How did RLI's Q1 2025 EPS forecast compare to past trends?
4/5/2025 04:17pm
**RLI's Q1 2025 EPS forecast is below the company's historical average.** Here's how it compares:
1. **Current Forecast**: Zacks Research predicts an EPS of $0.91 for Q1 2025, which is slightly below the consensus estimate of $0.92.
2. **Historical Perspective**: RLI has demonstrated an average annual EPS growth rate of approximately 21% over the past five years. This historical growth rate is significantly higher than the projected Q1 2025 EPS of $0.91.
3. **Recent Performance**: RLI's Q4 2024 earnings fell short of expectations, with an EPS of $0.41, missing the forecast by 59.8%. This recent underperformance suggests that the company may be facing challenges in the near term.
4. **Analyst Ratings**: Several analysts have lowered their ratings or price targets for RLI, indicating a more cautious outlook. This could reflect broader market concerns or specific company factors influencing the forecast.
5. **Institutional Activity**: Institutional investors have shown mixed actions, with some selling (Royce & Associates LP reducing its holdings) and others adding to their stakes (Brown Brothers Harriman & Co. and Versant Capital Management Inc. increasing their holdings). This mixed activity suggests that institutional investors are divided in their views on RLI's short-term prospects.
In conclusion, RLI's Q1 2025 EPS forecast is below the company's historical average and recent performance indicates challenges. The mixed analyst ratings and institutional actions reflect a complex landscape with differing opinions on the company's short-term outlook.