Overview

• Specialty insurer's Q4 net income at $30.1 mln, vs a loss from last year

• Company's Q4 combined ratio improved to 94.1% from 155.1% last year

• Company completed redomicile from Bermuda to Delaware, gaining tax benefits

Outlook

• Company expects lower effective tax rate due to redomicile to Delaware

• James River focuses on smaller insureds to strengthen E&S market position

Result Drivers

• UNDERWRITING IMPROVEMENTS - Co reported improved underwriting profit in E&S segment, contributing to lower combined ratio

• REDOMICILE TAX BENEFIT - One-time tax expense benefit of $14.1 mln related to redomicile contributed to net income

• EXPENSE REDUCTION - Lower general and administrative expenses contributed to improved expense ratio

Company press release: ID:nGNX5Szx1F

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the multiline insurance & brokers peer group is "buy"

• Wall Street's median 12-month price target for James River Group Holdings Inc is $8.00, about 14.3% above its February 27 closing price of $7.00

• The stock recently traded at 6 times the next 12-month earnings vs. a P/E of 5 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)