Investors seek growth stocks to capitalize on above-average growth in financials that help these securities grab the market's attention and produce exceptional returns. But finding a great growth stock is not easy at all.By their very nature, these stocks carry above-average risk and volatility. Moreover, if a company's growth story is over or nearing its end, betting on it could lead to significant loss.However, the task of finding cutting-edge growth stocks is made easy with the help of the Zacks Growth S ...

LA JOLLA, Calif., Jan. 02, 2025 (GLOBE NEWSWIRE) -- Palomar Holdings, Inc. (NASDAQ: PLMR) (“Palomar” or the “Company”) today announced the completion of the Company’s acquisition of First Indemnity of America Insurance Company (“FIA”), effective January 1, 2025. “I am very excited to announce the completion of our acquisition of FIA and to welcome FIA’s management team, employees and insureds to Palomar,” commented Mac Armstrong, Palomar’s Chairman and Chief Executive Officer. “This transaction provides us ...

Core Viewpoint - Palomar Holdings, Inc. (PLMR) has demonstrated significant stock performance, rallying 102.1% year to date, outperforming the industry and broader market indices [1][2]. Company Performance - PLMR shares closed at $112.17, close to its 52-week high of $112.47, indicating strong investor confidence and potential for further price appreciation [3]. - The company has consistently beaten earnings estimates over the last four quarters, with an average surprise of 14.90% [3]. - The Zacks Consensus Estimate for PLMR's 2024 earnings per share indicates a year-over-year increase of 30.3%, with revenues projected to grow by 44.2% to $537.83 million [6]. Growth Drivers - Key factors driving PLMR's stock performance include new business generation, strong premium retention rates, effective pricing strategies, and capital deployment [4]. - The company has a strong growth score of A, reflecting its favorable growth prospects [7]. - PLMR's return on equity (ROE) was 20.8% in the first nine months of 2024, significantly higher than the industry average of 7.6% [8]. Financial Health - PLMR maintains a debt-free balance sheet and expects to generate adjusted net income between $124 million and $128 million in 2024, despite anticipated catastrophe losses [12]. - The company has a combined ratio under 95% since 2017, indicating prudent underwriting practices [11]. Market Position - PLMR is trading above its 50-day and 200-day moving averages, suggesting solid upward momentum [5]. - The company is expected to benefit from increased policy volumes and strategic expansion in its product offerings [9]. Investment Outlook - High-quality fixed-income securities and a higher average balance of investments are expected to improve net investment income, which has seen a five-year CAGR of 49% [10].

Core Insights - The article emphasizes the importance of utilizing Zacks Premium services to enhance stock market investment strategies and confidence for both new and experienced investors [1][2] Zacks Style Scores - Zacks Style Scores are indicators designed to help investors select stocks with the highest potential to outperform the market within a 30-day timeframe, rated from A to F based on value, growth, and momentum [3] - The Value Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, and Price/Sales [4] - The Growth Score assesses a company's financial health and future outlook, analyzing projected and historical earnings, sales, and cash flow [5] - The Momentum Score identifies stocks with favorable price trends, utilizing short-term price changes and earnings estimate revisions [6] - The VGM Score combines all three Style Scores, providing a comprehensive indicator for investors seeking attractive value, growth, and momentum [7] Zacks Rank - The Zacks Rank is a proprietary stock-rating model that uses earnings estimate revisions to simplify portfolio building, with 1 (Strong Buy) stocks achieving an average annual return of +25.41% since 1988, significantly outperforming the S&P 500 [8][9] - Investors are encouraged to select stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B to maximize potential returns [11] Company Spotlight: Palomar Holdings, Inc. - Palomar Holdings, Inc., founded in 2014 and headquartered in La Jolla, CA, operates as an insurance holding company [14] - Currently rated 3 (Hold) on the Zacks Rank, Palomar has a VGM Score of B and a Growth Style Score of A, indicating a projected year-over-year earnings growth of 30.4% for the current fiscal year [15] - Recent analyst revisions have positively impacted earnings estimates, with the Zacks Consensus Estimate rising to $4.81 per share, alongside an average earnings surprise of 14.9% [15][16]

It has been about a month since the last earnings report for Palomar (PLMR) . Shares have added about 19.8% in that time frame, outperforming the S&P 500.Will the recent positive trend continue leading up to its next earnings release, or is Palomar due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important catalysts. Palomar Q3 Earnings, Revenues Top Estimates on Highe ...

