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Kinsale Capital Group, Inc. (KNSL) Stock Sinks As Market Gains: Here's Why

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Kinsale Capital Group, Inc. (KNSL - Free Report) closed the most recent trading day at $423.61, moving -1.19% from the previous trading session. This change lagged the S&P 500's daily gain of 0.44%. Elsewhere, the Dow saw an upswing of 0.14%, while the tech-heavy Nasdaq appreciated by 0.7%.

The company's stock has dropped by 5.86% in the past month, falling short of the Finance sector's gain of 3.79% and the S&P 500's gain of 4.03%.

Market participants will be closely following the financial results of Kinsale Capital Group, Inc. in its upcoming release. The company's earnings per share (EPS) are projected to be $4.66, reflecting a 10.95% increase from the same quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $449.2 million, up 7.45% from the year-ago period.

For the full year, the Zacks Consensus Estimates are projecting earnings of $18.32 per share and revenue of $1.8 billion, which would represent changes of +14.07% and +13.42%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for Kinsale Capital Group, Inc. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.02% higher. Right now, Kinsale Capital Group, Inc. possesses a Zacks Rank of #3 (Hold).

In terms of valuation, Kinsale Capital Group, Inc. is currently trading at a Forward P/E ratio of 23.41. This signifies a premium in comparison to the average Forward P/E of 11.37 for its industry.

Investors should also note that KNSL has a PEG ratio of 1.58 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Insurance - Property and Casualty industry had an average PEG ratio of 2.46 as trading concluded yesterday.

The Insurance - Property and Casualty industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 42, which puts it in the top 18% of all 250+ industries.

The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.


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