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Group 1: Company Performance - Kinsale Capital Group, Inc. (KNSL) closed at $478.23, with a +1.46% movement, outperforming the S&P 500's 3.46% loss on the same day [1] - The company has gained 5.14% in the past month, while the Finance sector lost 4.33% and the S&P 500 lost 5.27% [1] - The upcoming earnings release on April 24, 2025, is expected to report EPS of $3.16, down 9.71% from the prior-year quarter, with revenue estimated at $424.62 million, a 13.9% increase year-over-year [2] Group 2: Earnings Estimates - For the full year, earnings are projected at $17.32 per share and revenue at $1.8 billion, reflecting changes of +7.85% and +13.24% respectively from the previous year [3] - Recent changes to analyst estimates indicate shifting dynamics in short-term business patterns, with positive revisions suggesting optimism about the company's outlook [3] Group 3: Valuation Metrics - Kinsale Capital Group, Inc. is currently trading with a Forward P/E ratio of 25.26, which is a premium compared to the industry average Forward P/E of 10.99 [6] - The company has a PEG ratio of 1.68, compared to the Insurance - Property and Casualty industry's average PEG ratio of 1.86 [7] Group 4: Industry Ranking - The Insurance - Property and Casualty industry is part of the Finance sector and holds a Zacks Industry Rank of 50, placing it in the top 21% of over 250 industries [7] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]

Kinsale Capital Group, Inc. (KNSL) has been trading above its 50-day simple moving average (SMA), signaling a short-term bullish trend. Its share price, as of March 27, 2025, was $486.75, down 8.4% from its 52-week high of $531.79.The 50-day SMA is a key indicator for traders and analysts to identify support and resistance levels. It is considered particularly important as this is the first marker of an uptrend or downtrend.With a market capitalization of $11.33 billion, the average volume of shares traded ...

Company Performance - Kinsale Capital Group, Inc. (KNSL) closed at $450.86, reflecting a -1.28% change from the previous session, underperforming the S&P 500's loss of 1.07% [1] - The company's shares gained 1.64% over the previous month, outperforming the Finance sector's loss of 3.42% and the S&P 500's loss of 7.03% [1] Upcoming Earnings - Kinsale Capital Group is expected to report an EPS of $3.17, indicating a 9.43% decline year-over-year, while revenue is projected to be $424.62 million, showing a 13.9% increase compared to the same quarter last year [2] - For the annual period, earnings are anticipated to be $17.34 per share and revenue is expected to reach $1.8 billion, representing increases of +7.97% and +13.28% respectively from the previous year [3] Analyst Projections - Recent shifts in analyst projections for Kinsale Capital Group should be monitored, as positive estimate revisions can indicate optimism about the company's business outlook [4] - The Zacks Rank system, which reflects estimate changes, currently ranks Kinsale Capital Group as 3 (Hold), with the consensus EPS estimate moving 2.94% lower over the past month [6] Valuation Metrics - Kinsale Capital Group has a Forward P/E ratio of 26.34, which is a premium compared to the industry average Forward P/E of 11.85 [7] - The company also has a PEG ratio of 1.76, aligning with the average PEG ratio of the Insurance - Property and Casualty industry [8] Industry Context - The Insurance - Property and Casualty industry is part of the Finance sector and currently holds a Zacks Industry Rank of 38, placing it in the top 16% of over 250 industries [9]

