with a 4.0% YoY revenue gain, ROE of 17.72% and a net margin of 20.81%.
• The stock has a $4.74 billion market cap and a PE of 12.04, pays a $0.16 quarterly dividend (≈1.2% yield), and carries an average analyst rating of "Hold" with a $61.50 target price.

Vanguard Group Inc. grew its position in RLI Corp. (NYSE:RLI - Free Report) by 3.4% in the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission. The firm owned 9,448,929 shares of the insurance provider's stock after acquiring an additional 310,857 shares during the quarter. Vanguard Group Inc. owned about 10.29% of RLI worth $604,542,000 at the end of the most recent reporting period.

Other large investors have also modified their holdings of the company. Quent Capital LLC acquired a new stake in shares of RLI in the third quarter valued at approximately $26,000. Farther Finance Advisors LLC boosted its holdings in shares of RLI by 94.4% in the fourth quarter. Farther Finance Advisors LLC now owns 414 shares of the insurance provider's stock valued at $26,000 after acquiring an additional 201 shares during the period. Northwestern Mutual Wealth Management Co. boosted its holdings in shares of RLI by 156.4% in the third quarter. Northwestern Mutual Wealth Management Co. now owns 464 shares of the insurance provider's stock valued at $30,000 after acquiring an additional 283 shares during the period. MassMutual Private Wealth & Trust FSB boosted its holdings in shares of RLI by 72.1% in the fourth quarter. MassMutual Private Wealth & Trust FSB now owns 618 shares of the insurance provider's stock valued at $40,000 after acquiring an additional 259 shares during the period. Finally, AlphaQuest LLC acquired a new stake in shares of RLI in the third quarter valued at approximately $43,000. 77.89% of the stock is owned by institutional investors and hedge funds.

RLI Price Performance

RLI stock opened at $51.54 on Monday. RLI Corp. has a 12 month low of $50.63 and a 12 month high of $77.24. The business has a 50 day simple moving average of $58.57 and a 200-day simple moving average of $60.58. The stock has a market capitalization of $4.74 billion, a PE ratio of 12.04 and a beta of 0.42.

RLI (NYSE:RLI - Get Free Report) last released its quarterly earnings results on Wednesday, April 22nd. The insurance provider reported $0.83 EPS for the quarter, topping the consensus estimate of $0.73 by $0.10. RLI had a return on equity of 17.72% and a net margin of 20.81%.The business had revenue of $423.87 million during the quarter, compared to analysts' expectations of $564.47 million. During the same quarter in the prior year, the business earned $0.92 earnings per share. The company's quarterly revenue was up 4.0% compared to the same quarter last year. As a group, equities research analysts anticipate that RLI Corp. will post 2.71 EPS for the current year.

RLI Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Monday, March 16th. Stockholders of record on Monday, March 2nd were paid a dividend of $0.16 per share. This represents a $0.64 annualized dividend and a dividend yield of 1.2%. The ex-dividend date was Monday, March 2nd. RLI's dividend payout ratio is 14.95%.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on RLI. Wells Fargo & Company decreased their price objective on RLI from $59.00 to $55.00 and set an "equal weight" rating for the company in a report on Thursday, April 9th. Wall Street Zen downgraded RLI from a "hold" rating to a "sell" rating in a report on Saturday. Truist Financial set a $58.00 price objective on RLI in a report on Friday, January 23rd. Keefe, Bruyette & Woods raised RLI from a "moderate buy" rating to a "strong-buy" rating in a report on Tuesday, February 24th. Finally, Jefferies Financial Group upgraded RLI from an "underperform" rating to a "hold" rating and set a $52.00 price target for the company in a research note on Friday, January 23rd. One analyst has rated the stock with a Strong Buy rating and six have given a Hold rating to the company's stock. Based on data from MarketBeat.com, the company has an average rating of "Hold" and an average target price of $61.50.

RLI Company Profile

RLI Corporation NYSE: RLI is a specialty property and casualty insurance company focused on underwriting niche risks for businesses and individuals. Headquartered in Peoria, Illinois, the company operates through a network of independent agents and brokers, offering customized coverage solutions. RLI's approach emphasizes disciplined underwriting, targeted product development and strong customer service to maintain profitability and long-term growth.

Founded in 1965 as Replacement Lens, Inc, RLI initially provided insurance for contact lens manufacturers before shifting its focus to specialty insurance in the 1980s.

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