Van Berkom & Associates Inc. Grows Stock Position in RLI Corp. $RLI

Key Points

• Van Berkom & Associates increased its RLI stake by 3.2% in Q4 to 1,268,778 shares (about $81.18M), making RLI ~2.3% of the fund's portfolio and its 20th largest holding.
• RLI posted quarterly EPS of $0.83 (above the $0.73 estimate) but revenue missed at $423.87M versus $564.47M expected; the stock trades around $50.74 with a market cap of $4.67B and a P/E of 11.86.
• RLI pays a $0.16 quarterly dividend ($0.64 annualized, 1.3% yield) and the analyst consensus is a "Hold" with an average price target of $61.50.

Van Berkom & Associates Inc. raised its stake in shares of RLI Corp. (NYSE:RLI - Free Report) by 3.2% in the fourth quarter, according to its most recent 13F filing with the SEC. The fund owned 1,268,778 shares of the insurance provider's stock after buying an additional 39,129 shares during the period. RLI comprises about 2.3% of Van Berkom & Associates Inc.'s portfolio, making the stock its 20th largest holding. Van Berkom & Associates Inc. owned 1.38% of RLI worth $81,176,000 as of its most recent filing with the SEC.

Other institutional investors have also modified their holdings of the company. Quent Capital LLC purchased a new position in shares of RLI during the 3rd quarter valued at about $26,000. Farther Finance Advisors LLC increased its stake in shares of RLI by 94.4% in the 4th quarter. Farther Finance Advisors LLC now owns 414 shares of the insurance provider's stock valued at $26,000 after purchasing an additional 201 shares in the last quarter. Northwestern Mutual Wealth Management Co. increased its stake in shares of RLI by 156.4% in the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 464 shares of the insurance provider's stock valued at $30,000 after purchasing an additional 283 shares in the last quarter. MassMutual Private Wealth & Trust FSB increased its stake in shares of RLI by 72.1% in the 4th quarter. MassMutual Private Wealth & Trust FSB now owns 618 shares of the insurance provider's stock valued at $40,000 after purchasing an additional 259 shares in the last quarter. Finally, AlphaQuest LLC purchased a new position in shares of RLI in the 3rd quarter valued at about $43,000. Hedge funds and other institutional investors own 77.89% of the company's stock.

RLI Trading Down 1.5%

NYSE:RLI opened at $50.74 on Tuesday. RLI Corp. has a 12 month low of $50.61 and a 12 month high of $77.24. The stock has a 50 day moving average of $58.57 and a two-hundred day moving average of $60.58. The firm has a market cap of $4.67 billion, a P/E ratio of 11.86 and a beta of 0.42.

RLI (NYSE:RLI - Get Free Report) last posted its quarterly earnings data 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 company had revenue of $423.87 million during the quarter, compared to analyst estimates of $564.47 million. During the same period in the previous year, the business earned $0.92 EPS. RLI's quarterly revenue was up 4.0% on a year-over-year basis. On average, research analysts forecast that RLI Corp. will post 2.71 earnings per share for the current year.

RLI Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Monday, March 16th. Shareholders of record on Monday, March 2nd were paid a dividend of $0.16 per share. This represents a $0.64 annualized dividend and a yield of 1.3%. The ex-dividend date was Monday, March 2nd. RLI's payout ratio is 14.95%.

Analysts Set New Price Targets

Several brokerages recently weighed in on RLI. 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. Weiss Ratings restated a "hold (c-)" rating on shares of RLI in a research note on Thursday, April 2nd. Wells Fargo & Company cut their price target on RLI from $59.00 to $55.00 and set an "equal weight" rating for the company in a research note on Thursday, April 9th. Keefe, Bruyette & Woods upgraded RLI from a "moderate buy" rating to a "strong-buy" rating in a research note on Tuesday, February 24th. Finally, Zacks Research upgraded RLI from a "strong sell" rating to a "hold" rating in a research note on Thursday, April 2nd. One research analyst has rated the stock with a Strong Buy rating and six have given a Hold rating to the stock. According to MarketBeat.com, the stock has an average rating of "Hold" and an average target price of $61.50.

RLI 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.

Want to see what other hedge funds are holding RLI? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for RLI Corp. (NYSE:RLI - Free Report).

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.