RLI (NYSE:RLI) Given New $62.00 Price Target at Wells Fargo & Company

Key Points

• Wells Fargo raised its price target on RLI from $55 to $62 while keeping an equal weight rating. The new target suggests about 3.6% upside from the prior close.
• Analyst sentiment remains mixed overall: RLI has an average Hold rating and a consensus target price of $60.50. Recent updates included downgrades from Wall Street Zen and Weiss Ratings, while Keefe, Bruyette & Woods lifted its target to $70 and kept an outperform rating.
• RLI shares were down 1.4% to $59.85 in Thursday trading, and the company reported quarterly EPS of $0.83, topping estimates of $0.73. Insiders have also been buying shares, including the COO and a director, while institutional investors own nearly 78% of the stock.

RLI (NYSE:RLI - Get Free Report) had its price target lifted by equities researchers at Wells Fargo & Company from $55.00 to $62.00 in a report issued on Thursday,Benzinga reports. The brokerage currently has an "equal weight" rating on the insurance provider's stock. Wells Fargo & Company's price objective points to a potential upside of 3.58% from the stock's previous close.

Several other research analysts have also recently weighed in on the company. Wall Street Zen cut RLI from a "hold" rating to a "sell" rating in a research note on Saturday, May 2nd. Weiss Ratings cut shares of RLI from a "hold (c-)" rating to a "sell (d+)" rating in a research report on Friday, May 22nd. Zacks Research raised shares of RLI from a "strong sell" rating to a "hold" rating in a report on Thursday, April 2nd. Finally, Keefe, Bruyette & Woods raised their price objective on shares of RLI from $67.00 to $70.00 and gave the company an "outperform" rating in a research report on Wednesday. One analyst has rated the stock with a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, RLI currently has an average rating of "Hold" and a consensus target price of $60.50.

RLI Trading Down 1.4%

NYSE:RLI traded down $0.84 during midday trading on Thursday, hitting $59.85. 289,117 shares of the stock were exchanged, compared to its average volume of 860,607. The company has a market capitalization of $5.50 billion, a price-to-earnings ratio of 14.01 and a beta of 0.38. RLI has a one year low of $47.26 and a one year high of $71.17. The business has a 50-day moving average price of $53.40 and a two-hundred day moving average price of $57.71.

RLI (NYSE:RLI - Get Free Report) last issued its quarterly earnings results on Wednesday, April 22nd. The insurance provider reported $0.83 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.73 by $0.10. RLI had a return on equity of 17.72% and a net margin of 20.81%.The firm had revenue of $423.87 million during the quarter, compared to analyst estimates of $564.47 million. During the same period last year, the company posted $0.92 EPS. The firm's quarterly revenue was up 4.0% on a year-over-year basis. Sell-side analysts forecast that RLI will post 2.75 EPS for the current fiscal year.

Insider Buying and Selling

In related news, Director Clark C. Kellogg bought 3,000 shares of the business's stock in a transaction dated Monday, June 1st. The shares were bought at an average cost of $50.90 per share, with a total value of $152,700.00. Following the completion of the transaction, the director directly owned 4,502 shares of the company's stock, valued at approximately $229,151.80. This trade represents a 199.73% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Also, COO Jennifer L. Klobnak bought 2,000 shares of RLI stock in a transaction dated Tuesday, May 19th. The shares were bought at an average cost of $53.42 per share, with a total value of $106,840.00. Following the completion of the acquisition, the chief operating officer owned 102,318 shares of the company's stock, valued at $5,465,827.56. The trade was a 1.99% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Over the last quarter, insiders have acquired 16,500 shares of company stock valued at $858,955. Insiders own 2.39% of the company's stock.

Institutional Trading of RLI

Several institutional investors and hedge funds have recently bought and sold shares of RLI. Farther Finance Advisors LLC boosted its holdings in shares of RLI by 94.4% in the fourth quarter. Farther Finance Advisors LLC now owns 414 shares of the insurance provider's stock worth $26,000 after buying an additional 201 shares during the period. Northwestern Mutual Wealth Management Co. raised its holdings in shares of RLI by 156.4% during the third quarter. Northwestern Mutual Wealth Management Co. now owns 464 shares of the insurance provider's stock valued at $30,000 after acquiring an additional 283 shares during the period. MassMutual Private Wealth & Trust FSB lifted its position 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 acquiring an additional 259 shares in the last quarter. Eagle Bay Advisors LLC purchased a new stake in shares of RLI in the 4th quarter valued at approximately $43,000. Finally, IFP Advisors Inc lifted its position in shares of RLI by 85.9% in the 4th quarter. IFP Advisors Inc now owns 684 shares of the insurance provider's stock valued at $44,000 after acquiring an additional 316 shares in the last quarter. Institutional investors and hedge funds own 77.89% of the company's stock.

RLI Company 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.

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