Palomar Holdings: Strong Reinsurance Placements and Financial Guidance Boost Buy Rating

Jefferies analyst Andrew Andersen reiterated a Buy rating on Palomar Holdings (PLMR – Research Report) today and set a price target of $190.00.

Andrew Andersen has given his Buy rating due to a combination of factors, primarily focusing on Palomar Holdings’ successful reinsurance placements and improved financial guidance. The company has completed its reinsurance programs with better-than-expected terms, securing additional coverage at a reduced cost, which positions it well for growth in 2025 and beyond.
Furthermore, Palomar Holdings has increased its adjusted net income guidance for 2025 by 4%, reflecting a significant year-over-year growth. The enhanced reinsurance coverage, particularly for earthquake events, and the strategic use of catastrophe bonds have strengthened the company’s financial stability. These factors, along with an increase in earnings per share estimates, support the Buy rating with a price target of $190, indicating a potential upside of 16%.

According to TipRanks, Andersen is a 4-star analyst with an average return of 13.5% and a 58.82% success rate. Andersen covers the Financial sector, focusing on stocks such as Progressive, Allstate, and Palomar Holdings.

In another report released today, Piper Sandler also maintained a Buy rating on the stock with a $177.00 price target.