RLI Corp. (NYSE:RLI) Sees Large Increase in Short Interest

RLI Corp. (NYSE:RLI) saw a large growth in short interest in the month of January. As of January 30th, there was short interest totaling 3,599,984 shares, a growth of 29.2% from the January 15th total of 2,785,912 shares. Currently, 4.0% of the shares of the company are short sold. Based on an average daily trading volume, of 1,180,642 shares, the days-to-cover ratio is presently 3.0 days. Based on an average daily trading volume, of 1,180,642 shares, the days-to-cover ratio is presently 3.0 days. Currently, 4.0% of the shares of the company are short sold.

RLI Trading Down 1.4%

Shares of RLI opened at $60.77 on Wednesday. The company has a debt-to-equity ratio of 0.05, a current ratio of 0.32 and a quick ratio of 0.35. RLI has a 1-year low of $55.80 and a 1-year high of $81.79. The stock has a market cap of $5.58 billion, a price-to-earnings ratio of 13.94 and a beta of 0.53. The firm has a 50 day simple moving average of $61.64 and a 200-day simple moving average of $63.33.

RLI (NYSE:RLI) last announced its earnings results on Wednesday, January 21st. The insurance provider reported $0.94 EPS for the quarter, beating analysts’ consensus estimates of $0.76 by $0.18. The firm had revenue of $465.69 million for the quarter, compared to analysts’ expectations of $447.53 million. RLI had a return on equity of 18.67% and a net margin of 21.43%.During the same quarter in the prior year, the firm earned $0.41 EPS. Equities analysts forecast that RLI will post 3.08 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Craig W. Kliethermes acquired 5,000 shares of RLI stock in a transaction that occurred on Friday, January 23rd. The stock was purchased at an average price of $57.45 per share, for a total transaction of $287,250.00. Following the completion of the transaction, the chief executive officer directly owned 143,990 shares in the company, valued at approximately $8,272,225.50. This trade represents a 3.60% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, COO Jennifer L. Klobnak acquired 2,000 shares of the stock in a transaction on Friday, January 23rd. The stock was acquired at an average cost of $57.99 per share, for a total transaction of $115,980.00. Following the acquisition, the chief operating officer directly owned 100,318 shares in the company, valued at $5,817,440.82. This represents a 2.03% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. 2.16% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in RLI. Allianz Asset Management GmbH boosted its stake in shares of RLI by 2.3% during the 2nd quarter. Allianz Asset Management GmbH now owns 7,104 shares of the insurance provider’s stock worth $513,000 after purchasing an additional 163 shares during the last quarter. Chatham Capital Group Inc. lifted its stake in shares of RLI by 0.7% during the fourth quarter. Chatham Capital Group Inc. now owns 26,460 shares of the insurance provider’s stock valued at $1,693,000 after buying an additional 180 shares during the period. Vista Finance LLC boosted its position in RLI by 4.0% during the second quarter. Vista Finance LLC now owns 4,655 shares of the insurance provider’s stock worth $336,000 after acquiring an additional 181 shares during the last quarter. Covestor Ltd boosted its position in RLI by 13.0% during the fourth quarter. Covestor Ltd now owns 1,590 shares of the insurance provider’s stock worth $102,000 after acquiring an additional 183 shares during the last quarter. Finally, Allworth Financial LP grew its stake in RLI by 5.3% in the 3rd quarter. Allworth Financial LP now owns 3,760 shares of the insurance provider’s stock worth $245,000 after acquiring an additional 189 shares during the period. Institutional investors and hedge funds own 77.89% of the company’s stock.

Wall Street Analyst Weigh In

RLI has been the subject of several recent analyst reports. Keefe, Bruyette & Woods reduced their price target on RLI from $85.00 to $81.00 and set an “outperform” rating for the company in a report on Tuesday, January 6th. Jefferies Financial Group raised RLI from an “underperform” rating to a “hold” rating and set a $52.00 target price for the company in a report on Friday, January 23rd. Wells Fargo & Company set a $59.00 target price on shares of RLI and gave the stock an “equal weight” rating in a research report on Friday, January 23rd. Truist Financial set a $58.00 price target on shares of RLI in a report on Friday, January 23rd. Finally, Zacks Research downgraded shares of RLI from a “hold” rating to a “strong sell” rating in a report on Monday, January 26th. One investment analyst has rated the stock with a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock has an average rating of “Hold” and an average price target of $65.20.

About RLI

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.