United Fire Group: Jones Trading raises Buy rating to $33 from $32.

United Fire Group: Jones Trading raises Buy rating to $33 from $32.

United Fire Group (NASDAQ: UFCS) received a positive update from Jones Trading, which raised its rating from a "buy" to a "strong-buy" and increased its price target from $32 to $33. The update comes after the company reported strong second-quarter earnings, with net written premium reaching a record $373 million and a 14% growth year-over-year [2].

The earnings call highlighted United Fire Group's strategic progress, including a 10% return on equity through the first half of the year and a significant improvement in the combined ratio, which improved by 9.2 points to 96.4%. The company's net investment income also rose by 20% from the prior year, supported by a robust fixed income portfolio [2].

Analysts praised the company's performance, with Jones Trading noting that United Fire Group's strong results were driven by improved retention, record new business production, and rate increases exceeding loss trends. The company's net income for the quarter was $0.87 per diluted share, with non-GAAP adjusted operating income of $0.90 per diluted share. Additionally, the company declared and paid a $0.16 per share cash dividend during the quarter [2].

United Fire Group's financial performance has been bolstered by institutional investors, with several large investors increasing their stakes in the company. Jane Street Group LLC, Focus Partners Wealth, Empowered Funds LLC, Royal Bank of Canada, and Millennium Management LLC all boosted their holdings in the first quarter [1].

The company's strong earnings and strategic progress have led to a positive outlook from Jones Trading, with the analyst firm expecting United Fire Group to continue its growth trajectory. The company's market capitalization stands at $682.06 million, with a price-to-earnings ratio of 10.59 and a beta of 0.53 [1].

References:
[1] https://www.marketbeat.com/instant-alerts/united-fire-group-nasdaqufcs-issues-earnings-results-2025-08-05/
[2] https://seekingalpha.com/news/4480928-united-fire-group-targets-consistent-profitable-growth-with-record-373m-net-premium-and