PLMR

Make better investment decisions with Simply Wall St's easy, visual tools that give you a competitive edge. Palomar Holdings (PLMR) recently lifted its 2026 adjusted net income guidance following a robust first quarter. This move coincided with a 38% share price gain over the past month. See our latest analysis for Palomar Holdings. Beyond the past month’s move, Palomar Holdings shows mixed momentum, with a 30 day share price return of 30.98% and a year to date share price return of 7.82%, while the 1 year total shareholder return declined 2.2% but the 3 year total shareholder return is 148.31%. If Palomar’s recent jump has you thinking about what else is moving, it could be a good time to broaden your search with the 20 top founder-led companies Palomar Holdings now combines a larger earnings goal with a sharp share price surge, which is encouraging for anyone who likes the core business. The key issue is whether the current price already reflects that strength. Palomar Holdings last closed at $142.13, while the most followed narrative anchors fair value at $154.17. This frames the recent guidance lift in a different light. Read the complete narrative. Want to understand why this Palomar Holdings valuation leans higher than the market price? The narrative leans on compounding revenue, resilient margins, and a profit multiple usually reserved for faster growth stories. Curious which specific growth path and earnings profile need to play out for that fair value to hold up? The full narrative lays out the numbers behind that call. Result: Fair Value of $154.17 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, investors also need to weigh risks such as Palomar Holdings exposure to catastrophe heavy lines and its reliance on reinsurance terms that could later tighten and pressure margins. Find out about the key risks to this Palomar Holdings narrative. The SWS DCF model suggests Palomar Holdings is trading well below an estimate of future cash flow value, yet the share price tells a different story when P/E is used. At 19.1x earnings, Palomar trades well above the US Insurance industry at 12.4x and peers at 8.1x, and even above its own 14.8x fair ratio. That gap points to valuation risk that the cash flow model does not fully capture. This raises the question of which signal to place more weight on. For a clo...

The end of the earnings season is always a good time to take a step back and see who shined (and who didn’t). Let’s take a look at how property & casualty insurance stocks fared in Q1, starting with Palomar Holdings (NASDAQ:PLMR). Property & Casualty (P&C) insurers protect individuals and businesses against financial loss from damage to property or from legal liability. This is a cyclical industry, and the sector benefits when there is 'hard market', characterized by strong premium rate increases that outpace loss and cost inflation, resulting in robust underwriting margins. The opposite is true in a 'soft market'. Interest rates also matter, as they determine the yields earned on fixed-income portfolios. On the other hand, P&C insurers face a major secular headwind from the increasing frequency and severity of catastrophe losses due to climate change. Furthermore, the liability side of the business is pressured by 'social inflation'—the trend of rising litigation costs and larger jury awards. The 32 property & casualty insurance stocks we track reported a mixed Q1. As a group, revenues beat analysts’ consensus estimates by 1.9%. In light of this news, share prices of the companies have held steady as they are up 3.2% on average since the latest earnings results. Founded in 2013 to fill gaps in catastrophe insurance markets, Palomar Holdings (NASDAQ:PLMR) is a specialty insurance provider that offers property and casualty insurance products in underserved markets, with a focus on earthquake coverage. Palomar Holdings reported revenues of $278.9 million, up 59.7% year on year. This print exceeded analysts’ expectations by 5.8%. Despite the top-line beat, it was still a mixed quarter for the company with an impressive beat of analysts’ net premiums earned estimates but a significant miss of analysts’ book value per share estimates. Mac Armstrong, Chairman and Chief Executive Officer, commented, “The first quarter was another demonstration of our sustained profitable growth. Our unique, ‘one of one’ specialty products portfolio is purposely built to generate consistent earnings and compelling margins in any market cycle. The combination of Palomar’s mix of personal and commercial lines products written on both an admitted and excess and surplus basis, and strong growth from our Crop and Surety franchises made for a great start to the year.” Interestingly, the s...

