Selective Insurance Group (NASDAQ:SIGI) Trading Down 4.6% Following Weak Earnings

Shares of Selective Insurance Group, Inc. (NASDAQ:SIGI) fell 4.6% during trading on Tuesday following a weaker than expected earnings announcement. The company traded as low as $91.86 and last traded at $92.49. 315,265 shares changed hands during mid-day trading, a decline of 9% from the average session volume of 346,964 shares. The stock had previously closed at $96.97.

The insurance provider reported $1.40 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.69 by ($0.29). Selective Insurance Group had a return on equity of 8.75% and a net margin of 5.12%. The firm had revenue of $1.24 billion for the quarter, compared to the consensus estimate of $1.17 billion. During the same quarter last year, the business earned $1.51 earnings per share. The business’s revenue for the quarter was up 15.1% compared to the same quarter last year.

Selective Insurance Group Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, December 2nd. Shareholders of record on Friday, November 15th will be issued a $0.38 dividend. This represents a $1.52 dividend on an annualized basis and a yield of 1.65%. This is a boost from Selective Insurance Group’s previous quarterly dividend of $0.35. Selective Insurance Group’s dividend payout ratio (DPR) is currently 38.25%.

Analyst Upgrades and Downgrades

A number of research analysts recently commented on the company. BMO Capital Markets upped their price objective on Selective Insurance Group from $92.00 to $95.00 and gave the stock a “market perform” rating in a research note on Wednesday, July 24th. JMP Securities reiterated a “market perform” rating on shares of Selective Insurance Group in a research report on Tuesday, July 23rd. Royal Bank of Canada cut their price objective on shares of Selective Insurance Group from $103.00 to $96.00 and set a “sector perform” rating on the stock in a research note on Monday, July 22nd. Piper Sandler decreased their target price on shares of Selective Insurance Group from $104.00 to $85.00 and set a “neutral” rating for the company in a research report on Monday, July 22nd. Finally, Bank of America boosted their price target on shares of Selective Insurance Group from $89.00 to $96.00 and gave the stock an “underperform” rating in a research report on Thursday, October 10th. One research analyst has rated the stock with a sell rating, four have issued a hold rating and two have issued a buy rating to the company’s stock. Based on data from MarketBeat, Selective Insurance Group presently has a consensus rating of “Hold” and an average target price of $98.50.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of SIGI. Berry Wealth Group LP purchased a new stake in shares of Selective Insurance Group during the third quarter valued at $205,000. Allspring Global Investments Holdings LLC raised its holdings in shares of Selective Insurance Group by 1.9% during the third quarter. Allspring Global Investments Holdings LLC now owns 15,166 shares of the insurance provider’s stock valued at $1,415,000 after acquiring an additional 277 shares during the period. Raymond James & Associates lifted its position in shares of Selective Insurance Group by 10.9% in the 3rd quarter. Raymond James & Associates now owns 118,944 shares of the insurance provider’s stock valued at $11,097,000 after acquiring an additional 11,713 shares in the last quarter. V Square Quantitative Management LLC acquired a new position in Selective Insurance Group in the 3rd quarter worth approximately $27,000. Finally, nVerses Capital LLC grew its position in Selective Insurance Group by 20.0% during the 3rd quarter. nVerses Capital LLC now owns 3,000 shares of the insurance provider’s stock worth $280,000 after purchasing an additional 500 shares in the last quarter. Institutional investors own 82.88% of the company’s stock.

Selective Insurance Group Price Performance

The company has a market cap of $5.59 billion, a PE ratio of 25.10, a price-to-earnings-growth ratio of 1.62 and a beta of 0.56. The stock has a fifty day moving average price of $91.39 and a 200-day moving average price of $93.75. The company has a debt-to-equity ratio of 0.19, a current ratio of 0.32 and a quick ratio of 0.32.

Selective Insurance Group Company Profile

Selective Insurance Group, Inc, together with its subsidiaries, provides insurance products and services in the United States. The company operates through four segments: Standard Commercial Lines, Standard Personal Lines, E&S Lines, and Investments. It offers casualty insurance products that covers the financial consequences of employee injuries in the course of employment and bodily injury and/or property damage to a third party; property insurance products, which covers the accidental loss of an insured's real property, personal property, and/or earnings due to the property's loss; and flood insurance products.