United Fire Group (NASDAQ:UFCS) Releases Quarterly Earnings Results, Beats Expectations By $0.33 EPS

Key Points

• United Fire Group reported earnings of $0.90 per share for the quarter, significantly exceeding analysts' consensus estimate of $0.46.
• The company announced a quarterly dividend of $0.16 per share, representing a 2.4% yield and a payout ratio of 25.30%.
• Following recent performance, several analysts have upgraded United Fire Group from "buy" to "strong-buy", with price targets reaching up to $32.00.

United Fire Group (NASDAQ:UFCS - Get Free Report) announced its quarterly earnings results on Tuesday. The insurance provider reported $0.90 EPS for the quarter, beating the consensus estimate of $0.57 by $0.33, Zacks reports. United Fire Group had a return on equity of 12.02% and a net margin of 6.94%. The firm had revenue of $314.80 million for the quarter, compared to analyst estimates of $337.99 million.

United Fire Group Price Performance

United Fire Group stock traded down $0.47 during mid-day trading on Thursday, reaching $28.25. The company had a trading volume of 57,998 shares, compared to its average volume of 125,908. The company has a market capitalization of $718.96 million, a P/E ratio of 8.05 and a beta of 0.53. The company has a debt-to-equity ratio of 0.14, a current ratio of 0.34 and a quick ratio of 0.34. The stock's 50-day simple moving average is $27.85 and its 200-day simple moving average is $27.50. United Fire Group has a 1 year low of $18.04 and a 1 year high of $31.70.

United Fire Group Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Friday, June 20th. Stockholders of record on Friday, June 6th were issued a $0.16 dividend. This represents a $0.64 annualized dividend and a dividend yield of 2.3%. The ex-dividend date of this dividend was Friday, June 6th. United Fire Group's dividend payout ratio (DPR) is currently 25.30%.

Wall Street Analyst Weigh In

Several brokerages have commented on UFCS. Wall Street Zen upgraded shares of United Fire Group from a "buy" rating to a "strong-buy" rating in a research note on Thursday, May 15th. Jones Trading reissued a "buy" rating and set a $32.00 price target on shares of United Fire Group in a report on Monday, May 12th.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the company. Focus Partners Wealth purchased a new position in United Fire Group in the first quarter valued at about $818,000. Jane Street Group LLC raised its stake in United Fire Group by 143.5% during the 1st quarter. Jane Street Group LLC now owns 61,143 shares of the insurance provider's stock valued at $1,801,000 after acquiring an additional 36,035 shares in the last quarter. Empowered Funds LLC raised its position in shares of United Fire Group by 29.5% during the 1st quarter. Empowered Funds LLC now owns 96,663 shares of the insurance provider's stock worth $2,848,000 after buying an additional 21,999 shares in the last quarter. NewEdge Advisors LLC boosted its stake in United Fire Group by 17.7% during the first quarter. NewEdge Advisors LLC now owns 2,499 shares of the insurance provider's stock valued at $74,000 after buying an additional 375 shares in the last quarter. Finally, Millennium Management LLC grew its position in United Fire Group by 5.5% in the first quarter. Millennium Management LLC now owns 138,540 shares of the insurance provider's stock worth $4,081,000 after buying an additional 7,234 shares during the last quarter. Institutional investors and hedge funds own 62.68% of the company's stock.

United Fire Group Company Profile

United Fire Group, Inc, together with its subsidiaries, provides property and casualty insurance for individuals and businesses in the United States. The company offers commercial and personal lines of property and casualty insurance; and reinsurance coverage for property and casualty insurance. Its commercial lines include fire and allied lines, other liability, automobile, workers' compensation, fidelity and surety coverage, and other insurance products; and personal lines comprise automobile, and fire and allied lines coverage, including homeowners, as well as provides assumed reinsurance products.