It has been about a month since the last earnings report for Palomar (PLMR). Shares have lost about 9.1% in that time frame, underperforming the S&P 500. But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is Palomar due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its latest earnings report in order to get a better handle on the important drivers. Palomar Q1 Earnings, Revenues Top Estimates, Investment Income Rises Y/YPalomar Holdings, Inc. reported first-quarter 2026 operating income of $2.31 per share, which beat the Zacks Consensus Estimate by 6.4%. The bottom line increased 23.5% year over year. Total revenues improved 58.7% year over year to $281 million, mainly driven by higher premiums, commission, investment income and other income. The top line beat the Zacks Consensus Estimate by 7.8%. Palomar delivered robust first-quarter premium and revenue growth, supported by higher net earned premiums and investment income. However, higher losses and underwriting expenses pressured profitability, leading to a decline in underwriting income. Gross written premiums increased 42.4% year over year to $629.8 million but missed our estimate of $659.9 million. Net earned premiums rose 59.3% year over year to $261.4 million, exceeding our estimate of $236.6 million and the Zacks Consensus Estimate of $242.5 million.Net investment income climbed 49% year over year to $18 million, driven by higher yields on invested assets and a larger average investment balance supported by strong operating cash flow. The figure surpassed both the Zacks Consensus Estimate of $16.6 million and our estimate of $16.4 million. Palomar reported adjusted underwriting income of $62.8 million, marking a 21.6% increase from the prior-year level. Reported underwriting income fell 8% year over year to $40.5 million, missing our estimate of $48.1 million.Total expenses rose 86.5% year over year to $225.5 million due to higher losses and loss adjustment expenses, increased acquisition costs, elevated underwriting expenses and higher interest expense. The figure exceeded our estimate of $189.6 million. The loss ratio was 33.3%, deteriorated 970 basis points year over year. It was higher than our estimate of 30% and the Zacks Consensus Estimate of 32.1%. The adju...

Palomar Holdings’ first quarter results exceeded Wall Street’s expectations, reflecting broad-based premium growth across its specialty insurance portfolio. Management attributed performance to disciplined underwriting, new product launches, and successful integration of recent acquisitions. CEO Mac Armstrong highlighted the company’s ability to “deploy capital toward more desirable opportunity while reducing exposure in areas where market conditions or loss trends are less favorable.” Segment diversity—such as growth in crop, surety, and credit—helped offset competitive pricing pressures in commercial property and earthquake lines. Despite the strong topline, management acknowledged that the operating margin declined due to higher loss ratios linked to business mix changes, particularly the expansion of casualty and crop segments. Is now the time to buy PLMR? Find out in our full research report (it’s free). Revenue: $278.9 million vs analyst estimates of $263.6 million (59.7% year-on-year growth, 5.8% beat) Adjusted EPS: $2.31 vs analyst estimates of $2.20 (5.1% beat) Adjusted Operating Income: $53.46 million (19.2% margin, flat year on year) Operating Margin: 19.2%, down from 30.8% in the same quarter last year Market Capitalization: $2.88 billion While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention. Andrew Anderson (Jefferies LLC) asked about retention strategy as casualty pricing moderates. CEO Mac Armstrong said they expect cessions to remain flat and are willing to walk away from unprofitable business, emphasizing a careful approach to net retention and book pruning. Analyst (Evercore ISI) questioned the high proportion of incurred but not reported (IBNR) reserves in casualty. Armstrong and CFO Chris Uchida explained the conservative reserving approach, with new business lines typically starting at nearly 100% IBNR, and noted the approach has been consistent as the segment scales. Mark Hughes (Truist Securities) inquired about the competitive dynamics and pricing outlook in inland marine and builder’s risk. Armstrong highlighted stable rates in admitted and residential segments, with growth supported by geographic...