Core Viewpoint - Kinsale Capital Group is a unique specialty insurance company focusing on unusual situations and hard-to-assess risks, distinguishing itself from traditional insurance providers [1] Company Overview - Kinsale is the only publicly traded pure-play specialty insurance company, specializing in excess and surplus lines (E&S) insurance, which is known for its complexity and potential profitability [2] - The company has demonstrated exceptional profitability metrics, characterized by low loss and expense ratios, attributed to its proprietary technology platform [2] Performance Metrics - Since going public in 2016, Kinsale has consistently provided positive returns to shareholders, achieving over 30% revenue growth in the past 12 months and a total return exceeding 2,300% since its IPO, significantly outperforming the S&P 500 [3] - Kinsale is currently the 13th-largest E&S company, capturing approximately 1.4% of a $116 billion market, indicating substantial growth potential in a fragmented industry [4] Market Opportunity - The E&S insurance market presents a massive opportunity for Kinsale, with the potential for significant expansion if the company maintains its growth momentum [4] Current Stock Situation - Despite strong fundamentals and impressive revenue growth, Kinsale's stock has declined by 13% over the past three months, presenting a potential buying opportunity for investors [5]

Core Insights - The logistics sector has seen significant engagement from investors, particularly in the ASEAN and US markets, highlighting a trend towards diversification in investment portfolios [1] - The popularity of insurance companies in the Philippines since 2014 indicates a growing interest in financial products beyond traditional savings [1] - The entry into the US market has been facilitated by personal connections and the use of online platforms for trading, reflecting a shift in investment strategies [1] Investment Focus - The company has diversified investments across various industries, including banking, telecommunications, logistics, and hotels, indicating a broad approach to portfolio management [1] - There is a distinction between long-term holdings for retirement and short-term trades aimed at profit, showcasing a strategic investment approach [1] Market Trends - The rise of blue-chip companies in the Philippines has attracted initial investments, suggesting a trend towards established and stable companies for new investors [1] - The use of analytical tools and comparisons between different markets, such as the US and Philippine markets, demonstrates a methodical approach to investment analysis [1]

Core Insights - Kinsale Capital Group reported a 19.4% growth in operating earnings-per-share and a 12.2% increase in gross written premiums for Q4 2024 compared to Q4 2023 [1] Group 1: Business Model and Profitability - The company maintains a durable business model focused on small excess and surplus (E&S) accounts, which contributes to strong profitability [2] - Kinsale achieved a combined ratio of 73.4% and a full-year 2024 operating return on equity (ROE) of 29%, reflecting effective underwriting and claims handling processes [3] - Management is strategically reducing pricing in high-margin segments to drive growth while sustaining industry-leading profitability [4][5] Group 2: Product Expansion Strategy - Kinsale is expanding its product offerings, recently entering the agribusiness market with a new underwriting unit focused on farm and ranch opportunities [6][7] - The company has established 26 distinct underwriting divisions, allowing for incremental growth while maintaining underwriting discipline [7] Group 3: Future Outlook - Management expresses optimism about growth prospects despite increasing competition, highlighting a durable competitive advantage as a low-cost provider in the E&S market [8][9] - The company is investing in technology, automation, and data analytics to enhance profitability and growth, aiming to improve expense ratios and customer service [9]

Company Performance - Kinsale Capital Group, Inc. (KNSL) closed at $431.85, with a +0.88% change from the previous day, underperforming the S&P 500's gain of 1.59% [1] - The stock has decreased by 2.76% over the past month, compared to the Finance sector's loss of 0.53% and the S&P 500's loss of 2.42% [1] Earnings Estimates - The upcoming earnings release is expected to show an EPS of $3.13, reflecting a 10.57% decline year-over-year [2] - Revenue is projected at $424.62 million, which is a 13.9% increase from the same quarter last year [2] - For the entire fiscal year, earnings are estimated at $17.49 per share and revenue at $1.8 billion, indicating increases of +8.9% and +13.28% respectively from the prior year [3] Analyst Estimates and Rankings - Recent changes in analyst estimates are crucial as they reflect near-term business trends, with positive revisions indicating confidence in the company's performance [4] - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), currently ranks Kinsale Capital Group, Inc. at 3 (Hold) [6] - The Zacks Consensus EPS estimate has decreased by 3.62% in the past month [6] Valuation Metrics - Kinsale Capital Group, Inc. has a Forward P/E ratio of 24.48, which is significantly higher than the industry average of 11.09, indicating a premium valuation [7] - The company's PEG ratio stands at 1.63, compared to the industry average PEG ratio of 1.93 [8] Industry Context - The Insurance - Property and Casualty industry, part of the Finance sector, holds a Zacks Industry Rank of 44, placing it in the top 18% of over 250 industries [9] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [9]

