RLI Corp. (RLI) came out with quarterly earnings of $0.94 per share, beating the Zacks Consensus Estimate of $0.76 per share. This compares to earnings of $0.41 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +24.01%. A quarter ago, it was expected that this specialty insurance company would post earnings of $0.62 per share when it actually produced earnings of $0.83, delivering a surprise of +33.87%.Over the last four quarter ...

PEORIA, ILLINOIS, January 21, 2026 – RLI Corp. (NYSE: RLI) – RLI Corp. reported fourth quarter 2025 net earnings of $91.2 million ($0.99 per share), compared to $40.9 million ($0.44 per share) for the fourth quarter of 2024. Operating earnings(1) for the fourth quarter of 2025 were $86.4 million ($0.94 per share), compared to $48.3 million ($0.52 per share) for the same period in 2024. | | | Fourth Quarter | Year to Date | | | --- | --- | --- | --- | --- | | Earnings Per Diluted Share | 2025 | 2024 | 2025 | ...

Group 1: Leadership Changes at RLI Corp. - Justin Doss has been appointed as vice president of personal lines underwriting at RLI Corp., where he will lead the underwriting and distribution strategy for the Personal Lines business [1] - Doss joined RLI in 2016 and has held various leadership roles, most recently as vice president of distribution and strategic partnerships, bringing over 25 years of experience in personal lines underwriting, sales, and agency operations [2] Group 2: Leadership Transition at The Jacobson Group - The Jacobson Group has appointed Corey Pinkham as CEO, transitioning current co-CEOs Gregory P. and Richard L. Jacobson to board leadership roles, with Greg Jacobson becoming chairman [3] - Pinkham has been with The Jacobson Group since 2023, overseeing search, staffing, and corporate functions, and will now guide the firm's growth strategy and long-term initiatives [4] - Greg and Rick Jacobson will continue to provide strategic oversight as board members, working closely with Pinkham and the senior leadership team to shape the firm's long-term direction [5]

Core Insights - RLI Corp. (RLI) shares have gained momentum, trading above the 50-day simple moving average (SMA), indicating a bullish trend [1][3][8] - The Zacks average price target for RLI is $69.25 per share, suggesting a potential upside of 7.3% from the last closing price [2] - RLI shares have underperformed over the past year, losing 21.6% compared to the industry's growth of 11% [4][20] Company Performance - RLI is a specialty property-casualty (P&C) underwriter focused on niche markets, with a strong local branch office network and a broad range of product offerings [4][13] - The company has a solid dividend track record, having paid dividends for 190 consecutive quarters and increased its regular dividend for 50 straight years, with a five-year compound annual growth rate of 8.8% [16] - RLI's combined ratio remains exemplary, reflecting strong underwriting profitability, and management is focused on enhancing performance by exiting underperforming products [15][20] Financial Metrics - RLI's price-to-book multiple is 3.14, significantly higher than the industry average of 1.52 and the median of 1.37, indicating that the stock is overvalued compared to peers [10][12] - The trailing 12-month return on equity for RLI is 16.5%, well above the industry average of 8%, while return on invested capital is 2.1%, below the industry average of 6.2% [17] - The Zacks Consensus Estimate for 2026 revenues indicates a 4.1% year-over-year increase, but earnings are expected to decrease by 10.4% year-over-year [18] Market Position - RLI's focus on product diversification and innovation supports solid business expansion, with sustained rate increases and an expanding distribution network [13] - Compared to peers W.R. Berkley Corporation (WRB) and Cincinnati Financial Corp. (CINF), which gained 20.9% and 14.9% respectively over the past year, RLI's performance has lagged [9][20] - Despite its high valuation, RLI is considered an attractive option for income-focused investors due to its impressive dividend history [16][21]

