Goldman Sachs took its RenaissanceRe Holdings [RNR] rating to the equivalent of Buy from Neutral, and the price target to $199.0, in a research note dated 2021-01-08. That figure represents around a 19.72% premium from where the company’s shares closed on Thursday. Some new analysts also started their coverage, with Citigroup’s analysts assigning the shares to “a Neutral” rating in a research note to investors issued in late January. Meanwhile, Wells Fargo had raised its rating on RNR to “an Overweight” from the earlier “an Equal weight”, in a research note produced for clients December 16, 2019.
Is RenaissanceRe Holdings Ltd. [NYSE:RNR] a Good Buy Right Now?
It should be noted that RNR technical indicators for short, intermediate as well as long term progress have placed an overall average of 72% as Sell. The average signal changed from 72% Sell in the last week and compares with 40% Sell in the past month. Data from RenaissanceRe Holdings Ltd.’s Trend Spotter indicated that the signals were Weakening. The stock current average is 0.36 million shares in the past 20 days and the short term average signal indicates a 50% Sell. In the last 50 days, the average trading volume was 0.33 million shares while the medium term average advocated for 100% Sell. The average long-term signal stands at 50% Sell and the 100-day average volume stands at 0.28 million shares.
RNR Price Performance
On Wall Street, RenaissanceRe Holdings Ltd. [NYSE:RNR] finished Thursday’s session down -1.09% at $166.10. The stock went up to $169.095 at the same session while its lowest single day price was $165.00. In the last five days, it saw a rise of about 1.11%, RenaissanceRe Holdings Ltd. shares gained by almost 0.17% since the beginning of the year. However, the share price has dropped to as low as -18.05% below its one year high. On 01/06/21, the company shares recorded $169.21, the highest single-day price it has got to in the last 52-weeks and a 52-week low was seen on 01/05/21, the same year at $158.19. The company’s shares have declined by -12.50% in the past year. The 50-day SMA achieved is $167.98 while the 200-day SMA is $169.59. Volume dropped to 0.38 million from 0.62 million in the previous session.
RenaissanceRe Holdings Ltd. [RNR] Valuation Measures
Notably, RenaissanceRe Holdings Ltd. [RNR] stock cannot be classified as a good candidate in the listing of underestimated low-priced Insurance – Reinsurance companies to purchase soonest possible with the prevailing 12-month PE ratio of 14.63. The measure means the stock is exchanging at a premium as compared to the 13.51x trailing earnings of the industry. It can be helpful for investors to consider historical price-sales ratio, more specifically, a 1.72 PS value ratio is reported for the last one year of reported earnings. That is higher than the industry average of 1.07 which means RNR serve an unattractive investment opportunity compared to its competitors.
RNR Stock Support And Resistance Levels
On the 24-hour scale, the immediate backing is perceived around 164.37 level, and in case of violation of this particular level, it will cause more drop to 162.64 level. On the upper level, 170.83 is still the key resistance. The stock may increase to the subsequent resistance at 168.46. The Relative Strength Index (RSI) pinned on the 14-day chart is 51.26, implying a neutral technical stance while the MACD stands at 0.77, meaning price will decrease in the next trading period. Percent R indicator moved to 33.47%, implying low price movement. Stochastic %K at 49.90% suggest selling the stock.
What is the short interest in RenaissanceRe Holdings Ltd.?
Short interest in the RenaissanceRe Holdings Ltd. stock has surged, increasing by 59190.0 shares to total 0.38 million shares on Dec 14, 2020. The interest had seen shares on Nov 12, 2020 stand at 0.44 million, data from Yahoo Finance shows. The decrease of -15.74% suggests the stock saw some decreased bullish sentiment. The stock’s days to cover (short ratio) moved to while the shorted shares account for just 0.95% of the overall float for the stock.
RenaissanceRe Holdings Ltd.’s Biggest Shareholders: Who Owns RenaissanceRe Holdings Ltd. [RNR]?
Filings by BlackRock Fund Advisors showed that the firm now holds a total of 5,317,969 shares or roughly 10.47% of the outstanding RNR shares. This means their shares have reduced by -51,310 from the 5,317,969 the investor reportedly held in its prior 13-F filing. With the conclusion of the sale, The Vanguard Group, Inc. updated stake is worth $790,491,136. Details in the latest 13F filings reveal that Capital Research & Management Co acquired their 1.44% stake valued at $397,865,402 while State Farm Investment Management cut theirs at $395,021,246. During the last quarter, Capital Research & Management Co raised 34,218 of its shares in RenaissanceRe Holdings Ltd. The SSgA Funds Management, Inc.’s holdings currently number 2,276,400 shares at $378110040.0. According to the firm’s last 13F report, Fidelity Management & Research Co shares in the company at filing stood at 1,775,843 shares, roughly $292,374,792.
RNR Earnings Forecast For The Current Quarter
RenaissanceRe Holdings Ltd. [RNR] is expected to report strong earnings results for the quarter ending on Dec 2020. Consensus estimates give the company expected revenues of $1.13B and an earnings per share of $2.04 for Dec 2020. Looking further ahead, the company is expected to report revenue of $1.28B at an EPS of $4.47 for Mar 2021. The estimates represent upside of 16.40% and 291.14% in the company’s revenue and earnings per share, respectively, on a year-on-year basis.
RNR Earnings Estimates For The Current Year
For the financial year, RenaissanceRe Holdings Ltd. [NYSE:RNR] is expected to bring in revenue of $4.67B. The returns are nearly $470.0 million higher than the company’s actual revenue recorded in the fiscal year 2019. In terms of EPS for the 2020, estimate put it at 4.14, lower than that of FY19 by -$4.99. Estimates put this year’s earnings growth at -54.70%, 268.10% for the next, and at an annual 24.66% over the next 5-year period. As for sales, forecasts are for an increase of 11.20% in the current fiscal year and a further 16.40% over the following year.