Palisade Capital Management LP Takes Position in RLI Corp. $RLI

Palisade Capital Management LP purchased a new position in RLI Corp. (NYSE:RLI) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The firm purchased 231,092 shares of the insurance provider’s stock, valued at approximately $13,651,000.

Other institutional investors and hedge funds have also made changes to their positions in the company. Legal & General Group Plc acquired a new stake in RLI during the 2nd quarter worth about $7,055,000. The Manufacturers Life Insurance Company acquired a new stake in RLI during the second quarter worth about $3,725,000. Sanctuary Advisors LLC purchased a new position in RLI during the second quarter valued at approximately $1,199,000. Connor Clark & Lunn Investment Management Ltd. purchased a new position in RLI during the second quarter valued at approximately $7,765,000. Finally, Bank of Nova Scotia acquired a new position in RLI in the second quarter valued at approximately $426,000. 77.89% of the stock is currently owned by institutional investors and hedge funds.

RLI Stock Performance

Shares of NYSE RLI opened at $64.90 on Wednesday. The firm has a fifty day moving average of $60.99 and a 200 day moving average of $58.10. The firm has a market cap of $5.96 billion, a PE ratio of 13.63 and a beta of 0.38. RLI Corp. has a one year low of $47.26 and a one year high of $68.69.

RLI (NYSE:RLI) last posted its quarterly earnings data on Wednesday, July 22nd. The insurance provider reported $0.83 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.72 by $0.11. RLI had a net margin of 22.22% and a return on equity of 17.61%. The business had revenue of $575.57 million for the quarter, compared to the consensus estimate of $568.70 million. During the same period last year, the firm posted $0.82 earnings per share. The company’s revenue was up 15.2% compared to the same quarter last year. On average, equities analysts predict that RLI Corp. will post 2.88 EPS for the current fiscal year.

RLI Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Monday, August 31st will be given a dividend of $0.18 per share. This represents a $0.72 annualized dividend and a dividend yield of 1.1%. The ex-dividend date is Monday, August 31st. RLI’s dividend payout ratio is 15.13%.

Insider Transactions at RLI

In other news, Director David B. Duclos acquired 2,500 shares of the business’s stock in a transaction on Thursday, May 28th. The stock was bought at an average cost of $51.99 per share, for a total transaction of $129,975.00. Following the purchase, the director owned 9,780 shares in the company, valued at approximately $508,462.20. This represents a 34.34% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Clark C. Kellogg bought 3,000 shares of RLI stock in a transaction on Monday, June 1st. The shares were purchased at an average cost of $50.90 per share, with a total value of $152,700.00. Following the acquisition, the director directly owned 4,502 shares of the company’s stock, valued at approximately $229,151.80. The trade was a 199.73% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. Company insiders own 2.39% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research firms have commented on RLI. Weiss Ratings upgraded RLI from a “sell (d+)” rating to a “hold (c-)” rating in a research report on Wednesday, July 29th. Keefe, Bruyette & Woods reaffirmed an “outperform” rating and set a $74.00 target price (up from $70.00) on shares of RLI in a report on Tuesday, July 28th. Jefferies Financial Group downgraded shares of RLI from a “hold” rating to an “underperform” rating and set a $53.00 price target on the stock. in a report on Tuesday. Wall Street Zen upgraded shares of RLI from a “sell” rating to a “hold” rating in a research report on Saturday, August 1st. Finally, UBS Group set a $74.00 price target on shares of RLI in a research report on Tuesday, July 28th. One equities research analyst has rated the stock with a Buy rating, four have assigned a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the stock has a consensus rating of “Reduce” and a consensus target price of $63.20.

RLI Profile

RLI Corporation (NYSE:RLI) is a specialty property and casualty insurance company focused on underwriting niche risks for businesses and individuals. Headquartered in Peoria, Illinois, the company operates through a network of independent agents and brokers, offering customized coverage solutions. RLI’s approach emphasizes disciplined underwriting, targeted product development and strong customer service to maintain profitability and long-term growth.

Founded in 1965 as Replacement Lens, Inc, RLI initially provided insurance for contact lens manufacturers before shifting its focus to specialty insurance in the 1980s.