Positive Earnings Estimate for Palomar Holdings Inc.

Palomar Holdings, Inc. (NASDAQ:PLMR) has received a favorable update regarding its earnings outlook from investment analysts at Zacks Research. In a report dated December 24th, analyst S. Sarkar raised the FY2026 earnings estimates for the company. The new projection estimates Palomar's earnings per share (EPS) at $6.64, an increase from the previous estimate of $6.55. In comparison, the consensus estimate for the current full-year earnings is $4.33 per share, suggesting positive expected growth.

In addition to Zacks Research, other financial analysts have also shown their support for Palomar. For instance, Keefe, Bruyette & Woods adjusted their price target on Palomar from $120.00 to $136.00 and categorized the stock with an "outperform" rating, as reported on December 6th. Meanwhile, Piper Sandler raised their target from $105.00 to $110.00, granting the stock an "overweight" rating on November 8th. JPMorgan Chase & Co. modified their price target for Palomar shares, increasing it from $93.00 to $100.00, while assigning a "neutral" rating on November 7th. Jefferies Financial Group also enhanced its price goal, moving it from $110.00 to $113.00 with a "buy" rating, noted on October 9th. Currently, market ratings indicate that three analysts maintain a hold rating for the stock, while four suggest a buy, leading to an overall consensus rating of "Moderate Buy" with a target price of approximately $111.67.

Current Stock Performance

As of Friday, December 27th, Palomar's stock traded at $104.39, representing a 0.8% decrease. The company holds a market capitalization of $2.76 billion and has a P/E ratio of 24.80, with a beta of 0.36. The share price has fluctuated throughout the year, with a 12-month low of $54.50 and a high of $112.90. Additionally, its fifty-day moving average is recorded at $102.81, while the 200-day moving average stands at $95.19.

Recent Earnings Highlights

On November 4th, Palomar announced its quarterly earnings results. The company reported an EPS of $1.23, surpassing the consensus estimate of $1.03 by a notable $0.20. Furthermore, the business noted a solid net margin of 21.55% and a return on equity of 19.65%. Total revenue for the quarter reached $148.50 million, exceeding the anticipated amount of $134.72 million. In a comparison to the previous year, Palomar reported an EPS of $0.80 during the same quarter.

Investor Activity

Recent trading activity reflects changes among institutional investors regarding Palomar stock. State Street Corp expanded its stake by 3.0% during the third quarter, now holding 1,097,702 shares valued at approximately $103.9 million. Meanwhile, Geode Capital Management LLC increased its holdings by 3.2%, now owning 600,092 shares valued at $56.82 million. Dimensional Fund Advisors LP also boosted its stake by 15.0%, owning 508,870 shares worth $41.30 million. Emerald Advisers LLC and Westfield Capital Management Co. LP also increased their positions by 1.9% and 24.5%, respectively. Currently, institutional investors hold about 90.25% of the company’s stock.

Insider Transactions

In related developments, CEO Mac Armstrong sold 7,000 shares on October 21st at an average price of $96.28, totaling approximately $673,960.00. Post-sale, he continues to own around 433,388 shares valued at nearly $41.73 million. This transaction indicates a 1.59% decline in his ownership. CFO T Christopher Uchida also sold 1,030 shares on October 15th, resulting in a value of $100,579.50. Following this sale, Uchida holds 17,543 shares valued at $1.71 million, reflecting a decrease in 5.55% of his ownership. Over the past three months, insiders sold 28,356 shares valued at a total of $2.86 million and currently own about 4.30% of the company's stock.

Company Overview

Palomar Holdings, Inc. is a specialty insurance provider focused on delivering property and casualty insurance solutions for both residential and commercial clients across the United States. The company offers a range of unique insurance products, including but not limited to personal and commercial specialty property insurance, residential and commercial earthquake insurance, and other specialized products.

Additional Insights

For interested stakeholders looking to track the stock, it’s essential to stay informed about market trends and future analyst updates that could influence Palomar's stock performance.

Palomar, Earnings, Estimates