W.R. Berkley (NYSE:WRB) Price Target Cut to $66.00 by Analysts at Wells Fargo & Company

W.R. Berkley (NYSE:WRB) had its target price reduced by Wells Fargo & Company from $68.00 to $66.00 in a research report issued to clients and investors on Tuesday,Benzinga reports. The brokerage currently has an “equal weight” rating on the insurance provider’s stock. Wells Fargo & Company‘s price objective indicates a potential downside of 1.37% from the stock’s previous close.

Several other equities analysts have also commented on the company. Barclays reiterated an “underweight” rating and set a $64.00 price objective (down from $73.00) on shares of W.R. Berkley in a research report on Thursday, January 8th. Mizuho cut their target price on W.R. Berkley from $69.00 to $67.00 and set a “neutral” rating for the company in a research note on Tuesday. TD Cowen cut shares of W.R. Berkley from a “buy” rating to a “sell” rating and reduced their price target for the company from $77.00 to $55.00 in a research report on Tuesday, January 20th. Jefferies Financial Group lowered their price objective on shares of W.R. Berkley from $76.00 to $75.00 and set a “hold” rating for the company in a report on Tuesday, October 21st. Finally, The Goldman Sachs Group reaffirmed a “neutral” rating and issued a $73.00 price objective on shares of W.R. Berkley in a research note on Wednesday, January 7th. Three equities research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and four have issued a Sell rating to the stock. Based on data from MarketBeat, the company has a consensus rating of “Reduce” and a consensus target price of $70.67.

W.R. Berkley Stock Performance

W.R. Berkley stock opened at $66.92 on Tuesday. W.R. Berkley has a fifty-two week low of $57.75 and a fifty-two week high of $78.96. The company has a debt-to-equity ratio of 0.29, a quick ratio of 0.37 and a current ratio of 0.37. The stock has a market cap of $25.43 billion, a P/E ratio of 14.06, a price-to-earnings-growth ratio of 2.50 and a beta of 0.39. The firm’s fifty day moving average price is $70.76 and its 200-day moving average price is $72.07.

W.R. Berkley (NYSE:WRB) last announced its earnings results on Monday, January 26th. The insurance provider reported $1.13 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.14 by ($0.01). W.R. Berkley had a return on equity of 18.86% and a net margin of 13.01%.The company had revenue of $3.18 billion during the quarter, compared to analysts’ expectations of $3.18 billion. During the same quarter last year, the firm posted $1.13 earnings per share. The firm’s revenue was up 2.1% on a year-over-year basis. On average, equities research analysts expect that W.R. Berkley will post 4.33 earnings per share for the current fiscal year.

Insider Activity at W.R. Berkley

In other news, major shareholder Sumitomo Insurance Co L. Mitsui purchased 368,000 shares of the stock in a transaction that occurred on Friday, January 23rd. The stock was bought at an average cost of $66.96 per share, for a total transaction of $24,641,280.00. Following the acquisition, the insider directly owned 54,589,504 shares of the company’s stock, valued at $3,655,313,187.84. This represents a 0.68% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. Insiders have acquired 5,782,916 shares of company stock valued at $399,073,250 over the last quarter. 23.00% of the stock is owned by insiders.

Hedge Funds Weigh In On W.R. Berkley

Hedge funds have recently modified their holdings of the company. Johnson Financial Group Inc. boosted its holdings in shares of W.R. Berkley by 22.3% during the third quarter. Johnson Financial Group Inc. now owns 756 shares of the insurance provider’s stock worth $58,000 after purchasing an additional 138 shares during the period. Maridea Wealth Management LLC raised its position in W.R. Berkley by 2.0% during the 3rd quarter. Maridea Wealth Management LLC now owns 7,180 shares of the insurance provider’s stock valued at $528,000 after purchasing an additional 141 shares during the last quarter. Physician Wealth Advisors Inc. raised its position in W.R. Berkley by 40.2% during the 3rd quarter. Physician Wealth Advisors Inc. now owns 523 shares of the insurance provider’s stock valued at $40,000 after purchasing an additional 150 shares during the last quarter. Valeo Financial Advisors LLC lifted its holdings in W.R. Berkley by 3.3% in the 3rd quarter. Valeo Financial Advisors LLC now owns 4,788 shares of the insurance provider’s stock worth $367,000 after buying an additional 151 shares during the period. Finally, Allworth Financial LP grew its position in shares of W.R. Berkley by 4.8% in the 3rd quarter. Allworth Financial LP now owns 3,328 shares of the insurance provider’s stock worth $255,000 after buying an additional 153 shares during the last quarter. Hedge funds and other institutional investors own 68.82% of the company’s stock.

Trending Headlines about W.R. Berkley

Here are the key news stories impacting W.R. Berkley this week:

• Positive Sentiment: Major shareholders bought stock — recent filings show insider purchases totaling roughly $47M combined, a bullish signal that insiders see value at current levels. Major Shareholder Buys $22,258,500 Major Shareholder Purchases $24,641,280
• Positive Sentiment: Capital returns and expense guidance support cash returns — management affirmed a sub-30% expense-ratio target, signaled increased technology investments, and is returning about $971M to shareholders (buybacks/dividends), which supports EPS and ROE over time. Tech investments, expense target, $971M return
• Neutral Sentiment: Q4 results were mixed — WRB reported $1.13 EPS (vs. $1.14 consensus) and $3.18B revenue (roughly in line), with revenue +2.1% YoY. Underwriting and investment income lifted operating income, but headline metrics showed limited growth. Press Release: Q4 & Full-Year Results
• Neutral Sentiment: Management commentary/detail available — the full Q4 earnings call transcript provides tone and execution details that matter for forward guidance and expense/tech plans. Earnings Call Transcript
• Negative Sentiment: Analyst downgrade/price-target cut — Bank of America’s Joshua Shanker reiterated a Hold and lowered the price target to $66, signaling limited upside from current levels and putting downward pressure on sentiment. BofA Hold, PT lowered to $66
• Negative Sentiment: Valuation and growth concerns — some analysts/commentary describe WRB as “structurally expensive” with slowing top-line growth and limited upside, which can damp investor appetite despite solid underwriting. Seeking Alpha: Structurally Expensive
• Negative Sentiment: Tiny EPS miss and near-term growth questions — multiple outlets highlight the $0.01 EPS miss and commentary that revenues/earnings “lagged estimates,” which can trigger short-term selling by quant/earnings-driven investors. Zacks: Earnings & Revenues Lag Estimates

About W.R. Berkley

W. R. Berkley Corporation (NYSE: WRB) is a publicly traded insurance holding company that underwrites and sells commercial property and casualty insurance, specialty insurance products, and reinsurance. Headquartered in Greenwich, Connecticut, the company operates a portfolio of underwriting businesses that focus on niche and specialty commercial risks, offering coverage tailored to industries such as transportation, construction, professional services and other commercial lines.

The company’s product mix includes primary and excess casualty, property, professional liability, environmental and other specialty lines, together with treaty and facultative reinsurance solutions.