Core Insights - Kinsale Capital (KNSL) shares have declined by 8.2% year to date, underperforming its industry, sector, and the Zacks S&P 500 composite [1] - The stock is trading significantly below its 52-week high and below the 50-day moving average, indicating a bearish trend [1] Financial Performance - Kinsale Capital has a market capitalization of $10 billion, with an average trading volume of 0.2 million shares over the last three months [5] - The Zacks Consensus Estimate for 2025 earnings is $17.49, reflecting an 8.9% year-over-year increase, with revenues projected to rise by 13.3% to $1.8 billion [6] - For 2026, the earnings estimate is $20.91, indicating a 19.6% year-over-year increase on 14.4% higher revenues of $2.1 billion [6] - The company has a Growth Score of B, with an expected long-term earnings growth rate of 15%, surpassing the industry average of 7.9% [6] Market Position and Strategy - Kinsale Capital is well-positioned in the excess and surplus (E&S) market in the U.S., benefiting from high retention rates from contract renewals [9] - The E&S market has shown significant growth and better underwriting results compared to the broader property and casualty (P&C) industry [9] - The company targets small to medium-sized accounts, aiming for low double-digit rate increases across its business [10] Operational Efficiency - Kinsale Capital has been improving its margins and maintaining lower loss ratios, targeting a combined ratio in the mid-80s range over the long term [10] - The company utilizes a proprietary technology platform to enhance its expense ratio and operational efficiency [11] - Free cash flow conversion has remained above 85% over recent quarters, indicating solid earnings [12] Return Metrics - The return on equity (ROE) for Kinsale Capital is 28%, significantly higher than the industry average of 7.6% [13] - The return on invested capital (ROIC) for the trailing 12 months is 24.1%, compared to the industry's 5.8% [14] Valuation and Analyst Outlook - KNSL shares are trading at a premium, with a price-to-book ratio of 6.72X, compared to the industry average of 1.65X [4] - The average price target from nine analysts is $477.78 per share, suggesting an 11.6% potential upside from the last closing price [15] Growth and Shareholder Returns - Kinsale Capital has a strong dividend history, with a seven-year compound annual growth rate (CAGR) of 12.1% from 2017 to 2024 [17] - The board of directors has authorized a share repurchase program of up to $100 million of common stock [17]