Interested in Palomar Holdings, Inc.? Here are five stocks we like better. Palomar posted strong Q1 results with gross written premium up 42% year over year and adjusted net income up 23% to $63.1 million. The company also maintained strong underwriting performance, with an adjusted combined ratio of 76% and annualized adjusted ROE of 26.6%. Growth was broad-based across key businesses, led by casualty, crop, surety, inland marine and property. Management raised 2026 crop growth expectations to 35% and said surety and credit grew 131% year over year, helped by acquisitions and new federal bonding opportunities. Palomar lifted full-year adjusted net income guidance to $262 million-$278 million and continued aggressive capital returns, including a new $200 million share repurchase program. The company also completed major reinsurance placements and a catastrophe bond that added $410 million of coverage. Down Over 80%, is Pet Insurer Trupanion Worth the Risk Premium? Palomar (NASDAQ:PLMR) reported a strong start to 2026, with management highlighting broad-based premium growth, continued underwriting profitability and an increased full-year adjusted net income outlook during the company’s first-quarter earnings call. Chairman and Chief Executive Officer Mac Armstrong said the quarter demonstrated “consistent, profitable growth” and the durability of Palomar’s specialty insurance portfolio. Gross written premium rose 42% year over year, with growth across all five product categories, including earthquake. Adjusted net income increased 23% to $63.1 million, or $2.31 per diluted share, compared with $51.3 million, or $1.87 per diluted share, in the prior-year quarter. → Insider Sales: Top AST SpaceMobile Insider Cuts Postion Over 30% 3 Small Cap Stocks That May Someday be Large Caps Palomar reported an adjusted combined ratio of 76%, compared with 68.5% in the first quarter of 2025 and 73.4% in the fourth quarter of 2025. Annualized adjusted return on equity was 26.6%, which Chief Financial Officer Chris Uchida said remained above the company’s Palomar 2X threshold of 20%. Armstrong said Palomar’s portfolio remains intentionally diversified, with first-quarter in-force premium split 57% admitted and 43% excess and surplus lines, 60% property and 40% casualty, and 45% residential property and 55% commercial property. He also said 90% of first-quarter premium came fr...

Image source: The Motley Fool. Thursday, May 7, 2026 at 12 p.m. ET Chairman and Chief Executive Officer — Mac Armstrong President — Jon Christianson Chief Financial Officer — Chris Uchida Need a quote from a Motley Fool analyst? Email [email protected] Chris Uchida: Thank you, operator, and good morning, everyone. We appreciate your participation in our earnings call. With me here today is Mac Armstrong, our Chairman and Chief Executive Officer. Additionally, Jon Christianson, our President, is here to answer questions during the Q&A portion of the call. As a reminder, a telephonic replay of this call will be available on the Investor Relations section of our website through 11:59 p.m. Eastern Time on 05/14/2026. Before we begin, let me remind everyone that this call may contain certain statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These include remarks about management's future expectations, beliefs, estimates, plans, and prospects. Such statements are subject to a variety of risks, uncertainties, and other factors that could cause actual results to differ materially from those indicated or implied by such statements. Such risks and other factors are set forth in the Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission. We do not undertake any duty to update such forward-looking statements. Additionally, during today's call, we will discuss some non-GAAP measures which we believe are useful in evaluating our performance. The presentation of this additional information should not be considered in isolation or as a substitute for results prepared in accordance with U.S. GAAP. A reconciliation of these non-GAAP measures to their most comparable GAAP measures can be found in our earnings release. At this point, I will turn the call over to Mac. Mac Armstrong: Thank you, Chris, and good morning, everyone. I am very pleased with our first quarter results as they reflect a strong start to the year and are another example of our team's ability to deliver consistent, profitable growth. Our results reinforce the durability of our model and the uniqueness of our specialty product portfolio and its ability to generate compelling risk-adjusted returns. Our book consists of a broad array of specialty products and is truly diverse. The following breakdown of Q1 in-forc...

Palomar (PLMR) came out with quarterly earnings of $2.31 per share, beating the Zacks Consensus Estimate of $2.17 per share. This compares to earnings of $1.87 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +6.33%. A quarter ago, it was expected that this insurance holding company would post earnings of $2.06 per share when it actually produced earnings of $2.24, delivering a surprise of +8.74%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Palomar, which belongs to the Zacks Insurance - Property and Casualty industry, posted revenues of $280.83 million for the quarter ended March 2026, surpassing the Zacks Consensus Estimate by 7.80%. This compares to year-ago revenues of $176.97 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Palomar shares have lost about 17.1% since the beginning of the year versus the S&P 500's gain of 6%. While Palomar has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Palomar was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Str...

