James River Group Holdings, Ltd. (NASDAQ:JRVR) Given Average Rating of "Reduce" by Brokerages

Key Points

• Analysts hold a cautious view: James River Group has a consensus “Reduce” rating, with one sell and six hold recommendations. The average 12-month price target is $6.44, versus a recent share price of $4.57.
• Recent quarterly results missed expectations: The insurer reported earnings of $0.12 per share, below the $0.27 consensus estimate, while revenue of $151.38 million also fell short of forecasts.
• Institutional ownership is high: Institutional investors own 95.21% of JRVR, with several funds adding or initiating positions. The company also pays a quarterly dividend of $0.01 per share, representing a 0.9% annualized yield.

Shares of James River Group Holdings, Ltd. (NASDAQ:JRVR - Get Free Report) have been given a consensus recommendation of "Reduce" by the seven ratings firms that are currently covering the firm, Marketbeat.com reports. One investment analyst has rated the stock with a sell recommendation and six have issued a hold recommendation on the company. The average 12 month target price among brokerages that have updated their coverage on the stock in the last year is $6.4375.

Several equities analysts recently commented on the stock. Weiss Ratings cut shares of James River Group from a "sell (d+)" rating to a "sell (d)" rating in a research note on Wednesday, May 20th. Wall Street Zen raised James River Group from a "sell" rating to a "hold" rating in a report on Sunday, June 14th. UBS Group lowered shares of James River Group from a "buy" rating to a "neutral" rating and reduced their price target for the company from $8.00 to $4.75 in a research report on Tuesday, May 19th. Zacks Research upgraded James River Group from a "strong sell" rating to a "hold" rating in a research report on Monday, July 6th. Finally, Citigroup cut James River Group from a "hold" rating to a "market perform" rating in a report on Tuesday, May 5th.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of JRVR. Bronte Capital Management Pty Ltd. purchased a new position in James River Group in the 4th quarter worth about $786,000. Enstar Group LTD acquired a new position in shares of James River Group during the 4th quarter worth about $16,477,000. Hillsdale Investment Management Inc. increased its stake in shares of James River Group by 45.5% during the 1st quarter. Hillsdale Investment Management Inc. now owns 448,860 shares of the insurance provider's stock worth $2,828,000 after purchasing an additional 140,400 shares in the last quarter. Donald Smith & CO. Inc. grew its holdings in James River Group by 434.9% during the 4th quarter. Donald Smith & CO. Inc. now owns 1,671,220 shares of the insurance provider's stock worth $10,629,000 after acquiring an additional 1,358,785 shares in the last quarter. Finally, Flax Pond Capital LLC acquired a new stake in James River Group in the fourth quarter worth $3,427,000. 95.21% of the stock is currently owned by institutional investors.

James River Group Stock Performance

James River Group stock traded down $0.16 during trading hours on Thursday, reaching $4.57. 6,294 shares of the stock were exchanged, compared to its average volume of 337,318. James River Group has a 52-week low of $3.76 and a 52-week high of $7.20. The stock has a market cap of $211.30 million, a P/E ratio of 13.44 and a beta of -0.19. The firm's 50 day moving average is $4.27 and its 200 day moving average is $5.53. The company has a debt-to-equity ratio of 0.44, a quick ratio of 0.64 and a current ratio of 0.64.

James River Group (NASDAQ:JRVR - Get Free Report) last issued its quarterly earnings results on Monday, May 4th. The insurance provider reported $0.12 earnings per share for the quarter, missing the consensus estimate of $0.27 by ($0.15). The business had revenue of $151.38 million during the quarter, compared to analyst estimates of $155.07 million. James River Group had a net margin of 4.34% and a return on equity of 10.79%. Analysts predict that James River Group will post 0.8 EPS for the current fiscal year.

James River Group Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Monday, June 8th were given a dividend of $0.01 per share. The ex-dividend date of this dividend was Monday, June 8th. This represents a $0.04 dividend on an annualized basis and a yield of 0.9%. James River Group's dividend payout ratio is currently 11.76%.

About James River Group

James River Group Holdings, Ltd., through its subsidiaries, underwrites property and casualty insurance products primarily in the program, wholesale broker and retail broker markets. The company focuses on specialty P&C lines, offering binding authority and delegated underwriting solutions for niche sectors including professional liability, environmental, real estate and other tailored commercial risks. Operating under the James River brand, it provides both admitted and non-admitted insurance across multiple states.

Founded in 2014 and headquartered in Richmond, Virginia, James River Group has expanded through a combination of organic growth and strategic acquisitions.

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