On May 23, 2016, shares of Amerisafe, Inc. (AMSF Quick QuoteAMSF - Free Report) hit a 52-week high of $59.73, driven by better-than-expected first-quarter 2016 results. About 0.2 million shares exchanged hands in the last trading session and the stock finally closed at $59.50, up 1.21%. Year to date, the stock has returned 16.9%, comparing favorably with -4.8% by Nasdaq.

Amerisafe’s operating earnings of $1.26 per share in the first quarter surpassed the Zacks Consensus Estimate by 57% and improved 60% year over year. The strong performance came on the back of solid underwriting results and efficient claims management and expense control. This Zacks Rank #1 (Strong Buy) accident and health insurer delivered positive surprises in the last four quarters, with an average beat of 25.7%.

Revenues also fared well on higher premiums. Total expense decreased on lower insurance loss adjustment expense.

Underwriting profit skyrocketed 97.4% year over year, while net combined ratio improved 1,420 basis points in the first quarter.

Balance sheet strengthened, and cash and investments improved from 2015 end.  Also, return on equity exhibited an improvement of 740 basis points. Book value per share also increased year over year.

These positives drove the Zacks Consensus Estimate higher on upward revisions in the last 30 days. The Zacks Consensus Estimate increased 13% to $4.10 for 2016 and 9% to $4.05 for 2017.

Other Stocks to Consider

Investors interested in the accident  and health insurance space can also consider stocks like Aflac Inc. (AFL Quick QuoteAFL - Free Report) , Employers Holdings, Inc. (EIG Quick QuoteEIG - Free Report) and Trupanion, Inc. (TRUP Quick QuoteTRUP - Free Report) . Each of these stocks carries a Zacks Rank #2 (Buy).

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