Palomar (NASDAQ:PLMR) Trading Down 4.8% on Insider Selling

Palomar Holdings, Inc. (NASDAQ:PLMR) shares traded down 4.8% during trading on Friday following insider selling activity. The company traded as low as $122.12 and last traded at $121.7010. 13,934 shares changed hands during trading, a decline of 95% from the average session volume of 273,661 shares. The stock had previously closed at $127.84.

Specifically, insider Jonathan Knutzen sold 281 shares of Palomar stock in a transaction on Wednesday, February 18th. The shares were sold at an average price of $128.04, for a total value of $35,979.24. Following the completion of the sale, the insider directly owned 27,579 shares of the company’s stock, valued at approximately $3,531,215.16. The trade was a 1.01% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, President Jon Christianson sold 522 shares of the stock in a transaction dated Wednesday, February 18th. The stock was sold at an average price of $128.04, for a total transaction of $66,836.88. Following the transaction, the president directly owned 65,919 shares in the company, valued at $8,440,268.76. This trade represents a 0.79% decrease in their position. The SEC filing for this sale provides additional information. In other news, CFO T Christopher Uchida sold 783 shares of the firm’s stock in a transaction dated Wednesday, February 18th. The stock was sold at an average price of $128.04, for a total value of $100,255.32. Following the completion of the sale, the chief financial officer directly owned 14,752 shares in the company, valued at $1,888,846.08. This trade represents a 5.04% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link.

Analyst Upgrades and Downgrades

Several research analysts have issued reports on the company. Evercore began coverage on Palomar in a report on Monday, February 9th. They issued an “outperform” rating and a $150.00 price target on the stock. Wall Street Zen upgraded Palomar from a “hold” rating to a “buy” rating in a report on Saturday. JPMorgan Chase & Co. lifted their price target on shares of Palomar from $145.00 to $155.00 and gave the company an “overweight” rating in a research report on Wednesday, January 7th. Keefe, Bruyette & Woods upped their price objective on shares of Palomar from $170.00 to $171.00 and gave the stock an “outperform” rating in a report on Tuesday, January 6th. Finally, Weiss Ratings upgraded shares of Palomar from a “hold (c+)” rating to a “buy (b-)” rating in a report on Wednesday, January 14th. Seven research analysts have rated the stock with a Buy rating, Based on data from MarketBeat, Palomar presently has an average rating of “Buy” and a consensus price target of $162.17.

Key Headlines Impacting Palomar

Here are the key news stories impacting Palomar this week:

• Positive Sentiment: Quarterly beat: Palomar reported $2.24 EPS vs. $2.06 expected and reported revenue of ~$492.6M (up 62.7% YoY), showing solid margin and growth that support upside to earnings forecasts. Quarterly Results
• Positive Sentiment: Analyst upgrade momentum: Wall Street Zen upgraded PLMR to a “Buy” and several other firms (JPMorgan, Evercore, Keefe Bruyette & Woods, Weiss) recently raised ratings/targets, supporting a consensus target well above current levels and providing bullish catalyst. Wall Street Zen Upgrade
• Neutral Sentiment: High institutional ownership (~90%): heavy institutional concentration shrinks the effective float — that can amplify price moves when funds rotate but also means retail flows matter less. Ownership Details
• Neutral Sentiment: Technical setup: the shares are trading around and below the 50‑day (~$129.40) and near the 200‑day (~$123), reflecting short‑term weakness that may trigger selling until buyers step in. Technicals
• Negative Sentiment: Insider selling: multiple insiders sold shares on Feb. 18 — CFO T. Christopher Uchida (783 shares), President Jon Christianson (522 shares) and director Jonathan Knutzen (281 shares). While sizes are small relative to total holdings, clustered insider sales have likely contributed to investor caution today. Insider Selling

Palomar Price Performance

The firm’s fifty day moving average is $129.40 and its two-hundred day moving average is $123.17. The firm has a market capitalization of $3.20 billion, a PE ratio of 16.80 and a beta of 0.44.

Palomar (NASDAQ:PLMR) last posted its earnings results on Wednesday, February 11th. The company reported $2.24 EPS for the quarter, topping the consensus estimate of $2.06 by $0.18. Palomar had a net margin of 22.50% and a return on equity of 22.77%. The firm had revenue of $492.63 million for the quarter, compared to analysts’ expectations of $204.58 million. During the same quarter last year, the firm earned $1.52 EPS. The company’s quarterly revenue was up 62.7% compared to the same quarter last year. As a group, equities research analysts predict that Palomar Holdings, Inc. will post 5.99 EPS for the current fiscal year.

Institutional Trading of Palomar

A number of hedge funds have recently bought and sold shares of the business. Allworth Financial LP grew its stake in Palomar by 1,970.0% in the 2nd quarter. Allworth Financial LP now owns 207 shares of the company’s stock valued at $32,000 after purchasing an additional 197 shares during the period. Salomon & Ludwin LLC purchased a new position in shares of Palomar in the 3rd quarter worth about $25,000. Richardson Financial Services Inc. grew its position in Palomar by 210.0% during the third quarter. Richardson Financial Services Inc. now owns 217 shares of the company’s stock valued at $25,000 after buying an additional 147 shares during the period. Geneos Wealth Management Inc. purchased a new stake in Palomar during the fourth quarter worth about $32,000. Finally, Kestra Advisory Services LLC purchased a new stake in Palomar during the fourth quarter worth about $33,000. 90.25% of the stock is currently owned by institutional investors.

About Palomar

Palomar Holdings, Inc (NASDAQ: PLMR) is a specialty insurance holding company focused on providing medical stop-loss coverage and related administrative services to self-funded employer health plans in the United States. The firm operates through two primary business segments—Medical Stop-Loss and Specialty Program Management—to deliver tailored risk protection and comprehensive program administration.

In its Medical Stop-Loss segment, Palomar underwrites excess and aggregate stop-loss policies designed to shield self-insured employers from catastrophic medical claims that exceed pre-determined retention levels.