Keefe, Bruyette & Woods lowers Skyward Specialty Insurance stock price target

Published 07/08/2025, 16:54
Keefe, Bruyette & Woods lowers Skyward Specialty Insurance stock price target

Investing.com - Keefe, Bruyette & Woods lowered its price target on Skyward Specialty Insurance Group (NASDAQ:SKWD) stock to $63.00 from $69.00 on Thursday, while maintaining an Outperform rating.

The investment firm cited deteriorating investor sentiment toward the property and casualty insurance sector as the primary reason for the target reduction, despite raising earnings per share estimates for the company. According to InvestingPro analysis, the stock’s RSI indicates oversold conditions, potentially presenting an opportunity for investors. The company maintains strong fundamentals with a healthy current ratio of 1.67.

KBW increased its 2025 and 2026 EPS estimates to $3.70 and $4.30 respectively, up from previous forecasts of $3.60 and $4.20, while initiating a 2027 EPS estimate of $4.70.

The revised outlook follows Skyward’s second-quarter 2025 earnings report and reflects expectations for faster premium growth and lower core loss, catastrophe loss, and expense ratios, partially offset by slightly lower net investment income.

KBW expects Skyward’s strong and less-cyclical premium growth, solid overall reserve position, and low-volatility earnings to sustain an above-average valuation, potentially boosting shares over the next 12 months as earnings grow.

In other recent news, Skyward Specialty Insurance Group reported impressive financial results for the second quarter of 2025. The company achieved earnings per share of $0.89, which significantly exceeded the analyst forecast of $0.62. Revenue also surpassed expectations, coming in at $584.93 million compared to the anticipated $286.22 million. These strong financial results indicate robust performance in the quarter. Additionally, BMO Capital has adjusted its price target for Skyward Specialty Insurance Group, raising it to $52 from the previous $50, while maintaining a Market Perform rating. This adjustment reflects a 4% increase in the investment firm’s valuation of the company. These developments highlight positive momentum for Skyward Specialty Insurance Group in recent times.

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