Ryan Specialty Group (RYAN) AI Stock Analysis

• Market Cap: $17.39B
• Dividend Yield: 0.73%
• Average Volume (3M): 807.18K
• Price to Earnings (P/E): 8894.6
• Beta (1Y): 0.22
• Revenue Growth: 21.56%
• EPS Growth: -21.27%
• Country: US
• Employees: 5,556
• Sector: Financial
• Sector Strength: 73
• Industry: Insurance - Specialty
• EPS (TTM): 0.39
• Shares Outstanding: 126,642,914
• 10 Day Avg. Volume: 823,988
• 30 Day Avg. Volume: 807,178
• PEG Ratio: 0.19
• Price to Book (P/B): 9.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 14.07
• Enterprise Value/Market Cap: 0.33
• Enterprise Value/Revenue: 0.57
• Enterprise Value/Gross Profit: 3.91
• Enterprise Value/Ebitda: 2.32
• 1Y Price Target: $78.83
• Price Target Upside: 19.77% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 8

• Rating: 71 Outperform
• Price Target: $76.00 ▲(15.47%Upside)

Ryan Specialty Group's overall stock score is primarily supported by strong financial performance and positive sentiment from the recent earnings call. However, the stock's high valuation and mixed technical indicators limit the attractiveness, while the strategic appointment of a new COO provides additional support.

Positive Factors

Growth Potential

Targeted investments should enable double-digit organic growth over the long term.

Market Position

Ryan's national scale and niche expertise are helping it win market share.

Negative Factors

Interest Rates Impact

Management expects headwinds in 2025 resulting from lower interest rates, impacting fiduciary investment income.

Operational Costs

Lower margins resulted from higher G&A expenses, which were above the estimates, affecting overall performance.

Ryan Specialty Group Business Overview & Revenue Model

Company Description

Ryan Specialty Group Holdings, Inc. operates as a service provider of specialty products and solutions for insurance brokers, agents, and carriers. It offers distribution, underwriting, product development, administration, and risk management services by acting as a wholesale broker and a managing underwriter. The company was founded in 2010 and is headquartered in Chicago, Illinois.

How the Company Makes Money

Ryan Specialty Group makes money through its two main business segments: wholesale brokerage and underwriting management. In the wholesale brokerage segment, the company acts as an intermediary between insurance carriers and retail brokers, earning brokerage commissions for facilitating the placement of specialty insurance coverages. The underwriting management segment involves managing general underwriter (MGU) operations, where Ryan Specialty Group designs and administers insurance programs on behalf of insurers, earning fees and commissions based on the volume and profitability of the insurance written. Key revenue streams include brokerage commissions, fees from underwriting services, and profit-sharing arrangements with insurance carriers. Strategic partnerships with a wide network of brokers and insurers, along with a strong focus on niche and underserved markets, contribute significantly to its earnings.

Ryan Specialty Group Financial Statement Overview

Summary

Ryan Specialty Group demonstrates solid financial health with strong revenue and profit growth, effective cost management, and robust cash generation. However, the high debt-to-equity ratio poses a risk.

Income Statement

Ryan Specialty Group has shown consistent revenue growth, with TTM revenue increasing by 5.76% compared to the previous year. The gross profit margin stands strong at 38.36%, and the net profit margin is 2.77%, indicating moderate profitability. The EBIT margin and EBITDA margin are 18.73% and 21.53% respectively, demonstrating effective cost management and operational efficiency.

Balance Sheet

The debt-to-equity ratio is relatively high at 7.13, suggesting a significant reliance on debt financing. However, the return on equity (ROE) is 13.60%, indicating decent returns for shareholders. The equity ratio is 5.48%, reflecting a lower proportion of equity in the asset base, which may pose a risk in economic downturns.

Cash Flow

Free cash flow growth is slightly negative, but the company maintains a healthy operating cash flow to net income ratio of 6.63, indicating strong cash generation relative to earnings. The free cash flow to net income ratio is also favorable at 5.87, supporting the company's ability to fund operations and growth.

