TWFG (NASDAQ:TWFG) Shares Gap Down After Earnings Miss

Key Points

• TWFG, Inc. shares gapped down from $26.76 to $25.25 on Wednesday after reporting weaker than expected earnings, with EPS of $0.17 missing estimates.
• Analysts from UBS, JPMorgan, and Morgan Stanley have raised their price targets for TWFG, averaging $35.57, and the stock currently holds a Moderate Buy rating.
• Several institutional investors, including XTX Topco Ltd and Acadian Asset Management, have recently increased their stakes in TWFG, signaling growing confidence in the company.

TWFG, Inc. (NASDAQ:TWFG - Get Free Report)'s share price gapped down before the market opened on Wednesday following a weaker than expected earnings announcement. The stock had previously closed at $26.76, but opened at $25.25. TWFG shares last traded at $26.68, with a volume of 37,090 shares.

The company reported $0.17 earnings per share for the quarter, missing analysts' consensus estimates of $0.18 by ($0.01). TWFG had a return on equity of 9.60% and a net margin of 5.15%. The firm had revenue of $60.31 million for the quarter, compared to analyst estimates of $63.24 million.

Wall Street Analyst Weigh In

TWFG has been the topic of a number of recent research reports. UBS Group lifted their price objective on TWFG from $40.00 to $42.00 and gave the company a "buy" rating in a report on Wednesday, July 9th. JPMorgan Chase & Co. lifted their price objective on TWFG from $33.00 to $34.00 and gave the company a "neutral" rating in a report on Monday, May 19th. Finally, Morgan Stanley lifted their price objective on TWFG from $29.00 to $34.00 and gave the company an "equal weight" rating in a report on Monday, May 19th. Four research analysts have rated the stock with a hold rating and five have given a buy rating to the stock. According to data from MarketBeat, TWFG currently has an average rating of "Moderate Buy" and an average price target of $35.57.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of TWFG. XTX Topco Ltd bought a new position in TWFG in the 2nd quarter worth approximately $521,000. Acadian Asset Management LLC raised its position in TWFG by 5.2% in the 2nd quarter. Acadian Asset Management LLC now owns 71,738 shares of the company's stock worth $2,505,000 after purchasing an additional 3,527 shares during the last quarter. Envestnet Asset Management Inc. bought a new position in TWFG in the 2nd quarter worth approximately $342,000. TD Asset Management Inc raised its position in TWFG by 8.4% in the 2nd quarter. TD Asset Management Inc now owns 57,394 shares of the company's stock worth $2,009,000 after purchasing an additional 4,452 shares during the last quarter. Finally, Ascent Group LLC raised its position in TWFG by 10.6% in the 2nd quarter. Ascent Group LLC now owns 48,547 shares of the company's stock worth $1,699,000 after purchasing an additional 4,664 shares during the last quarter.

TWFG Stock Down 0.5%

The company has a debt-to-equity ratio of 0.01, a quick ratio of 124.50 and a current ratio of 124.50. The firm's 50-day moving average is $32.90 and its two-hundred day moving average is $31.94. The stock has a market cap of $1.49 billion and a P/E ratio of 2.48.

TWFG Company Profile

TWFG, Inc operates an independent distribution platform for personal and commercial insurance products in the United States. Its personal and commercial insurance products include auto, home, renters, life, health, motorcycle, umbrella, boat, recreational vehicle, flood, wind, event, luxury item, general liability, property, business auto, workers' compensation, business owner policy, and professional liability insurance products, as well as commercial bonds and group benefits.

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