Universal Insurance (NYSE:UVE) Rating Increased to Strong-Buy at Wall Street Zen

Key Points

• Universal Insurance (NYSE:UVE) has been upgraded to a strong-buy rating by Wall Street Zen, indicating increased investor confidence.
• The company reported strong earnings, with an EPS of $1.23 surpassing estimates and revenue of $596.72 million, showcasing robust financial performance.
• Hedge funds and institutional investors hold a significant stake in Universal Insurance, with ownership at approximately 66.61%, reflecting strong institutional interest in the company.

Universal Insurance (NYSE:UVE - Get Free Report) was upgraded by Wall Street Zen from a "buy" rating to a "strong-buy" rating in a research report issued on Friday.

Separately, Weiss Ratings reaffirmed a "buy (b)" rating on shares of Universal Insurance in a report on Saturday, September 27th. One equities research analyst has rated the stock with a Buy rating, According to MarketBeat.com, the company has a consensus rating of "Buy".

Universal Insurance Stock Performance

Universal Insurance stock traded up $1.79 during midday trading on Friday, hitting $28.35. 255,579 shares of the company were exchanged, compared to its average volume of 163,435. The firm has a market capitalization of $802.84 million, a PE ratio of 12.38 and a beta of 0.79. Universal Insurance has a fifty-two week low of $16.50 and a fifty-two week high of $28.61. The business has a fifty day simple moving average of $24.67 and a two-hundred day simple moving average of $24.85. The company has a debt-to-equity ratio of 0.22, a quick ratio of 0.58 and a current ratio of 0.58.

Universal Insurance (NYSE:UVE - Get Free Report) last posted its earnings results on Thursday, July 24th. The insurance provider reported $1.23 EPS for the quarter, topping the consensus estimate of $1.09 by $0.14. The firm had revenue of $596.72 million for the quarter, compared to analyst estimates of $359.98 million. Universal Insurance had a return on equity of 15.37% and a net margin of 4.24%. On average, sell-side analysts forecast that Universal Insurance will post 1.66 earnings per share for the current year.

Insider Buying and Selling at Universal Insurance

In other news, Chairman Sean P. Downes sold 20,000 shares of the firm's stock in a transaction that occurred on Thursday, September 4th. The stock was sold at an average price of $25.35, for a total value of $507,000.00. Following the transaction, the chairman owned 1,303,512 shares in the company, valued at $33,044,029.20. This trade represents a 1.51% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 16.60% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Universal Insurance

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Donald Smith & CO. Inc. lifted its position in shares of Universal Insurance by 6.8% in the first quarter. Donald Smith & CO. Inc. now owns 1,836,718 shares of the insurance provider's stock valued at $43,530,000 after acquiring an additional 116,199 shares in the last quarter. Goldman Sachs Group Inc. lifted its position in shares of Universal Insurance by 9.4% in the first quarter. Goldman Sachs Group Inc. now owns 805,199 shares of the insurance provider's stock valued at $19,083,000 after acquiring an additional 69,289 shares in the last quarter. American Century Companies Inc. lifted its position in shares of Universal Insurance by 13.3% in the second quarter. American Century Companies Inc. now owns 757,747 shares of the insurance provider's stock valued at $21,012,000 after acquiring an additional 89,106 shares in the last quarter. Geode Capital Management LLC lifted its position in shares of Universal Insurance by 6.9% in the second quarter. Geode Capital Management LLC now owns 681,853 shares of the insurance provider's stock valued at $18,909,000 after acquiring an additional 44,168 shares in the last quarter. Finally, Arrowstreet Capital Limited Partnership lifted its position in shares of Universal Insurance by 43.9% in the second quarter. Arrowstreet Capital Limited Partnership now owns 454,496 shares of the insurance provider's stock valued at $12,603,000 after acquiring an additional 138,732 shares in the last quarter. Hedge funds and other institutional investors own 66.61% of the company's stock.

Universal Insurance Company Profile

Universal Insurance Holdings, Inc, together with its subsidiaries, operates as an integrated insurance holding company in the United States. It develops, markets, and underwrites insurance products for personal residential insurance, such as homeowners, renters/tenants, condo unit owners, and dwelling/fire; and offers allied lines, coverage for other structures, and personal property, liability, and personal articles coverages.

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