Ategrity Specialty (NYSE:ASIC) Posts Quarterly Earnings Results, Beats Estimates By $0.16 EPS

Ategrity Specialty (NYSE:ASIC) released its earnings results on Thursday. The company reported $0.51 earnings per share for the quarter, beating the consensus estimate of $0.35 by $0.16, FiscalAI reports. Ategrity Specialty had a net margin of 17.44% and a return on equity of 14.17%. The business had revenue of $123.34 million during the quarter, compared to analysts’ expectations of $111.45 million.

Here are the key takeaways from Ategrity Specialty’s conference call:

• Ategrity delivered a record quarter with gross written premiums up 30% YoY, net earned premiums +34%, adjusted net income of $25.4M, and a record 84.9% combined ratio.
• Underwriting discipline and scale drove operating leverage—submissions rose ~90% YoY, net written premiums increased 44%, and the expense ratio improved 6.1 points to 27.8%.
• Management says an AI roadmap (operationalized in back office) is being embedded into underwriting workflows in 2026 and is expected to lower expenses, but deployment remains phased and subject to testing and execution risk.
• The company announced a $50 million share repurchase program, which management cites as a use of excess capital after recent earnings and book value gains.
• Outlook calls for Q1 growth ~20 percentage points above the E&S market and a combined ratio just below 90%, with casualty targeted at 60–70% of mix (67% this quarter), which are forward-looking targets that depend on continued market conditions and execution.

Ategrity Specialty Trading Up 23.5%

Shares of ASIC opened at $21.61 on Friday. The stock has a market capitalization of $1.04 billion and a P/E ratio of 24.84. Ategrity Specialty has a 52 week low of $16.35 and a 52 week high of $25.30.

Institutional Investors Weigh In On Ategrity Specialty

A number of institutional investors have recently made changes to their positions in the company. New York State Common Retirement Fund bought a new position in shares of Ategrity Specialty during the fourth quarter worth approximately $27,000. Strs Ohio boosted its stake in Ategrity Specialty by 54.5% in the 4th quarter. Strs Ohio now owns 1,700 shares of the company’s stock valued at $36,000 after purchasing an additional 600 shares during the period. Police & Firemen s Retirement System of New Jersey acquired a new position in Ategrity Specialty in the 4th quarter valued at $41,000. State of Wyoming increased its position in Ategrity Specialty by 1,663.6% during the 4th quarter. State of Wyoming now owns 2,469 shares of the company’s stock worth $52,000 after buying an additional 2,329 shares during the period. Finally, State of Alaska Department of Revenue bought a new position in Ategrity Specialty during the 4th quarter worth $76,000.

Key Headlines Impacting Ategrity Specialty

Here are the key news stories impacting Ategrity Specialty this week:

• Positive Sentiment: Q4 results beat — ASIC reported $0.51 EPS vs. $0.35 consensus and revenue of $123.3M vs. $111.5M expected, with solid net margin and ROE metrics; the formal release and highlights provided detail the record quarter. BusinessWire Q4 Release
• Positive Sentiment: $50M share repurchase — The company launched a $50 million buyback, which reduces float and supports EPS; this is a clear capital-allocation positive that tends to lift shares. TipRanks Announcement
• Positive Sentiment: Strong near-term outlook — Management signaled Q1 growth roughly 20% above market and reiterated momentum after the record quarter, which supports revenue/earnings upside expectations. MSN Coverage
• Positive Sentiment: Analyst upgrade and higher target — Wells Fargo raised its price target to $27 and put an “overweight” rating on ASIC, signaling ~25% upside from recent levels and likely drawing more buy-side interest. Benzinga Report
• Neutral Sentiment: Call transcript & deeper detail — The earnings call transcript offers management color on underwriting performance and reserve development; useful for investors doing deeper due diligence but not new market-moving data beyond the results and buyback. Seeking Alpha Transcript

Analyst Upgrades and Downgrades

A number of research analysts have recently commented on the stock. Weiss Ratings began coverage on shares of Ategrity Specialty in a research report on Wednesday, January 14th. They issued a “sell (d)” rating for the company. Wells Fargo & Company raised their target price on shares of Ategrity Specialty from $25.00 to $27.00 and gave the company an “overweight” rating in a research note on Friday. Finally, Barclays boosted their price target on Ategrity Specialty from $25.00 to $26.00 and gave the stock an “overweight” rating in a research report on Friday. Two investment analysts have rated the stock with a Buy rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $26.50.

Ategrity Specialty Company Profile

We are a profitable and growing specialty insurance company dedicated to providing excess and surplus (“E&S”) products to small to medium-sized businesses (“SMBs”) across the United States. We have built a proprietary underwriting platform that combines sophisticated data analytics with automated and streamlined processes to efficiently serve our clients and deliver long-term value to our stockholders. The SMB market is characterized by large volumes of small-sized policies, and we believe our competitive edge lies in our ability to offer consistent, high-speed, and low-touch interactions that our distribution partners value.