分组1 - Zacks Premium offers various tools for investors, including daily updates on Zacks Rank and Industry Rank, access to the Zacks 1 Rank List, Equity Research reports, and Premium stock screens to enhance investment confidence [1] - The Zacks Style Scores are complementary indicators that rate stocks based on value, growth, and momentum methodologies, helping investors identify stocks likely to outperform the market in the next 30 days [2][3] 分组2 - The Value Score focuses on identifying undervalued stocks using ratios like P/E, PEG, and Price/Sales, appealing to value investors [3] - The Growth Score assesses a company's future prospects by analyzing projected and historical earnings, sales, and cash flow, targeting growth investors [4] - The Momentum Score helps investors capitalize on price trends by evaluating short-term price changes and earnings estimate revisions [5] - The VGM Score combines the three Style Scores to identify stocks with attractive value, strong growth forecasts, and promising momentum, serving as a useful indicator alongside the Zacks Rank [6] 分组3 - The Zacks Rank is a proprietary stock-rating model that leverages earnings estimate revisions to assist investors in building successful portfolios, with 1 (Strong Buy) stocks achieving an average annual return of +23.81% since 1988, significantly outperforming the S&P 500 [7][8] - To optimize returns, investors should focus on stocks with a Zacks Rank of 1 or 2 that also have Style Scores of A or B, while stocks with a 3 (Hold) rank should also possess high Style Scores for potential upside [9][10] 分组4 - RLI Corp., a specialty property-casualty underwriter based in Peoria, IL, is rated 3 (Hold) on the Zacks Rank and has a VGM Score of B, indicating it may be a suitable option for growth investors [11] - RLI is projected to achieve year-over-year earnings growth of 16.7% for the current fiscal year, with recent upward revisions in earnings estimates and an average earnings surprise of +9%, making it a strong candidate for investors [12]

Core Insights - Zacks Premium offers various tools for investors to enhance their stock market strategies and confidence in investing [1] Zacks Style Scores - Zacks Style Scores are indicators designed to help investors select stocks likely to outperform the market in the next 30 days, rated from A to F based on value, growth, and momentum [2] Value Score - The Value Style Score focuses on identifying undervalued stocks using financial ratios such as P/E, PEG, Price/Sales, and Price/Cash Flow [3] Growth Score - The Growth Style Score assesses a company's financial health and future potential by analyzing projected and historical earnings, sales, and cash flow [4] Momentum Score - The Momentum Style Score helps investors capitalize on price trends by evaluating short-term price changes and monthly earnings estimate shifts [5] VGM Score - The VGM Score combines all three Style Scores, providing a comprehensive rating based on value, growth, and momentum [6] Zacks Rank - The Zacks Rank is a proprietary model that uses earnings estimate revisions to guide investors, with 1 (Strong Buy) stocks achieving an average annual return of +23.93% since 1988, significantly outperforming the S&P 500 [7][8] Stock Selection Strategy - To maximize returns, investors should target stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B, while also considering the direction of earnings estimate revisions [9][10] Company Spotlight: RLI Corp. - RLI Corp., a specialty property-casualty underwriter based in Peoria, IL, operates primarily through RLI Insurance Company and serves all 50 states and the District of Columbia [11] - Currently rated 3 (Hold) by Zacks, RLI has a VGM Score of A and a Momentum Style Score of A, with shares increasing by 5.1% over the past four weeks [12] - Recent upward revisions in earnings estimates for fiscal 2025 have raised the Zacks Consensus Estimate by $0.28 to $3.35 per share, with an average earnings surprise of +9% [12]

Core Insights - RLI Corp. has achieved the status of a Dividend King by raising its annual dividend for the 50th consecutive year, demonstrating resilience through economic challenges [1][2] - The company has a market capitalization of approximately $5.8 billion and has faced a 21% decline in stock price this year due to various industry pressures [3] Company Performance - Despite the stock decline, RLI has managed to grow its operating earnings in the first nine months of the year, maintaining a combined ratio of slightly over 85%, indicating underwriting profitability [4] - The company has a dividend yield of around 1% and a free cash flow yield of nearly 10%, suggesting potential for continued dividend growth in the future [6] Market Context - RLI operates in a competitive insurance market and is experiencing challenges from rising technology investments and increased claims due to more frequent natural disasters [3] - The stock's current price is $61.67, with a 52-week range between $55.94 and $84.40, reflecting volatility in the market [5][6]

