Greenlight Capital Re (GLRE) AI Stock Analysis

• Market Cap: $563.79M
• Dividend Yield: N/A
• Average Volume (3M): 163.85K
• Price to Earnings (P/E): 6.6
• Beta (1Y): 0.37
• Revenue Growth: 5.83%
• EPS Growth: -101.38%
• Country: US
• Employees: 75
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Reinsurance
• EPS (TTM): 1.44
• Shares Outstanding: 33,983,604
• 10 Day Avg. Volume: 274,013
• 30 Day Avg. Volume: 163,847
• PEG Ratio: 0.09
• Price to Book (P/B): 0.70
• Price to Sales (P/S): 0.71
• P/FCF Ratio: 2.35
• Enterprise Value/Market Cap: -0.13
• Enterprise Value/Revenue: -0.10
• Enterprise Value/Gross Profit: -0.25
• Enterprise Value/Ebitda: -0.85
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 1.6
• Revenue Forecast (FY): N/A

• Rating: 71 Outperform
• Price Target: $15.50 ▲(17.78% Upside)
• Action: Upgraded Date: 03/10/26
• Date: Action: Upgraded 03/10/26

The score is driven primarily by solid financial resilience (strong balance sheet and improved cash generation) and a positive earnings call backdrop (record underwriting results, book value growth, deleveraging and buybacks). These are tempered by uncertainty from the latest period’s sharp revenue dislocation and historical volatility, with only mildly positive technical momentum and a merely reasonable valuation (P/E 13.829, no dividend yield provided).

Positive Factors

Balance Sheet Strength / Deleveraging

Reducing debt to $5M and cutting leverage to ~0.7% from 9.5% materially strengthens capital resilience. Low leverage and remaining buyback capacity improve financial flexibility to absorb underwriting shocks, support ratings, fund opportunistic investments, and limit refinancing risk over multi-year cycles.

Improved Cash Generation

Sustained positive operating and free cash flow across 2023–2025 increases self-funding capacity for claims, reserve development, and capital deployment. Durable cash generation reduces dependency on capital markets, supports buybacks and fixed-maturity allocations, and cushions cyclical underwriting volatility.

Diversified Premium Growth & Scale

Consistent premium growth across Open Market, Funds at Lloyd’s and Innovations broadens the revenue base and spreads risk. Growth at Lloyd’s and syndicate expansion increases capacity and long-term scale benefits, improving underwriting leverage and creating recurring premium streams that support sustained earnings.

Negative Factors

Innovations Underwriting Losses

A combined ratio above 100% and elevated expense ratios from scale-up costs indicate structural margin pressure in Innovations. Until loss experience and expense leverage normalize, this segment can persistently drag consolidated underwriting returns and increase reserve volatility over the medium term.

Rate Softening and Catastrophe Exposure

Material rate declines at renewals and rising North Atlantic 1-in-250 exposure point to structural margin compression and heightened catastrophe risk. Over several renewals, weaker pricing and larger peak exposures can erode underwriting profitability and necessitate higher capital or reinsurance costs to maintain target returns.

Revenue and Earnings Volatility

An extreme revenue drop of ~91% in the latest period highlights meaningful top-line volatility. Such swings reduce predictability of underwriting and investment income, complicate reserve and capital planning, and imply earnings can be heavily affected by timing of premium recognition and investment gains over multi-year horizons.

Greenlight Capital Re Business Overview & Revenue Model

Company Description

Greenlight Capital Re (GLRE) is a reinsurance and investment management company that specializes in providing property and casualty reinsurance products. Headquartered in the Cayman Islands, GLRE operates in the insurance sector, focusing on a range of reinsurance solutions for various risks, including those associated with natural disasters and other catastrophic events. The company is known for its unique approach by integrating investment management with its reinsurance operations, allowing it to leverage its capital effectively.

How the Company Makes Money

GLRE primarily makes money through two engines: (1) underwriting income from reinsurance and (2) investment returns on the capital (float) it holds. 1) Underwriting (reinsurance) revenues and profit - Premiums: GLRE earns gross written and earned premiums by assuming a portion of insurers’ risk under reinsurance contracts, mainly in property and casualty lines. - Underwriting result: After collecting premiums, GLRE pays claims and claim-adjustment expenses when covered losses occur, and also incurs operating expenses (e.g., acquisition costs/commissions, servicing, administration). If premiums exceed claims and expenses for a period, it generates underwriting profit; if not, it produces an underwriting loss. - Reserving: Profitability is influenced by how accurately the company estimates and sets reserves for reported and incurred-but-not-reported claims; adverse reserve development can reduce earnings. 2) Investment income and gains on invested assets - Investment portfolio: Like other reinsurers, GLRE invests the assets it holds to back reserves and capital. Returns can include interest income (from fixed income), dividends, and realized/unrealized gains or losses on securities. - Float economics: Premiums are typically received before claims are paid, creating investable funds (insurance “float”). Even if underwriting is roughly breakeven, investment returns on float can be a major contributor to overall profitability. - Related-party/manager relationship: The company’s investment strategy has historically been associated with Greenlight Capital’s value-driven approach; management fees, specific contractual terms, and performance-fee structures are not provided here and therefore are null. Key factors affecting earnings - Catastrophe and loss volatility: Large catastrophe events or adverse loss trends can materially increase claims and reduce underwriting results. - Pricing and cycle: Reinsurance pricing conditions and terms (limits, attachments, exclusions) affect premium adequacy and margins. - Investment market performance: Equity and credit market movements and interest-rate changes can significantly impact reported investment gains/losses. Significant partnerships or specific customer concentrations: null

