KNSL

Kinsale Capital Group Inc

Finance/Real Estate


Presented:11/28/2022
Price:$306.99
Cap:$7.09B
Current Price:$465.77
Cap:$10.85B

Presented

Date11/28/2022
Price$306.99
Market Cap$7.09B
Ent Value$6.03B
P/E Ratio50.6x
Book Value$27.02
Div Yield0.13%
Shares O/S23.08M
Ave Daily Vol162,049
Short Int3.55%

Current

Price$465.77
Market Cap$10.85B
Kinsale Capital Group, Inc. is a holding company, which engages in the provision of property and casualty insurance services. It operates the Excess and Surplus Lines Insurance segment. The Excess and Surplus Lines Insurance segment provides commercial excess and surplus lines liability and property insurance products through underwriting divisions. The company was founded by Michael P. Kehoe on June 3, 2009 and is headquartered in Richmond, VA.

Publicly traded companies mentioned herein: Kinsale Capital Group Inc (KNSL)

Highlights

The presenter is short shares of Kinsale Capital Group Inc (KNSL), a $7.1B market cap insurance company that focuses on excess and surplus (E&S) insurance. KNSL has benefited from a combination of strong E&S demand and little competition from major players, but he thinks the supply/demand cycle is peaking and competition will be taking share. Going forward, there could be higher supply in the industry as well as plateauing demand, leading to his expectation that ROE will compress from 24.3% YTD (as of 9/30/2022) to the mid-teen% range. Meanwhile, the current 11x P/TB valuation implies that the market peak will sustain, whereas a LSDx multiple seems more reasonable.

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Idea Discussion

Commentor 1 - 2 weeks ago

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