United Fire Group (NASDAQ:UFCS) Shares Gap Up on Better-Than-Expected Earnings

United Fire Group, Inc. (NASDAQ:UFCS) gapped up before the market opened on Wednesday after the company announced better than expected quarterly earnings. The stock had previously closed at $25.06, but opened at $28.33. United Fire Group shares last traded at $26.52, with a volume of 59,772 shares.

The insurance provider reported $1.25 EPS for the quarter, beating analysts’ consensus estimates of $0.61 by $0.64. United Fire Group had a net margin of 4.15% and a return on equity of 6.75%.

United Fire Group Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Friday, December 13th. Shareholders of record on Friday, November 29th were paid a dividend of $0.16 per share. This represents a $0.64 dividend on an annualized basis and a dividend yield of 2.44%. The ex-dividend date of this dividend was Friday, November 29th. United Fire Group’s dividend payout ratio is 32.99%.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on UFCS shares. StockNews.com raised United Fire Group from a “buy” rating to a “strong-buy” rating in a research report on Wednesday. Piper Sandler upgraded shares of United Fire Group from an “underweight” rating to a “neutral” rating and raised their price objective for the company from $19.00 to $26.00 in a research note on Monday, November 18th.

Insider Activity at United Fire Group

In other United Fire Group news, VP Corey Lynn Ruehle sold 2,664 shares of the stock in a transaction that occurred on Thursday, December 19th. The shares were sold at an average price of $29.60, for a total transaction of $78,854.40. Following the completion of the sale, the vice president now directly owns 12,523 shares of the company’s stock, valued at $370,680.80. This trade represents a 17.54 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. 5.99% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On United Fire Group

Several institutional investors have recently bought and sold shares of UFCS. Hotchkis & Wiley Capital Management LLC bought a new position in United Fire Group during the third quarter valued at $2,740,000. Assenagon Asset Management S.A. lifted its holdings in shares of United Fire Group by 42.3% in the 3rd quarter. Assenagon Asset Management S.A. now owns 315,779 shares of the insurance provider’s stock worth $6,609,000 after acquiring an additional 93,836 shares during the last quarter. JPMorgan Chase & Co. boosted its stake in shares of United Fire Group by 78.6% during the 4th quarter. JPMorgan Chase & Co. now owns 177,877 shares of the insurance provider’s stock worth $5,061,000 after purchasing an additional 78,254 shares during the period. Foundry Partners LLC raised its position in United Fire Group by 71.9% in the 3rd quarter. Foundry Partners LLC now owns 178,155 shares of the insurance provider’s stock worth $3,729,000 after purchasing an additional 74,540 shares during the period. Finally, American Century Companies Inc. lifted its stake in United Fire Group by 87.6% in the fourth quarter. American Century Companies Inc. now owns 142,996 shares of the insurance provider’s stock worth $4,068,000 after purchasing an additional 66,756 shares during the last quarter. 62.68% of the stock is owned by hedge funds and other institutional investors.

United Fire Group Price Performance

The company has a 50-day simple moving average of $27.63 and a 200-day simple moving average of $23.90. The firm has a market cap of $665.68 million, a PE ratio of 13.54 and a beta of 0.53.

About United Fire Group

United Fire Group, Inc, together with its subsidiaries, provides property and casualty insurance for individuals and businesses in the United States. The company offers commercial and personal lines of property and casualty insurance; and reinsurance coverage for property and casualty insurance. Its commercial lines include fire and allied lines, other liability, automobile, workers’ compensation, fidelity and surety coverage, and other insurance products; and personal lines comprise automobile, and fire and allied lines coverage, including homeowners, as well as provides assumed reinsurance products.