Intel stock spikes after report of possible US government stake
On Wednesday, TD Cowen updated its outlook on Kinsale Capital (NYSE:KNSL), increasing the price target from $440.00 to $478.00 while maintaining a Hold rating on the company’s stock. The adjustment follows a recent management meeting that reinforced confidence in Kinsale’s business strategy. The specialty insurer, currently valued at nearly $11 billion, trades at a P/E ratio of 26.89x, reflecting its premium positioning in the market. According to InvestingPro analysis, the stock is currently trading near its Fair Value.
During a dinner with investors in Richmond, Virginia, Kinsale Capital’s leadership, including CFO Bryan Petrucelli, Chief Underwriting Officer Stuart Winston, and Chief Actuary Salmaan Allibhai, showcased their strategic approach, technological advancements, and consistent execution. According to TD Cowen analyst Andrew Kilgerman, the management team’s presentation was impressive, highlighting the company’s strong strategic position. This confidence is supported by the company’s robust 22.79% revenue growth and an impressive InvestingPro Financial Health Score of 3.48, rated as "GREAT."
Kilgerman’s analysis supports the new price target, which applies a 24.6x price-to-earnings multiple to the expected 2026 earnings for Kinsale Capital. This valuation metric is derived from the average of 2025 price-to-earnings multiples for Kinsale’s specialty insurance peers. A premium has been incorporated into the multiple to reflect Kinsale’s potential for earnings per share (EPS) growth and its historical track record of underwriting performance.
The analyst from TD Cowen pointed out that while the company’s valuation leaves little room for error, the management’s consistent delivery on strategy and operational excellence underpins the rationale for the revised price target. Kinsale Capital’s focus on specialty insurance lines and its adept use of technology have been central to its success. InvestingPro data reveals several additional insights about the company’s performance, with over 10 exclusive ProTips available to subscribers, including details about dividend consistency and long-term returns.
The updated price target suggests a positive outlook for Kinsale Capital’s shares, indicating that the firm sees potential for the stock to grow in value. However, the Hold rating suggests that the firm advises investors to maintain their current position in the stock until further developments potentially warrant a change in rating. For a comprehensive analysis of Kinsale Capital’s valuation and growth prospects, investors can access the detailed Pro Research Report, available exclusively on InvestingPro, which covers over 1,400 US stocks with deep-dive analysis and actionable insights.
In other recent news, Kinsale Capital Group reported a significant earnings per share (EPS) beat for the first quarter of 2025, with an EPS of $3.83, surpassing the forecast of $3.22. Despite this positive earnings surprise, the company’s revenue fell short of expectations, recording $381.71 million against the projected $396.02 million. This revenue miss has raised concerns among investors about market competition and future growth prospects. Additionally, BMO Capital Markets maintained its Market Perform rating on Kinsale Capital, setting a price target of $429.00 while adjusting its growth estimates. The firm revised its 2025 growth estimate downward by 1% but raised its 2026 growth forecast by 7%, indicating a more positive outlook for the latter year. Kinsale Capital’s gross written premium increased by 8% year-over-year, highlighting strong demand for its insurance products, although challenges remain in its commercial property division. The company also maintained a low combined ratio of 82.1%, reflecting strong underwriting discipline. Looking ahead, Kinsale Capital anticipates continued modest share repurchases and prioritizes profitability over growth, with revenue forecasts for the upcoming quarters set at $445.22 million and $458.13 million, respectively.
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