Palomar (PLMR) reported $280.83 million in revenue for the quarter ended March 2026, representing a year-over-year increase of 58.7%. EPS of $2.31 for the same period compares to $1.87 a year ago. The reported revenue represents a surprise of +7.8% over the Zacks Consensus Estimate of $260.52 million. With the consensus EPS estimate being $2.17, the EPS surprise was +6.33%. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance. As these metrics influence top- and bottom-line performance, comparing them to the year-ago numbers and what analysts estimated helps investors project a stock's price performance more accurately. Here is how Palomar performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts: Loss Ratio: 33.3% versus the four-analyst average estimate of 32.1%. Combined Ratio: 84.5% versus the three-analyst average estimate of 78.7%. Expense Ratio: 51.2% compared to the 47.4% average estimate based on three analysts. Adjusted combined ratio: 76% versus 74.9% estimated by two analysts on average. Revenues- Net investment income: $17.98 million compared to the $16.63 million average estimate based on four analysts. The reported number represents a change of +49% year over year. Revenues- Commission and other income: $1.41 million versus the four-analyst average estimate of $1.36 million. The reported number represents a year-over-year change of +69.9%. Revenues- Net earned premiums: $261.44 million versus $242.53 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +59.4% change. View all Key Company Metrics for Palomar here>>> Shares of Palomar have returned -10.7% over the past month versus the Zacks S&P 500 composite's +10.3% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Palomar Holdings, Inc. (PLMR) : Free Stock Analysis Report This article originally published on Zacks I...

LA JOLLA, Calif. (AP) — LA JOLLA, Calif. (AP) — Palomar Holdings Inc. (PLMR) on Wednesday reported first-quarter profit of $42.9 million. On a per-share basis, the La Jolla, California-based company said it had profit of $1.57. Earnings, adjusted for one-time gains and costs, were $2.31 per share. The results exceeded Wall Street expectations. The average estimate of four analysts surveyed by Zacks Investment Research was for earnings of $2.17 per share. The insurance holding company posted revenue of $278.9 million in the period. Its adjusted revenue was $280.8 million, also surpassing Street forecasts. Four analysts surveyed by Zacks expected $260.5 million. _____ This story was generated by Automated Insights (http://automatedinsights.com/ap) using data from Zacks Investment Research. Access a Zacks stock report on PLMR at https://www.zacks.com/ap/PLMR

Palomar Holdings, Inc. PLMR reported first-quarter 2026 operating income of $2.31 per share, which beat the Zacks Consensus Estimate by 6.4%. The bottom line increased 23.5% year over year. Total revenues improved 58.7% year over year to $281 million, mainly driven by higher premiums, commission, investment income and other income. The top line beat the Zacks Consensus Estimate by 7.8%. Palomar delivered robust first-quarter premium and revenue growth, supported by higher net earned premiums and investment income. However, higher losses and underwriting expenses pressured profitability, leading to a decline in underwriting income. Palomar Holdings, Inc. price-consensus-eps-surprise-chart | Palomar Holdings, Inc. Quote Gross written premiums increased 42.4% year over year to $629.8 million but missed our estimate of $659.9 million. Net earned premiums rose 59.3% year over year to $261.4 million, exceeding our estimate of $236.6 million and the Zacks Consensus Estimate of $242.5 million. Net investment income climbed 49% year over year to $18 million, driven by higher yields on invested assets and a larger average investment balance supported by strong operating cash flow. The figure surpassed both the Zacks Consensus Estimate of $16.6 million and our estimate of $16.4 million. Palomar reported adjusted underwriting income of $62.8 million, marking a 21.6% increase from the prior-year level. Reported underwriting income fell 8% year over year to $40.5 million, missing our estimate of $48.1 million. Total expenses rose 86.5% year over year to $225.5 million due to higher losses and loss adjustment expenses, increased acquisition costs, elevated underwriting expenses and higher interest expense. The figure exceeded our estimate of $189.6 million. The loss ratio was 33.3%, deteriorated 970 basis points year over year. It was higher than our estimate of 30% and the Zacks Consensus Estimate of 32.1%. The adjusted combined ratio worsened 750 basis points year over year to 76%, above the Zacks Consensus Estimate of 74.9%. Cash and cash equivalents declined 47.1% to $56.5 million from the 2025-end level. Shareholders’ equity increased 1.7% to $959 million from the 2025-end level. Annualized adjusted return on equity for the first quarter of 2026 was 26.6%, down 40 basis points year over year. During the quarter, the company repurchased 0.2 million shares for $23.1 mil...

