Universal Insurance Q1 adjusted EPS rises 38.9% on higher net investment income

Universal Insurance Holdings

23/04/2026 21:27

Overview

US property insurer's Q1 revenue fell 0.3% yr/yr, core revenue up 0.8%

Adjusted EPS for Q1 rose 38.9% yr/yr, driven by lower net loss ratio and higher net investment income

Company repurchased 210,000 shares for $7.1 mln and completed reinsurance renewal with added coverage

Outlook

Company says 2026-2027 reinsurance program is fully secured and supported

Universal secured $352 mln of additional multi-year reinsurance coverage through 2027-2028

Result Drivers

LOSS RATIO IMPROVEMENT - Co said lower net loss ratio was due to better current accident year results

PREMIUM GROWTH - Direct premiums written rose 8.5%, driven by growth in Florida and other states, reflecting more policies in force and inflation adjustments

HIGHER INVESTMENT INCOME - Net investment income increased due to higher fixed income reinvestment yields and higher invested assets

Company press release: ID:nBwbw1dvya

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Revenue
Beat
$393.57 mln
$370.25 mln (1 Analyst)
Q1 Core Revenue
$398.16 mln
Q1 Adjusted Net Income
$77.89 mln
Q1 Net Income
$54.29 mln


Analyst Coverage

The one available analyst rating on the shares is "buy"

The average consensus recommendation for the property & casualty insurance peer group is "buy"

Wall Street's median 12-month price target for Universal Insurance Holdings Inc is $40.00, about 17.3% above its April 22 closing price of $34.10

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 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.)