Breakdown
TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
2.66B	2.52B	2.08B	1.73B	1.43B	1.02B
	Gross Profit
1.45B	924.63M	756.52M	596.21M	441.15M	360.06M
	EBIT
449.12M	427.81M	359.08M	181.82M	61.56M	77.06M
	EBITDA
645.58M	598.63M	497.60M	418.32M	186.62M	235.58M
	Net Income Common Stockholders
50.49M	94.67M	61.04M	163.26M	65.87M	68.10M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
203.55M	540.20M	838.79M	992.72M	386.96M	312.65M
	Total Assets
9.89B	9.65B	7.25B	6.38B	5.46B	4.53B
	Total Debt
3.87B	3.46B	2.16B	2.16B	1.68B	1.69B
	Net Debt
3.66B	2.92B	1.32B	1.16B	1.30B	1.38B
	Total Liabilities
8.83B	8.55B	6.27B	5.57B	4.86B	4.46B
	Stockholders Equity
542.52M	627.66M	559.75M	478.40M	343.77M	69.79M
Cash Flow		Free Cash Flow
432.48M	467.87M	447.43M	320.47M	263.71M	122.89M
	Operating Cash Flow
488.58M	514.87M	477.20M	335.51M	273.49M	135.39M
	Investing Cash Flow
-2.32B	-1.76B	-476.23M	-22.42M	-457.94M	-865.42M
	Financing Cash Flow
1.51B	1.17B	-12.61M	314.76M	429.28M	989.24M

Ryan Specialty Group Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 65.82
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RYAN, the sentiment is Negative. The current price of 65.82 is below the 20-day moving average (MA) of 68.92, below the 50-day MA of 69.08, and below the 200-day MA of 68.22, indicating a bearish trend. The MACD of -0.88 indicates Positive momentum. The RSI at 39.29 is Neutral, neither overbought nor oversold. The STOCH value of 16.37 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RYAN.

Ryan Specialty Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MTG	79 Outperform	$6.38B	8.93	15.12%	1.94%	4.64%	15.36%
ESNT	79 Outperform	$5.94B	8.58	13.29%	2.12%	9.87%	3.41%
AIZ	78 Outperform	$10.10B	15.45	13.20%	1.61%	6.18%	-10.34%
RYAN	71 Outperform	$17.39B	8,894.59	9.23%	0.73%	21.56%	-21.27%
FAF	66 Neutral	$6.15B	38.89	3.23%	3.61%	0.96%	-27.04%
Sector *	64 Neutral	$12.77B	9.71	7.85%	78.06%	12.07%	-7.97%
FNF	64 Neutral	$15.43B	13.66	14.72%	3.62%	4.40%	33.32%

Ryan Specialty Group Corporate Events

Ryan Specialty Group Approves Key Governance Amendments

On May 30, 2025, Ryan Specialty Holdings, Inc. held its annual meeting where stockholders approved multiple amendments to the company’s Certificate of Incorporation and bylaws. These changes include declassifying the Board of Directors, adopting a majority voting standard for uncontested director elections, and allowing stockholders to call special meetings and take action by written consent. Additionally, the amendments set a sunset date for the voting disparity between Class A and Class B shares and provide for the exculpation of certain officers under Delaware law. These amendments aim to enhance corporate governance and align with market standards, potentially impacting the company’s operational flexibility and shareholder engagement.

The most recent analyst rating on (RYAN) stock is a Hold with a $60.00 price target. To see the full list of analyst forecasts on Ryan Specialty Group stock, see the RYAN Stock Forecast page.

Ryan Specialty Group Appoints New Chief Operating Officer

On March 27, 2025, Ryan Specialty Holdings, Inc. announced the appointment of Stephen P. Keogh as Chief Operating Officer, effective May 1, 2025. Keogh, with over 32 years of experience at Aon plc, is expected to bring significant operational and leadership expertise to Ryan Specialty. His appointment is seen as a strategic move to enhance the company’s operational excellence and optimize its platform, aligning with its growth ambitions. The compensation package includes a base salary, an annual bonus, and performance stock units contingent on achieving specific growth targets.