Bowhead Specialty (NYSE:BOW) Issues Earnings Results, Beats Estimates By $0.02 EPS

Bowhead Specialty (NYSE:BOW) announced its quarterly earnings results on Tuesday. The company reported $0.47 EPS for the quarter, beating the consensus estimate of $0.45 by $0.02, FiscalAI reports. The company had revenue of $151.68 million for the quarter, compared to analyst estimates of $145.99 million. Bowhead Specialty had a net margin of 9.75% and a return on equity of 13.58%.

Here are the key takeaways from Bowhead Specialty’s conference call:

• Bowhead grew gross written premium ~24% for 2025 (Q4 +21%), led by Casualty (full-year +28%) and accelerating digital business Baleen (>$21M in 2025), with construction project wins adding roughly 30% to Q4 Casualty premiums.
• The company reduced its expense ratio to 29.8% through scaling and technology initiatives, helping drive a ~30% increase in adjusted net income and an adjusted return on equity of 13.6%.
• The full-year loss ratio increased to 66.7% (up 2.3 points) and the current accident‑year loss ratio rose 1.8 points; management emphasizes conservative reserving and prior‑year reallocations, but limited long‑tail experience leaves reserve uncertainty.
• For 2026 Bowhead guides ~20% GWP growth, a combined ratio in the mid‑to‑high 90s and mid‑teens ROE, while increasing cyber quota share to 65% and issuing $150M of 7.75% senior notes to support regulatory capital — actions that balance growth with added reinsurance and leverage.

Bowhead Specialty Stock Performance

Shares of NYSE:BOW opened at $25.99 on Thursday. Bowhead Specialty has a one year low of $22.15 and a one year high of $42.29. The stock has a market capitalization of $851.85 million, a price-to-earnings ratio of 16.34, a PEG ratio of 0.77 and a beta of -1.05. The company has a 50-day simple moving average of $25.79 and a 200-day simple moving average of $26.99.

Wall Street Analyst Weigh In

Several equities research analysts recently commented on the stock. Zacks Research upgraded shares of Bowhead Specialty from a “strong sell” rating to a “hold” rating in a research note on Tuesday. Piper Sandler upped their price objective on shares of Bowhead Specialty from $30.00 to $32.00 and gave the company an “overweight” rating in a research note on Monday, December 22nd. Keefe, Bruyette & Woods cut their target price on Bowhead Specialty from $38.00 to $36.00 and set an “outperform” rating on the stock in a research report on Tuesday, January 6th. Royal Bank Of Canada reduced their target price on Bowhead Specialty from $33.00 to $30.00 and set an “outperform” rating for the company in a report on Wednesday. Finally, Morgan Stanley dropped their price target on Bowhead Specialty from $31.00 to $29.00 and set an “equal weight” rating on the stock in a research note on Monday, November 17th. Five analysts have rated the stock with a Buy rating and four have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Bowhead Specialty has an average rating of “Moderate Buy” and an average price target of $33.33.

Institutional Trading of Bowhead Specialty

Several institutional investors and hedge funds have recently added to or reduced their stakes in BOW. Invesco Ltd. grew its stake in shares of Bowhead Specialty by 3.5% in the 4th quarter. Invesco Ltd. now owns 14,484 shares of the company’s stock valued at $413,000 after purchasing an additional 490 shares during the last quarter. Susquehanna Fundamental Investments LLC lifted its holdings in shares of Bowhead Specialty by 21.7% during the fourth quarter. Susquehanna Fundamental Investments LLC now owns 39,346 shares of the company’s stock worth $1,123,000 after purchasing an additional 7,005 shares during the period. Interval Partners LP purchased a new position in Bowhead Specialty in the 4th quarter valued at $950,000. Balyasny Asset Management L.P. increased its stake in Bowhead Specialty by 122.2% in the 4th quarter. Balyasny Asset Management L.P. now owns 251,893 shares of the company’s stock valued at $7,189,000 after buying an additional 138,524 shares during the period. Finally, Schonfeld Strategic Advisors LLC raised its position in Bowhead Specialty by 19.6% during the 4th quarter. Schonfeld Strategic Advisors LLC now owns 70,926 shares of the company’s stock worth $2,024,000 after buying an additional 11,640 shares during the last quarter.

Bowhead Specialty Company Profile

Bowhead Specialty Holdings Inc provides specialty property and casualty insurance products in the United States. It underwrites casualty insurance solutions for risks in the construction, distribution, heavy manufacturing, real estate, and hospitality segments; professional liability insurance solutions for financial institutions, private and public directors and officers liability insurance, errors and omissions liability insurance, and cyber segments; and healthcare solutions for hospitals, senior care providers, managed care organizations, miscellaneous medical facilities, and healthcare management liability segments.