RLI Q2 Net Earnings Surge 35% on Investment Income and Reserve Gains
RLI sits 25% above its 52-week low of $47.26.
Summary
RLI Corp. reported Q2 net earnings of $168 million, a 35% jump from last year, driven by a 17% increase in net investment income and $35.1 million in favorable prior-year reserve development. Operating earnings edged up just 1% to $76.9 million, while gross premiums written grew 3% led by casualty. This follows a Q1 that saw declining earnings and underwriting income, making the Q2 rebound notable. The stock trades at 22x forward earnings, above its three-month-ago multiple of 19x, and the median analyst price target of $58 sits below the recent close of $60.20. No guidance was provided.
At the time of this announcement, RLI was trading at $58.99 on NYSE in the Finance sector, with a market capitalization of approximately $5.4B. The 52-week trading range was $47.26 to $70.26. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Reuters.