Palomar Q2 adjusted EPS and net income beat estimates, premiums up 27%

Palomar Holdings

04/08/2026 21:54

Overview
US specialty insurer's Q2 adjusted EPS beat analyst expectations, gross written premiums rose 27%
Adjusted net income for Q2 beat analyst expectations
Company introduced initial quarterly dividend and repurchased 369,000 shares for $41 mln

Outlook
Palomar sees 2026 adjusted net income between $270 mln and $280 mln
Company expects $8 mln to $12 mln catastrophe losses for full-year 2026
Palomar says it is maintaining discipline in underwriting amid a dynamic insurance market

Result Drivers
PREMIUM GROWTH - Gross written premiums rose 27% year-over-year, led by growth in Casualty, Crop, and Surety & Credit lines
HIGHER INVESTMENT INCOME - Net investment income rose 49% due to higher yields and a larger investment portfolio
HIGHER LOSSES AND EXPENSES - Loss ratio and combined ratio increased due to higher attritional losses and expenses

Company press release: ID:nGNX385YX

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Gross written premiums
 
$630.46 mln
 
Q2 Adjusted EPS
Beat
$2.36
$2.18 (9 Analysts)
Q2 EPS
 
$1.94
 
Q2 Adjusted Net Income
Beat
$63.77 mln
$60.08 mln (8 Analysts)
Q2 Net Income
 
$52.59 mln
 

Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the property & casualty insurance peer group is "hold."
Wall Street's median 12-month price target for Palomar Holdings Inc is $165.50, about 21.2% above its August 3 closing price of $136.51
The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 12 three months ago

Reuters Recommended Reads
Aug 3 - United Fire Group Q2 net income rises 45%, premiums up
Aug 3 - Bowhead Specialty Q2 adjusted EPS beats estimates,  to be acquired by American Family
Aug 3 - CNA Financial Q2 net income rises

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.)