Greenlight Capital Re Financial Statement Overview

Summary

Strong balance sheet (low leverage and steadily growing equity) and a meaningful rebound in operating/free cash flow support financial resilience. Offsetting this, profitability and cash flow have shown volatility, and the latest period’s extreme revenue decline raises uncertainty about the sustainability and quality of recent results.

Income Statement

Profitability has generally improved versus earlier years, with net margins strengthening meaningfully in 2023–2024 and net income staying positive across the full period. However, the latest annual period shows an extreme revenue decline (down ~91%), which raises concerns about earnings quality and sustainability even though net margin appears unusually high. Margin volatility over time also suggests results can swing materially with underwriting/investment conditions.

Balance Sheet

The balance sheet looks conservatively positioned with low leverage: debt-to-equity is modest in recent years and drops to effectively zero in the latest annual period, while equity has grown steadily. Returns on equity improved notably in 2023 before moderating, indicating the company can generate solid profitability but not consistently. Overall, financial flexibility appears strong, with the main watch item being variability in returns rather than balance-sheet strain.

Cash Flow

Cash generation has strengthened substantially, with operating and free cash flow turning strongly positive in 2023–2025 and accelerating in the latest year. That said, cash flow was meaningfully negative in 2020–2022, highlighting higher volatility and potential timing swings that can occur in reinsurance. Recent performance is a clear positive, but the multi-year variability keeps this from scoring higher.

Breakdown	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	696.35M	647.97M	632.35M	477.63M	570.46M
Gross Profit	284.76M	43.93M	103.46M	18.00M	50.52M
EBITDA	83.10M	52.75M	94.96M	35.52M	39.26M
Net Income	74.83M	42.82M	86.83M	25.34M	17.58M
Balance Sheet
Total Assets	2.17B	2.02B	1.74B	1.58B	1.43B
Cash, Cash Equivalents and Short-Term Investments	643.73M	64.69M	51.08M	38.24M	76.31M
Total Debt	7.40M	60.75M	73.28M	80.53M	98.06M
Total Liabilities	1.46B	1.38B	1.14B	1.08B	951.83M
Stockholders Equity	707.98M	635.88M	596.10M	503.12M	475.66M
Cash Flow
Free Cash Flow	210.21M	111.50M	7.51M	-139.05M	-57.53M
Operating Cash Flow	210.21M	111.50M	7.51M	-31.80M	-56.30M
Investing Cash Flow	-149.17M	-96.56M	-53.13M	47.02M	23.09M
Financing Cash Flow	-65.14M	-21.24M	-5.29M	-19.83M	-10.00M

Greenlight Capital Re Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 13.16
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GLRE, the sentiment is Positive. The current price of 13.16 is below the 20-day moving average (MA) of 14.37, below the 50-day MA of 14.04, and below the 200-day MA of 13.49, indicating a bullish trend. The MACD of 0.29 indicates Negative momentum. The RSI at 73.82 is Negative, neither overbought nor oversold. The STOCH value of 85.90 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GLRE.

Greenlight Capital Re Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
GLRE	71 Outperform	$563.79M	6.59	11.10%	―	5.83%	-101.38%
SPNT	71 Outperform	$2.38B	5.55	20.87%	―	7.87%	-4.68%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
JRVR	63 Neutral	$299.72M	6.16	7.44%	0.63%	-19.08%	56.21%
WSBF	62 Neutral	$324.05M	11.18	7.67%	3.59%	-0.09%	83.67%
KG	46 Neutral	$82.68M	1.26	33.48%	―	-66.75%	-50.53%
OXBR	44 Neutral	$6.60M	-18.54	-50.32%	―	―	55.30%

Greenlight Capital Re Corporate Events

Greenlight Capital Re announces upcoming general counsel resignation

On February 2, 2026, Greenlight Capital Re, Ltd. announced that its General Counsel, Chief Compliance Officer and Corporate Secretary, David Sigmon, has given notice of his intention to resign effective May 1, 2026. The company stated that Sigmon’s departure is not due to any disagreement with management, the board, or company policies and operations, and he will remain in his current roles until his exit, suggesting an orderly transition for the insurer’s legal and compliance functions without immediate signs of internal turmoil.

The most recent analyst rating on (GLRE) stock is a Hold with a $14.00 price target. To see the full list of analyst forecasts on Greenlight Capital Re stock, see the GLRE Stock Forecast page.