RLI (RLI) Reports Earnings Tomorrow: What To Expect

Specialty insurance provider RLI (NYSE:RLI) will be reporting earnings this Wednesday afternoon. Here’s what investors should know.

RLI met analysts’ revenue expectations last quarter, reporting revenues of $449 million, up 5.3% year on year. It was a mixed quarter for the company, with a beat of analysts’ EPS estimates but a significant miss of analysts’ book value per share estimates.

Is RLI a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.

This quarter, analysts are expecting RLI’s revenue to grow 3.9% year on year to $453 million, slowing from the 15.2% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.80 per share.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. RLI has missed Wall Street’s revenue estimates six times over the last two years.

With RLI being the first among its peers to report earnings this season, we don’t have anywhere else to look to get a hint at how this quarter will unravel for insurance stocks. However, the segment has faced declining investor sentiment as RLI’s peer group is down 5.6% on average over the last month. RLI is down 10.7% during the same time and is heading into earnings with an average analyst price target of $64.25 (compared to the current share price of $59.35).

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