Markel Q3 Adjusted EPS of $43.40 Crushes $27.41 Estimate
MKL is trading near its 52-week low of $1,704.17 (8.2% above the low).
Summary
Markel's Q3 adjusted earnings came in at $43.40 a share, far above the $27.41 mean estimate from six analysts and well ahead of last year's $32.44. Revenue slipped 0.5% to $3.92 billion but still beat the $3.76 billion consensus. The headline GAAP number is much weaker: reported EPS of $18.15 and net income of $259.26 million, dragged by investment losses, which is why adjusted operating income is the figure that matters here. This follows the 10-Q and the Enstar adverse development cover announced earlier tonight — the underwriting improvement and reserve deal are the story behind the operating beat. Note the stock is down 13.5% year to date even after an 8.5% gain this quarter, and the analyst consensus sits at hold with a $1,950 median target.
At the time of this announcement, MKL was trading at $1,844.76 on NYSE in the Finance sector, with a market capitalization of approximately $22.9B. The 52-week trading range was $1,704.17 to $2,207.59. This news item was assessed with positive market sentiment and an importance score of 7 out of 10. Source: Reuters.