Palomar Holdings, Inc. (PLMR) shares have rallied 86.8% year to date (YTD) compared with the industry's growth of 31.5%. The Finance sector and the Zacks S&P 500 composite have returned 21.3% and 23.4%, respectively, YTD. With a market capitalization of $2.74 billion, the average volume of shares traded in the last three months was 0.15 million.PLMR Outperforms Industry, Sector, S&P YTDImage Source: Zacks Investment ResearchShares of PLMR closed at $103.69 on Friday, near its 52-week high of $107.00. This p ...

Table of Contents Title of each class Trading Symbol(s) Name of each exchange on which registered Common Stock, par value $0.0001 per share PLMR The Nasdaq Stock Market LLC UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the tran ...

Financial Data and Key Metrics Changes - Adjusted net income for Q3 2024 was $32.4 million, or $1.23 per share, representing a 39% increase from $23.3 million, or $0.92 per share, in Q3 2023 [45] - Adjusted underwriting income increased to $31 million from $25 million year-over-year [46] - Adjusted combined ratio was 77.1% for Q3 2024, up from 70.9% in Q3 2023, while the adjusted return on equity was 21%, down from 22.3% [46][47] Business Line Data and Key Metrics Changes - Earthquake business gross written premium grew by 19%, with residential earthquake business showing strong new business growth and high policy retention [15] - Casualty premiums increased by 91% year-over-year, with standout classes like real estate errors and omissions growing by 40% [26] - Crop premiums reached $60 million in Q3, with year-to-date premiums exceeding $100 million compared to $12.1 million last year [33][35] Market Data and Key Metrics Changes - The company experienced a 32% increase in gross written premiums, totaling $415 million in Q3 2024 [48] - Hawaii Hurricane premiums grew by 74% in Q3, driven by a 23% rate increase approved in the previous quarter [23] - The attritional loss ratio for Q3 was 20.2%, reflecting strong performance in property lines despite elevated catastrophe losses [54][105] Company Strategy and Development Direction - The company aims to achieve strong premium growth across its portfolio, focusing on segments with the best risk-adjusted returns [9] - A strategic imperative includes navigating market dislocation and diversifying the business, supported by a $160 million equity issuance [10] - The company is committed to delivering consistent earnings and scaling the organization, with significant investments in talent acquisition [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining high teen growth rates for the earthquake business, despite competitive pressures [64] - The company anticipates a favorable trend in net earned premium ratios moving forward, expecting Q3 to be the low point [68] - Management highlighted the importance of diversifying into crop insurance as a stabilizing factor against property market volatility [78] Other Important Information - The company raised $160 million through equity issuance to strengthen its balance sheet and support growth initiatives [10] - The acquisition of FIA, a surety insurer, is expected to close in early 2025, with no financial contribution anticipated in Q4 2024 [41] - The company’s stockholder's equity reached $703.3 million, reflecting consistent profitable growth [59] Q&A Session Summary Question: Growth prospects for the earthquake business next year - Management feels positive about growth prospects, expecting 18% to 20% growth for 2024, with a balanced approach between residential and commercial segments [64] Question: Impact of mix of business versus pricing on earned premium ratio - The increase in the earned premium ratio is attributed to a combination of rate, mix, and strong performance in excess of loss placements [66][68] Question: Profitability of property businesses over time - The property portfolio has generally been profitable, with some underperformers being monitored and exposure reduced [77] Question: Crop business as a diversifier - The crop business is viewed as a strong diversifier, uncorrelated with property market cycles, and expected to contribute steadily to earnings [78][79] Question: Catastrophe losses and expected levels - Management expects catastrophe losses to stabilize around 3 to 4 points on the combined ratio, with adjustments made to reduce exposure [84] Question: Underwriting expense ratio expectations - The underwriting expense ratio is expected to stabilize in the mid-6% to 7% range as the business scales, with ongoing investments in talent [86][87]

Palomar Holdings, Inc.  (PLMR) reported third-quarter 2024 operating income of $1.23 per share, which beat the Zacks Consensus Estimate by 13.9%. The bottom line increased 33.7% year over year. Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Palomar witnessed higher premiums, improved adjusted underwriting income and higher yields on invested assets, partly offset by higher losses and loss adjustment expenses, as well as underwriting expenses. Palomar incurred higher-than-expected c ...

For the quarter ended September 2024, Palomar (PLMR) reported revenue of $145.77 million, up 57.9% over the same period last year. EPS came in at $1.23, compared to $0.92 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $134.72 million, representing a surprise of +8.20%. The company delivered an EPS surprise of +13.89%, with the consensus EPS estimate being $1.08.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and ho ...