Ryan Specialty (NYSE:RYAN) Shares Gap Down Following Analyst Downgrade

Key Points

• Ryan Specialty's stock fell after JPMorgan Chase downgraded its price target from $64.00 to $63.00, opening at $56.54 after a previous close of $58.29.
• Despite the downgrade, Ryan Specialty received a mixture of ratings from analysts, with UBS lowering its target to $75.00 but maintaining a "buy" rating, while Cantor Fitzgerald upgraded to "hold."
• Company Chairman Patrick G. Ryan purchased over 276,000 shares at an average price of $51.84, increasing his ownership stake and demonstrating confidence in the company's prospects.

Ryan Specialty Holdings Inc. (NYSE:RYAN - Get Free Report)'s share price gapped down before the market opened on Thursday after JPMorgan Chase & Co. lowered their price target on the stock from $64.00 to $63.00. The stock had previously closed at $58.29, but opened at $56.54. JPMorgan Chase & Co. currently has an underweight rating on the stock. Ryan Specialty shares last traded at $56.65, with a volume of 249,863 shares.

Several other research analysts have also recently commented on RYAN. UBS Group reduced their price target on Ryan Specialty from $80.00 to $75.00 and set a "buy" rating for the company in a research report on Wednesday. Cantor Fitzgerald upgraded Ryan Specialty to a "hold" rating in a research note on Wednesday, August 13th. Barclays restated an "overweight" rating and issued a $70.00 price objective on shares of Ryan Specialty in a research note on Wednesday. Wolfe Research upgraded Ryan Specialty to a "strong-buy" rating in a research note on Tuesday, September 16th. Finally, Citigroup initiated coverage on Ryan Specialty in a research note on Wednesday, August 13th. They issued a "buy" rating and a $74.00 price objective on the stock. One equities research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, Ryan Specialty has a consensus rating of "Moderate Buy" and a consensus price target of $72.08.

Insider Buying and Selling at Ryan Specialty

In other news, Chairman Patrick G. Ryan bought 276,634 shares of the stock in a transaction dated Friday, September 12th. The shares were bought at an average price of $51.84 per share, for a total transaction of $14,340,706.56. Following the completion of the purchase, the chairman owned 13,699,959 shares in the company, valued at approximately $710,205,874.56. This trade represents a 2.06% increase in their ownership of the stock. The acquisition was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Company insiders own 52.21% of the company's stock.

Hedge Funds Weigh In On Ryan Specialty

Hedge funds have recently added to or reduced their stakes in the stock. GAMMA Investing LLC increased its stake in Ryan Specialty by 21.8% during the 1st quarter. GAMMA Investing LLC now owns 2,101 shares of the company's stock worth $155,000 after acquiring an additional 376 shares during the period. Hsbc Holdings PLC boosted its holdings in shares of Ryan Specialty by 14.4% during the 1st quarter. Hsbc Holdings PLC now owns 4,182 shares of the company's stock valued at $309,000 after acquiring an additional 528 shares in the last quarter. Wealth Enhancement Advisory Services LLC boosted its holdings in shares of Ryan Specialty by 3.9% during the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 12,215 shares of the company's stock valued at $902,000 after acquiring an additional 460 shares in the last quarter. Connor Clark & Lunn Investment Management Ltd. acquired a new stake in shares of Ryan Specialty during the 1st quarter valued at $467,000. Finally, Wealth Alliance LLC acquired a new stake in shares of Ryan Specialty during the 1st quarter valued at $303,000. Institutional investors own 84.82% of the company's stock.

Ryan Specialty Stock Performance

The company has a debt-to-equity ratio of 2.88, a quick ratio of 1.01 and a current ratio of 1.01. The company has a market cap of $14.80 billion, a price-to-earnings ratio of 160.75, a P/E/G ratio of 1.62 and a beta of 0.63. The company has a fifty day moving average of $56.44 and a two-hundred day moving average of $64.25.

Ryan Specialty (NYSE:RYAN - Get Free Report) last announced its earnings results on Thursday, July 31st. The company reported $0.66 EPS for the quarter, hitting the consensus estimate of $0.66. The firm had revenue of $855.17 million for the quarter, compared to the consensus estimate of $837.52 million. Ryan Specialty had a return on equity of 48.70% and a net margin of 6.81%.The business's quarterly revenue was up 23.0% compared to the same quarter last year. During the same period in the previous year, the business earned $0.58 EPS. Equities research analysts anticipate that Ryan Specialty Holdings Inc. will post 2.29 EPS for the current year.

Ryan Specialty Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Tuesday, August 26th. Shareholders of record on Tuesday, August 12th were issued a dividend of $0.12 per share. The ex-dividend date of this dividend was Tuesday, August 12th. This represents a $0.48 annualized dividend and a yield of 0.9%. Ryan Specialty's payout ratio is presently 137.14%.

About Ryan Specialty

Ryan Specialty Holdings, Inc operates as a service provider of specialty products and solutions for insurance brokers, agents, and carriers in the United States, Canada, the United Kingdom, Europe, and Singapore. It offers distribution, underwriting, product development, administration, and risk management services by acting as a wholesale broker and a managing underwriter.

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