Palomar (NASDAQ:PLMR) Releases Earnings Results, Beats Expectations By $0.08 EPS

Key Points

• Palomar reported quarterly earnings of $1.57 per share, missing analysts' expectations of $1.68 by $0.11, with a net margin of 21.99% and a return on equity of 20.56%.
• Several analysts have upgraded their ratings for Palomar, with price targets ranging from $150 to $178, and the company currently holds an average rating of "Moderate Buy".
• Insider trading included significant stock sales by CFO T Christopher Uchida and CEO Mac Armstrong, indicating a combined decrease in ownership of their company stock by over 8%.

Palomar (NASDAQ:PLMR - Get Free Report) released its earnings results on Monday. The company reported $1.76 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.68 by $0.08, Briefing.com reports. The company had revenue of $496.29 million during the quarter, compared to analyst estimates of $173.86 million. Palomar had a return on equity of 20.56% and a net margin of 21.99%. The company's revenue for the quarter was up 47.6% on a year-over-year basis. During the same quarter in the prior year, the company earned $1.25 earnings per share.

Palomar Price Performance

Shares of Palomar stock opened at $131.53 on Tuesday. The firm has a market cap of $3.52 billion, a P/E ratio of 26.25 and a beta of 0.44. The firm has a 50 day simple moving average of $150.60 and a 200 day simple moving average of $139.62. Palomar has a fifty-two week low of $82.54 and a fifty-two week high of $175.85.

Analysts Set New Price Targets

A number of equities analysts have recently weighed in on the stock. Keefe, Bruyette & Woods dropped their price target on shares of Palomar from $205.00 to $204.00 and set an "outperform" rating on the stock in a research note on Monday, June 30th. Evercore ISI upped their price target on shares of Palomar from $163.00 to $168.00 and gave the stock an "in-line" rating in a research note on Friday, May 30th. Jefferies Financial Group upped their price target on shares of Palomar from $145.00 to $168.00 and gave the stock a "buy" rating in a research note on Friday, April 11th. Piper Sandler upped their price target on shares of Palomar from $171.00 to $177.00 and gave the stock an "overweight" rating in a research note on Friday, May 30th. Finally, Wall Street Zen downgraded shares of Palomar from a "buy" rating to a "hold" rating in a research report on Saturday, July 5th. Three research analysts have rated the stock with a hold rating and five have given a buy rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average target price of $174.17.

Insider Activity at Palomar

In other Palomar news, insider Timothy Carter sold 473 shares of Palomar stock in a transaction on Saturday, June 28th. The shares were sold at an average price of $153.65, for a total transaction of $72,676.45. Following the completion of the sale, the insider owned 361 shares of the company's stock, valued at approximately $55,467.65. The trade was a 56.71% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO Mac Armstrong sold 5,000 shares of Palomar stock in a transaction on Monday, July 21st. The stock was sold at an average price of $140.10, for a total transaction of $700,500.00. Following the sale, the chief executive officer directly owned 382,388 shares of the company's stock, valued at $53,572,558.80. This represents a 1.29% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 21,294 shares of company stock worth $3,208,102. 3.70% of the stock is currently owned by company insiders.

Institutional Trading of Palomar

A number of institutional investors have recently bought and sold shares of the business. Jane Street Group LLC acquired a new stake in Palomar during the 1st quarter worth $4,723,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in Palomar by 11.9% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 72,661 shares of the company's stock worth $9,960,000 after acquiring an additional 7,754 shares during the period. United Services Automobile Association bought a new position in shares of Palomar during the first quarter worth $223,000. NewEdge Advisors LLC bought a new position in shares of Palomar during the first quarter worth $66,000. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. boosted its position in shares of Palomar by 5.4% during the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 15,427 shares of the company's stock worth $2,115,000 after purchasing an additional 791 shares in the last quarter. Institutional investors and hedge funds own 90.25% of the company's stock.

About Palomar

Palomar Holdings, Inc, a specialty insurance company, provides property and casualty insurance to residential and businesses in the United States. The company offers personal and commercial specialty property insurance products, including residential and commercial earthquake, fronting, commercial all risk, specialty homeowners, inland marine, Hawaii hurricane, and residential flood, as well as other products, such as assumed reinsurance.