Financial Performance - Gross written premiums increased by 19.2% to $1.9 billion for the year ended December 31, 2024[19]. - Return on equity was 32.3% and combined ratio was 76.4% for the year ended December 31, 2024[19]. - Total gross written premiums for 2024 were $1,870.3 million, up from $1,568.8 million in 2023[26]. - For the year ended December 31, 2024, gross written premiums totaled $1,870.3 million, a 19.2% increase from $1,568.8 million in 2023[53]. - The average premium per policy written was $15,100 in 2024, increasing to $15,900 when excluding the personal insurance division[24]. - The percentage breakdown of gross written premiums was 67.4% casualty and 32.6% property in 2024[25]. - The largest brokers contributed significantly to gross written premiums, with RSG Specialty, LLC producing $366.4 million (19.6%), AmWINS Brokerage at $325.5 million (17.4%), and CRC Commercial Solutions at $213.9 million (11.4%) for 2024[51]. - The average commission paid to brokers in 2024 was 14.7% of gross written premiums, slightly lower than competitors[52]. Underwriting and Claims Management - The loss and loss adjustment expense ratio was 55.8% for the year ended December 31, 2024[28]. - The expense ratio was 20.6% for the year ended December 31, 2024, indicating effective expense management[30]. - The claims department consisted of approximately 90 professionals with an average of 9 years of experience, managing all claims in-house without third-party delegation[57]. - Kinsale Insurance's ability to accurately underwrite risks and set competitive yet profitable rates is critical; inaccuracies could adversely affect results of operations[174]. - The company must accurately and timely evaluate and pay claims, as failures could lead to regulatory actions and adversely affect its reputation[188]. Risk Management - The company focuses on catastrophe risk management, utilizing stochastic models to analyze severe loss risks, particularly from hurricanes, with a focus on 100-year and 250-year return periods[66]. - Reinsurance contracts are primarily used to limit exposure to large losses, with significant programs in place, including a commercial lines quota-share reinsurance treaty[69]. - The company maintained reserves for specific claims incurred and reported, as well as for claims incurred but not reported, continuously monitoring and adjusting reserves as necessary[64]. - The company faces significant uncertainty regarding claims frequency and severity, which could adversely affect growth and profitability[137]. - Severe weather conditions and catastrophes can lead to increased claims and reserves, adversely affecting liquidity and financial condition[153]. - Global climate change poses a risk to the company's financial results due to potential increases in severe weather and catastrophic events[155]. Investment Portfolio - The company's cash and invested assets totaled $4.1 billion at December 31, 2024, up from $3.1 billion at December 31, 2023[81]. - The fixed-maturity securities portfolio had a fair value of $3.5 billion, representing 86.9% of the total portfolio[81]. - Corporate bonds within the fixed-maturity securities had a fair value of $2.0 billion, with 52.5% in the industrials and other sector[86]. - The average credit quality of the fixed-maturity portfolio was rated "AA-" as of December 31, 2024[82]. - The company faces risks related to the performance of its investment portfolio, which is influenced by interest rates and market conditions[192]. - The company’s investment portfolio is subject to increased valuation uncertainties in illiquid markets, affecting the fair value of its securities[194]. Regulatory Environment - Kinsale Insurance operates on an excess and surplus lines basis in all 50 states, the District of Columbia, Puerto Rico, and the U.S. Virgin Islands, allowing for freedom of rate and form on most business[93]. - The company is regulated by insurance authorities in Arkansas, which requires annual financial statements and adherence to capital and surplus requirements[89]. - Kinsale Insurance must maintain compliance with state laws requiring diversification of investment portfolios and limits on certain investment categories[103]. - The company is subject to extensive regulation, which may limit its operational flexibility and impose additional compliance costs[201]. - The Arkansas Insurance Department requires annual reporting by Arkansas-domiciled insurers to confirm that the minimum amount of risk-based capital necessary for operations has been met[122]. Employee and Corporate Culture - Kinsale Insurance offers a comprehensive benefits package, including a company-matched 401(k) plan and educational assistance programs[132]. - The company emphasizes a performance-based culture with variable compensation tied to equity-based incentives for executives[126]. - Kinsale Insurance had 674 employees as of December 31, 2024, with 660 being full-time employees[125]. Market Conditions and Competition - The company faces increased risks in its E&S insurance operations due to changing market conditions and cyclical nature, which may adversely affect financial performance[166]. - Competition in the insurance industry is intense, with larger companies having greater resources and market recognition, which could hinder the company's competitive position[170]. - Economic downturns could result in fewer policy sales and increased claims, negatively impacting growth and profitability[157]. - The company underwrites a significant portion of its insurance in California, Florida, and Texas, making it vulnerable to economic downturns in these states[158]. Financial Stability and Capital Management - Kinsale Insurance has an "A" (Excellent) rating from A.M. Best, indicating strong financial stability and ability to meet policyholder obligations[87]. - As of December 31, 2024, Kinsale Insurance maintained risk-based capital levels significantly in excess of amounts that would require any corrective actions[122]. - The company may require additional capital in the future, which could be unavailable or only accessible on unfavorable terms[200]. - The maximum dividend distribution from Kinsale Insurance for 2025 without regulatory approval is $351.9 million[197]. - As of December 31, 2024, the company had outstanding borrowings of $184.1 million under two bank credit agreements, subject to financial covenants[199].