RenaissanceRe (NYSE:RNR) Announces Quarterly Earnings Results, Beats Expectations By $1.22 EPS

Key Points

• RenaissanceRe beat quarterly expectations, reporting EPS of $12.92 versus the $11.70 consensus estimate, and revenue of $2.77 billion versus the expected $2.57 billion.
• The company posted strong profitability, with a 24.25% net margin and a 24.01% return on equity, while shares were down about 0.5% in Wednesday trading.
• RenaissanceRe also declared a quarterly dividend of $0.41 per share, equal to an annualized yield of roughly 0.5%.

RenaissanceRe (NYSE:RNR - Get Free Report) announced its quarterly earnings data on Wednesday. The insurance provider reported $12.92 earnings per share for the quarter, topping analysts' consensus estimates of $11.70 by $1.22, FiscalAI reports. RenaissanceRe had a net margin of 24.25% and a return on equity of 24.01%. The business had revenue of $2.77 billion for the quarter, compared to analysts' expectations of $2.57 billion.

RenaissanceRe Stock Down 0.5%

Shares of RenaissanceRe stock traded down $1.66 on Wednesday, reaching $319.52. The company's stock had a trading volume of 348,036 shares, compared to its average volume of 368,972. RenaissanceRe has a 52 week low of $231.17 and a 52 week high of $329.57. The firm's fifty day simple moving average is $303.24 and its two-hundred day simple moving average is $297.63. The company has a quick ratio of 1.37, a current ratio of 1.37 and a debt-to-equity ratio of 0.22. The company has a market capitalization of $13.62 billion, a price-to-earnings ratio of 5.33, a P/E/G ratio of 1.25 and a beta of 0.17.

RenaissanceRe Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Monday, June 15th were issued a $0.41 dividend. The ex-dividend date of this dividend was Monday, June 15th. This represents a $1.64 dividend on an annualized basis and a dividend yield of 0.5%. RenaissanceRe's dividend payout ratio (DPR) is presently 2.73%.

Institutional Investors Weigh In On RenaissanceRe

Several large investors have recently bought and sold shares of the business. Dimensional Fund Advisors LP lifted its stake in RenaissanceRe by 3.2% during the 4th quarter. Dimensional Fund Advisors LP now owns 1,033,009 shares of the insurance provider's stock valued at $290,450,000 after acquiring an additional 31,599 shares during the period. Bank of America Corp DE raised its holdings in shares of RenaissanceRe by 17.6% during the second quarter. Bank of America Corp DE now owns 803,547 shares of the insurance provider's stock valued at $195,182,000 after purchasing an additional 120,063 shares during the last quarter. Orbis Allan Gray Ltd bought a new position in RenaissanceRe during the fourth quarter valued at approximately $178,519,000. Invesco Ltd. lifted its position in RenaissanceRe by 6.2% during the third quarter. Invesco Ltd. now owns 618,974 shares of the insurance provider's stock valued at $157,176,000 after purchasing an additional 36,254 shares during the period. Finally, AQR Capital Management LLC boosted its holdings in RenaissanceRe by 36.5% in the fourth quarter. AQR Capital Management LLC now owns 541,923 shares of the insurance provider's stock worth $152,367,000 after purchasing an additional 144,896 shares during the last quarter. 99.97% of the stock is currently owned by institutional investors.

Analyst Upgrades and Downgrades

RNR has been the topic of several recent research reports. Keefe, Bruyette & Woods upped their price target on RenaissanceRe from $327.00 to $342.00 and gave the stock a "market perform" rating in a research note on Wednesday, July 8th. Weiss Ratings raised RenaissanceRe from a "buy (b)" rating to a "buy (b+)" rating in a report on Thursday, June 25th. Barclays increased their target price on RenaissanceRe from $328.00 to $341.00 and gave the stock an "equal weight" rating in a research note on Tuesday, July 7th. Evercore set a $320.00 price target on RenaissanceRe in a report on Friday, July 10th. Finally, Wall Street Zen lowered RenaissanceRe from a "buy" rating to a "hold" rating in a research report on Saturday, May 2nd. Five research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $333.87.

RenaissanceRe Company Profile

RenaissanceRe Holdings Ltd. is a global provider of reinsurance and insurance solutions, specializing in property catastrophe, casualty, and specialty lines. Established in 1993 and headquartered in Bermuda, the company trades on the New York Stock Exchange under the symbol RNR. With a focus on underwriting and risk assessment, RenaissanceRe offers tailored programs designed to help insurers and corporations manage exposure to natural disasters, liability claims, and other complex risks.

The company operates through two primary segments: Reinsurance and Insurance.

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