LA JOLLA, Calif., May 06, 2026 (GLOBE NEWSWIRE) -- Palomar Holdings, Inc. (NASDAQ:PLMR) (“Palomar” or “Company”) reported net income of $42.9 million, or $1.57 per diluted share, for the first quarter of 2026 compared to net income of $42.9 million, or $1.57 per diluted share, for the first quarter of 2025. Adjusted net income(1) was $63.1 million, or $2.31 per diluted share, for the first quarter of 2026 as compared to $51.3 million, or $1.87 per diluted share, for the first quarter of 2025. First Quarter 2026 Highlights Gross written premiums increased by 42.4% to $629.8 million compared to $442.2 million in the first quarter of 2025 Net income increased 0.1% and was $42.9 million in both quarters Adjusted net income(1) increased 23.1% to $63.1 million compared to $51.3 million in the first quarter of 2025 Total loss ratio of 33.3% compared to 23.6% in the first quarter of 2025 Catastrophe loss ratio(1) of 0.1% compared to (0.3)% in the first quarter of 2025 Combined ratio of 84.5% compared to 73.1% in the first quarter of 2025 Adjusted combined ratio(1) of 76.0% compared to 68.5%, in the first quarter of 2025 Annualized return on equity of 18.1% compared to 22.6% in the first quarter of 2025 Annualized adjusted return on equity(1) of 26.6% compared to 27.0% in the first quarter of 2025 (1) See discussion of “Non-GAAP and Key Performance Indicators” below. Mac Armstrong, Chairman and Chief Executive Officer, commented, “The first quarter was another demonstration of our sustained profitable growth. Our unique, ‘one of one’ specialty products portfolio is purposely built to generate consistent earnings and compelling margins in any market cycle. The combination of Palomar’s mix of personal and commercial lines products written on both an admitted and excess and surplus basis, and strong growth from our Crop and Surety franchises made for a great start to the year.” Mr. Armstrong continued, “Importantly, our growth wasn’t limited to one product set. In fact, we grew across all five categories, including Earthquake, this quarter. I’m happy to share that our profits and capital efficiency stayed strong in the first quarter, with an adjusted combined ratio of 76% and an adjusted return on equity of 27%.” Underwriting Results Gross written premiums increased 42.4% to $629.8 million compared to $442.2 million in the first quarter of 2025, while net earned premium...

Achieved 42% gross written premium growth driven by broad-based performance across all five product categories, emphasizing the durability of a portfolio where 90% of premiums are uncorrelated to traditional P&C cycles. Maintained underwriting discipline in a competitive commercial earthquake market by accepting 18% rate decreases on renewals while pivoting growth toward the residential sector, which saw 97% retention. Expanded the inland marine and property segment by 47% through geographic expansion and the launch of a construction engineering line targeting the long-term data center market. Scaled the casualty business by 55% year-over-year, utilizing a selective MGA strategy and focusing on lower net line sizes to avoid volatile classes with elevated severity risk. Capitalized on the Gray Surety acquisition and new de-listing authority of over $72 million to position the firm as a future top-20 player in the federal project bonding market. Integrated AI-enabled tools across underwriting and claims to enhance risk selection and automate clerical tasks, aiming for long-term operational leverage as the business scales. Utilized a conservative reserving philosophy with over 85% of casualty reserves held as IBNR, allowing for $10.3 million in favorable prior-year development primarily from short-tail lines. Increased full-year 2026 adjusted net income guidance to a range of $262 million to $278 million, assuming a $8 million to $12 million catastrophe load. Expects the net earned premium ratio to increase into the upper 40s for 2026, though the third quarter will remain a seasonal low point due to crop insurance timing. Anticipates 2026 loss ratios in the mid-to-upper 30s, reflecting a shift in business mix toward casualty and crop lines which carry higher attritional loss profiles. Projects 35% growth in the crop segment for 2026, up from 30%, supported by higher demand for Enhanced Coverage Option products due to Farm Bill subsidies. Assumes 10% to 15% risk-adjusted pricing decreases in reinsurance renewals at the high end of guidance, while maintaining current retention levels. Authorized a new $200 million share repurchase program, signaling management's view that current share prices do not reflect the company's 30% earnings CAGR since 2023. Identified intense competitive pressure in excess national property and E&S property lines, resulting in rate decr...