RenaissanceRe (NYSE:RNR) Shares Gap Down – Should You Sell?

RenaissanceRe Holdings Ltd. (NYSE:RNR)’s share price gapped down before the market opened on Wednesday . The stock had previously closed at $310.61, but opened at $290.00. RenaissanceRe shares last traded at $300.4340, with a volume of 47,852 shares.

Analyst Ratings Changes

A number of analysts have recently weighed in on the company. Mizuho raised their target price on RenaissanceRe from $313.00 to $318.00 and gave the company a “neutral” rating in a research note on Monday, April 13th. TD Cowen increased their price objective on shares of RenaissanceRe from $280.00 to $290.00 and gave the stock a “hold” rating in a report on Thursday, February 26th. Citigroup increased their price objective on shares of RenaissanceRe from $328.00 to $333.00 and gave the stock a “neutral” rating in a report on Wednesday, February 18th. Wells Fargo & Company increased their price objective on shares of RenaissanceRe from $305.00 to $306.00 and gave the stock an “equal weight” rating in a report on Thursday. Finally, UBS Group increased their price objective on shares of RenaissanceRe from $312.00 to $319.00 and gave the stock a “neutral” rating in a report on Wednesday, April 8th. Four research analysts have rated the stock with a Buy rating, twelve have given a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $321.79.

RenaissanceRe Stock Performance

The stock has a 50-day moving average of $301.47 and a 200 day moving average of $281.90. The company has a debt-to-equity ratio of 0.22, a current ratio of 1.37 and a quick ratio of 1.43. The stock has a market capitalization of $13.24 billion, a price-to-earnings ratio of 5.11, a price-to-earnings-growth ratio of 0.72 and a beta of 0.24.

RenaissanceRe (NYSE:RNR) last announced its quarterly earnings data on Tuesday, April 28th. The insurance provider reported $13.75 EPS for the quarter, topping analysts’ consensus estimates of $11.07 by $2.68. The firm had revenue of $2.19 billion during the quarter, compared to analyst estimates of $2.84 billion. RenaissanceRe had a return on equity of 24.01% and a net margin of 24.25%.The company’s revenue was down 36.8% on a year-over-year basis. During the same period last year, the company earned ($1.49) earnings per share. On average, analysts expect that RenaissanceRe Holdings Ltd. will post 37.85 EPS for the current year.

RenaissanceRe Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, March 31st. Investors of record on Friday, March 13th were given a $0.41 dividend. The ex-dividend date was Friday, March 13th. This is a positive change from RenaissanceRe’s previous quarterly dividend of $0.40. This represents a $1.64 dividend on an annualized basis and a yield of 0.5%. RenaissanceRe’s dividend payout ratio is 2.89%.

Insider Buying and Selling

In related news, EVP Robert Qutub sold 5,000 shares of RenaissanceRe stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $305.75, for a total value of $1,528,750.00. Following the completion of the sale, the executive vice president directly owned 73,023 shares in the company, valued at $22,326,782.25. This trade represents a 6.41% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. 2.30% of the stock is currently owned by insiders.

Hedge Funds Weigh In On RenaissanceRe

Several institutional investors have recently modified their holdings of RNR. Lightrock Netherlands B.V. grew its position in shares of RenaissanceRe by 4,690.1% during the 4th quarter. Lightrock Netherlands B.V. now owns 1,017,508 shares of the insurance provider’s stock worth $286,083,000 after buying an additional 996,266 shares during the period. Orbis Allan Gray Ltd acquired a new position in shares of RenaissanceRe during the 4th quarter worth about $178,519,000. Norges Bank acquired a new position in shares of RenaissanceRe during the 4th quarter worth about $168,582,000. Egerton Capital UK LLP acquired a new position in shares of RenaissanceRe during the 4th quarter worth about $137,944,000. Finally, GQG Partners LLC acquired a new position in shares of RenaissanceRe during the 4th quarter worth about $108,780,000. 99.97% of the stock is currently owned by institutional investors and hedge funds.

About RenaissanceRe

RenaissanceRe Holdings Ltd. is a global provider of reinsurance and insurance solutions, specializing in property catastrophe, casualty, and specialty lines. Established in 1993 and headquartered in Bermuda, the company trades on the New York Stock Exchange under the symbol RNR. With a focus on underwriting and risk assessment, RenaissanceRe offers tailored programs designed to help insurers and corporations manage exposure to natural disasters, liability claims, and other complex risks.

The company operates through two primary segments: Reinsurance and Insurance.