United Fire Group (NASDAQ:UFCS) Announces Quarterly Earnings Results

United Fire Group (NASDAQ:UFCS) released its quarterly earnings data on Monday. The insurance provider reported $1.30 EPS for the quarter, topping the consensus estimate of $0.69 by $0.61, FiscalAI reports. United Fire Group had a return on equity of 14.65% and a net margin of 9.16%.

United Fire Group Price Performance

NASDAQ:UFCS traded up $0.73 during trading hours on Monday, reaching $52.09. 202,732 shares of the company were exchanged, compared to its average volume of 131,636. The company has a current ratio of 0.34, a quick ratio of 0.34 and a debt-to-equity ratio of 0.15. The stock’s 50-day moving average is $49.43 and its 200-day moving average is $42.76. The firm has a market cap of $1.34 billion, a PE ratio of 10.50 and a beta of 0.51. United Fire Group has a twelve month low of $26.10 and a twelve month high of $54.42.

United Fire Group Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Friday, June 19th. Investors of record on Friday, June 5th were issued a $0.20 dividend. This represents a $0.80 annualized dividend and a yield of 1.5%. The ex-dividend date of this dividend was Friday, June 5th. United Fire Group’s payout ratio is presently 16.13%.

Wall Street Analysts Forecast Growth

Several equities analysts recently issued reports on the stock. Weiss Ratings reiterated a “buy (b)” rating on shares of United Fire Group in a research note on Wednesday, May 13th. JonesTrading lifted their price objective on shares of United Fire Group from $40.00 to $45.00 and gave the company a “buy” rating in a report on Thursday, May 7th. Piper Sandler upped their price objective on shares of United Fire Group from $45.00 to $57.00 and gave the stock an “overweight” rating in a research report on Thursday, May 7th. Zacks Research lowered shares of United Fire Group from a “strong-buy” rating to a “hold” rating in a research note on Monday, July 6th. Finally, Wall Street Zen cut United Fire Group from a “strong-buy” rating to a “buy” rating in a research report on Sunday. Three equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $51.00.

Insider Activity

In related news, Director George D. Milligan bought 4,500 shares of the company’s stock in a transaction dated Friday, June 5th. The shares were acquired at an average price of $45.23 per share, for a total transaction of $203,535.00. Following the completion of the transaction, the director directly owned 90,034 shares in the company, valued at $4,072,237.82. This trade represents a 5.26% increase in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 6.06% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the stock. Mercer Global Advisors Inc. ADV purchased a new stake in United Fire Group during the 4th quarter worth approximately $371,000. State of Tennessee Department of Treasury lifted its position in shares of United Fire Group by 4.8% in the fourth quarter. State of Tennessee Department of Treasury now owns 15,983 shares of the insurance provider’s stock valued at $574,000 after acquiring an additional 727 shares in the last quarter. Mackenzie Financial Corp acquired a new stake in shares of United Fire Group in the fourth quarter worth approximately $228,000. XTX Topco Ltd acquired a new stake in shares of United Fire Group in the fourth quarter worth approximately $218,000. Finally, Zacks Investment Management increased its position in shares of United Fire Group by 36.0% during the fourth quarter. Zacks Investment Management now owns 87,973 shares of the insurance provider’s stock worth $3,198,000 after purchasing an additional 23,273 shares in the last quarter. 62.68% of the stock is owned by hedge funds and other institutional investors.

United Fire Group announced that its Board of Directors has approved a stock repurchase program on Wednesday, May 20th that authorizes the company to repurchase 2,000,000 shares. This repurchase authorization authorizes the insurance provider to buy shares of its stock through open market purchases. Shares repurchase programs are often an indication that the company’s board believes its shares are undervalued.

About United Fire Group

United Fire Group, Inc (NASDAQ: UFCS) is an insurance holding company based in Cedar Rapids, Iowa, that specializes in property and casualty coverage for commercial and personal lines. The company underwrites business through three primary segments: commercial, personal and specialty insurance. Within the commercial segment, United Fire Group offers tailored policies for small- and medium-sized enterprises, including general liability, commercial property and workers’ compensation. Its personal lines cover homeowners, auto, farm and umbrella policies.

United Fire Group distributes its products primarily through a national network of independent insurance agents and brokers.