JonesTrading Forecasts Strong Price Appreciation for United Fire Group (NASDAQ:UFCS) Stock

Key Points

• JonesTrading raised its price target on United Fire Group from $40 to $45 and kept a "buy" rating, while Piper Sandler lifted its target to $57; the consensus is a Moderate Buy with an average target of $51.
• United Fire beat expectations for the quarter with EPS of $1.16 (vs. $0.87 est.) and revenue of $369.44M (vs. $340.16M), and shares jumped about 5.7% to $45.47; the stock trades at a PE of 9.2 with a $1.16B market cap.
• Insider selling occurred recently (12,750 shares sold, ~$493,723), though insiders still own 6.06% of the company and institutional investors hold 62.68%.

United Fire Group (NASDAQ:UFCS - Get Free Report) had its target price boosted by research analysts at JonesTrading from $40.00 to $45.00 in a research report issued on Thursday,Benzinga reports. The firm currently has a "buy" rating on the insurance provider's stock. JonesTrading's price target points to a potential downside of 1.03% from the stock's previous close.

A number of other research analysts have also recently commented on the stock. Piper Sandler raised their price target on shares of United Fire Group from $45.00 to $57.00 and gave the stock an "overweight" rating in a research note on Thursday. Wall Street Zen cut United Fire Group from a "buy" rating to a "hold" rating in a report on Saturday, March 7th. Three investment analysts have rated the stock with a Buy rating and one has given a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average price target of $51.00.

United Fire Group Stock Up 5.7%

Shares of UFCS traded up $2.46 during trading hours on Thursday, hitting $45.47. 31,463 shares of the company were exchanged, compared to its average volume of 113,514. The company has a debt-to-equity ratio of 0.16, a quick ratio of 0.33 and a current ratio of 0.33. The company has a market cap of $1.16 billion, a PE ratio of 9.20 and a beta of 0.50. The firm's 50 day moving average is $38.43 and its 200-day moving average is $36.63. United Fire Group has a 52 week low of $25.79 and a 52 week high of $45.82.

United Fire Group (NASDAQ:UFCS - Get Free Report) last posted its earnings results on Tuesday, May 5th. The insurance provider reported $1.16 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.87 by $0.29. The business had revenue of $369.44 million for the quarter, compared to analyst estimates of $340.16 million. United Fire Group had a net margin of 9.16% and a return on equity of 14.88%. On average, equities research analysts forecast that United Fire Group will post 3.65 EPS for the current fiscal year.

Insider Activity

In other news, Director Christopher R. Drahozal sold 4,250 shares of United Fire Group stock in a transaction on Wednesday, March 4th. The stock was sold at an average price of $38.49, for a total value of $163,582.50. Following the completion of the sale, the director directly owned 429,113 shares of the company's stock, valued at approximately $16,516,559.37. This trade represents a 0.98% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, major shareholder Dee Ann Mcintyre sold 4,250 shares of the business's stock in a transaction on Monday, March 2nd. The stock was sold at an average price of $38.84, for a total value of $165,070.00. Following the sale, the insider owned 437,613 shares of the company's stock, valued at approximately $16,996,888.92. The trade was a 0.96% decrease in their position. The SEC filing for this sale provides additional information. In the last quarter, insiders have sold 12,750 shares of company stock worth $493,723. 6.06% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On United Fire Group

Several hedge funds have recently added to or reduced their stakes in UFCS. Gallacher Capital Management LLC acquired a new stake in United Fire Group in the first quarter worth about $237,000. Allspring Global Investments Holdings LLC lifted its position in United Fire Group by 11.4% during the 1st quarter. Allspring Global Investments Holdings LLC now owns 21,573 shares of the insurance provider's stock valued at $792,000 after purchasing an additional 2,206 shares during the period. Hillsdale Investment Management Inc. lifted its position in United Fire Group by 5.0% during the 1st quarter. Hillsdale Investment Management Inc. now owns 211,768 shares of the insurance provider's stock valued at $7,848,000 after purchasing an additional 10,000 shares during the period. Principal Financial Group Inc. boosted its stake in shares of United Fire Group by 2.5% in the 1st quarter. Principal Financial Group Inc. now owns 132,046 shares of the insurance provider's stock valued at $4,894,000 after purchasing an additional 3,264 shares during the last quarter. Finally, Commonwealth of Pennsylvania Public School Empls Retrmt SYS acquired a new stake in shares of United Fire Group during the 1st quarter worth approximately $201,000. Institutional investors own 62.68% of the company's stock.

About United Fire Group

United Fire Group, Inc NASDAQ: UFCS is an insurance holding company based in Cedar Rapids, Iowa, that specializes in property and casualty coverage for commercial and personal lines. The company underwrites business through three primary segments: commercial, personal and specialty insurance. Within the commercial segment, United Fire Group offers tailored policies for small- and medium-sized enterprises, including general liability, commercial property and workers' compensation. Its personal lines cover homeowners, auto, farm and umbrella policies.

United Fire Group distributes its products primarily through a national network of independent insurance agents and brokers.

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