Core Insights - Wealthedge Investment Advisors, LLC disclosed a new position in RLI, acquiring 50,952 shares valued at $3.32 million, representing 1.26% of the fund's reportable U.S. equity assets under management [2][3][4] Company Overview - RLI reported a total revenue of $1.83 billion and a net income of $353.02 million for the trailing twelve months (TTM) [5] - The company offers a diversified portfolio of property and casualty insurance products, including commercial and personal coverage, general and professional liability, and reinsurance [9] - RLI serves a broad client base, focusing on commercial insureds, contractors, professionals, and small to medium-sized enterprises [10] Investment Position - The new position in RLI ranks 25th out of 127 positions held by Wealthedge, placing it in the top 20% of the firm's holdings [11] - RLI shares were priced at $62.05 as of November 11, 2025, reflecting a 24.82% decline over the past year and underperforming the S&P 500 by 38.33 percentage points [4]

Core Insights - The FPA Queens Road Small Cap Value Fund reported a return of 7.46% in Q3 2025, underperforming the Russell 2000 Value Index which returned 12.60% during the same period [1] - For the first three quarters of 2025, the fund achieved a return of 13.77%, outperforming the index's return of 9.04% [1] - The fund's investment strategy emphasizes a disciplined and patient approach, expecting to perform better in down markets and lag in speculative markets [1] Company Overview: RLI Corp. - RLI Corp. (NYSE:RLI) is an insurance holding company with a one-month return of 7.17% but has seen a significant decline of 29.74% over the past 52 weeks [2] - As of November 24, 2025, RLI Corp.'s stock closed at $63.55 per share, with a market capitalization of $5.836 billion [2] - RLI Corp. specializes in property and casualty insurance, focusing on niche markets such as public and school buses and Hawaii homeowners [3] Financial Performance - RLI Corp. has maintained a strong financial performance, with an average combined ratio of 89.3% and a return on equity (ROE) of 16.6% from 2015 to 2024 [3] - The company is known for its selective underwriting and willingness to forgo unprofitable business, which contributes to its premium valuation, typically around 20 times this year's earnings [3] Hedge Fund Interest - RLI Corp. was held by 29 hedge fund portfolios at the end of Q2 2025, a decrease from 32 in the previous quarter [4] - While RLI Corp. is recognized for its investment potential, certain AI stocks are considered to offer greater upside potential with less downside risk [4]

Core Viewpoint - RLI Corp. has shown a positive performance in its stock price, increasing by approximately 4.2% since the last earnings report, outperforming the S&P 500 [1][2]. Financial Performance - RLI Corp. reported Q3 2025 operating earnings of 83 cents per share, exceeding the Zacks Consensus Estimate by 33.9% and reflecting a 27.7% increase from the prior-year quarter [3]. - Operating revenues for the quarter reached $449 million, a 5.3% year-over-year increase, driven by a 4.7% rise in net premiums earned and a 12.5% increase in net investment income [4]. - Gross premiums written totaled $562.3 million, up 0.5% year over year, although the Casualty segment's performance improvement was offset by declines in the Property and Surety segments [5]. - Total expenses decreased by 0.2% year over year to $353.6 million, primarily due to lower loss and settlement expenses, while underwriting income surged by 48.6% year over year to $60.5 million [6]. Financial Update - RLI exited the quarter with total investments and cash of $4.7 billion, a 14.8% increase from the end of 2024, and a book value of $20.41 per share, up 26% from December 31, 2024 [7]. - Net cash flow from operations was $179.2 million, down 18.3% year over year, while the statutory surplus increased by 5.6% to $1.9 billion as of September 30, 2025 [7]. Dividend Update - On September 19, 2025, RLI paid a dividend of 16 cents, an increase of 1 cent from the previous payout, with cumulative dividends exceeding $975 million over the last five years [8]. Market Outlook - There has been an upward trend in estimates revisions for RLI Corp., indicating a promising outlook [9][11]. - RLI Corp. holds a Zacks Rank 3 (Hold), suggesting an expectation of an in-line return from the stock in the upcoming months [11]. Industry Comparison - RLI Corp. is part of the Zacks Insurance - Property and Casualty industry, where another player, Progressive, has gained 1.5% over the past month, reporting revenues of $22.22 billion, a year-over-year increase of 14.3% [12].