Ryan Specialty Group (RYAN)
NYSE:RYAN
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Ryan Specialty Group
(NYSE:RYAN)
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Rating:57Neutral
Price Target:
$35.00
â–²(0.26% Upside)
Action:ReiteratedDate:02/14/26
The score is driven primarily by solid operating performance and strong free cash flow, partially offset by elevated balance-sheet leverage. Technicals are weak (broadly below key moving averages with negative MACD), and valuation is a major headwind due to the very high P/E. Earnings call signals a balanced outlook: moderated 2026 growth and margin pressure near term, but supportive shareholder actions (buyback authorization and dividend increase) and longer-term efficiency initiatives.
Positive Factors
Strong free cash flow generation
Ryan delivered materially stronger cash generation in 2025 (OCF ~$644M; FCF ~$576M, ~63% FCF growth). Persistent, high free cash flow supports sustained M&A funding, the $300M buyback and dividend policy while indicating solid earnings quality and long-term capital flexibility.
Negative Factors
Elevated financial leverage
The balance sheet is highly levered (debt-to-equity ~5.68x in 2025), increasing sensitivity to earnings shocks and interest rates. High leverage constrains strategic optionality, raises fixed interest costs, and reduces resilience to underwriting or macro stress despite strong ROE that is leverage‑amplified.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong free cash flow generation
Ryan delivered materially stronger cash generation in 2025 (OCF ~$644M; FCF ~$576M, ~63% FCF growth). Persistent, high free cash flow supports sustained M&A funding, the $300M buyback and dividend policy while indicating solid earnings quality and long-term capital flexibility.
Read all positive factors
Ryan Specialty Group (RYAN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$9.19B
Dividend Yield0.93%
Average Volume (3M)1.94M
Price to Earnings (P/E)103.6
Beta (1Y)0.46
Revenue Growth22.77%
EPS Growth-34.97%
CountryUS
Employees5,556
SectorFinancial
Sector Strength70
IndustryInsurance - Specialty
Share Statistics
EPS (TTM)0.45
Shares Outstanding128,670,680
10 Day Avg. Volume1,670,758
30 Day Avg. Volume1,937,427
Financial Highlights & Ratios
PEG Ratio-2.89
Price to Book (P/B)10.14
Price to Sales (P/S)2.15
P/FCF Ratio11.41
Enterprise Value/Market Cap0.86
Enterprise Value/Revenue2.59
Enterprise Value/Gross Profit3.06
Enterprise Value/Ebitda9.81
Forecast
1Y Price Target
$46.85Price Target Upside34.20% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering15
EPS Forecast (FY)2.24
Revenue Forecast (FY)$3.40B
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 serv...
How the Company Makes Money
Ryan Specialty primarily makes money by earning insurance distribution and underwriting-related fees tied to the placement and management of specialty insurance risks. (1) Wholesale brokerage and distribution revenue: When retail insurance agents/...
Ryan Specialty Group Earnings Call Summary
Earnings Call Date:Feb 12, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 30, 2026
Earnings Call Sentiment Positive
The call presented a balanced picture: strong full-year revenue and profit growth, successful M&A, and rapid expansion of delegated authority and product reach are clear positives. However, material near-term headwinds — notably sharp property price declines, margin pressure from investments, restructuring charges (Project Empower) with backloaded savings, and construction/project delays — temper the outlook for 2026. Management emphasized diversification, resilience, and long-term confidence (share repurchase authorization, continued M&A focus, and strategic investments), but acknowledged that margins and revenue growth will be moderated in the near term.Positive Updates
Strong Full-Year Top-Line Growth
Total revenue for FY2025 exceeded $3.0 billion, up 21% year-over-year, driven by organic growth of 10.1% and meaningful M&A contributions (~10 percentage points).
Negative Updates
Property Pricing Volatility and Declines
Property pricing deteriorated sharply in Q4, with certain large accounts experiencing rate decreases of 25%–35% in December; management expects similar property pricing declines could continue into 2026, pressuring growth in property-related lines.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong Full-Year Top-Line Growth
Total revenue for FY2025 exceeded $3.0 billion, up 21% year-over-year, driven by organic growth of 10.1% and meaningful M&A contributions (~10 percentage points).
Read all positive updates
Company Guidance
Ryan Specialty guided to high-single-digit organic revenue growth for 2026 (with Q1 expected to be the strongest quarter, aided by Ryan Re) while cautioning the outlook reflects continued property pricing pressure, moderating casualty growth and macro uncertainty; full-year adjusted EBITDAC margin is expected to be flat to moderately down versus 2025 as the company absorbs talent and technology investments and faces headwinds from lower fiduciary investment income, stable (but normalization of) contingent commissions and higher healthcare/benefits costs. Management is launching Project Empower with an anticipated cumulative special charge of ~ $160 million through 2028 to drive roughly $80 million of annual run-rate savings by 2029 (supporting modest margin expansion over time), expects GAAP interest expense net of interest income of ~ $210 million in 2026 (~ $55 million in Q1), assumes an adjusted effective tax rate of ~26% in 2026, finished the quarter at 3.2x net leverage, and announced an $300 million share repurchase authorization alongside an 8% dividend increase to $0.13 per Class A share.Ryan Specialty Group Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
38
Negative
Cash Flow
84
Very Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 3.05B | 2.52B | 2.08B | 1.73B | 1.43B |
| Gross Profit | 2.76B | 2.52B | 2.08B | 1.73B | 1.43B |
| EBITDA | 803.08M | 598.63M | 473.27M | 393.31M | 253.60M |
| Net Income | 63.40M | 94.67M | 61.04M | 61.05M | 65.87M |
Balance Sheet | |||||
| Total Assets | 10.56B | 9.65B | 7.25B | 6.38B | 5.46B |
| Cash, Cash Equivalents and Short-Term Investments | 158.32M | 540.20M | 838.79M | 992.72M | 386.96M |
| Total Debt | 3.53B | 3.46B | 2.16B | 2.16B | 1.68B |
| Total Liabilities | 9.31B | 8.55B | 6.27B | 5.57B | 4.86B |
| Stockholders Equity | 648.07M | 627.66M | 559.75M | 478.40M | 343.77M |
Cash Flow | |||||
| Free Cash Flow | 575.71M | 467.87M | 447.43M | 320.47M | 263.71M |
| Operating Cash Flow | 643.67M | 514.87M | 477.20M | 335.51M | 273.49M |
| Investing Cash Flow | -834.01M | -1.76B | -476.23M | -22.42M | -457.94M |
| Financing Cash Flow | 78.12M | 1.17B | -12.61M | 314.76M | 429.28M |
Ryan Specialty Group Technical Analysis
Negative
34.91
Price Trends
39.12
Negative
46.27
Negative
52.17
Negative
Market Momentum
-1.57
Negative
45.27
Neutral
84.71
Negative
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 34.91 is above the 20-day moving average (MA) of 34.38, below the 50-day MA of 39.12, and below the 200-day MA of 52.17, indicating a neutral trend. The MACD of -1.57 indicates Negative momentum. The RSI at 45.27 is Neutral, neither overbought nor oversold. The STOCH value of 84.71 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RYAN.
Ryan Specialty Group Risk Analysis
Ryan Specialty Group disclosed 74 risk factors in its most recent earnings report. Ryan Specialty Group reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Ryan Specialty Group Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | $5.78B | 9.33 | 12.35% | 1.88% | 2.78% | -0.50% | |
72 Outperform | $11.12B | 13.93 | 15.61% | 1.36% | 6.91% | 17.60% | |
68 Neutral | $5.90B | 8.93 | 14.33% | 1.89% | 2.20% | 9.90% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
66 Neutral | $6.46B | 10.21 | 11.87% | 3.58% | 25.99% | 426.44% | |
57 Neutral | $9.19B | 103.64 | 10.43% | 0.93% | 22.77% | -34.97% | |
54 Neutral | $12.91B | -31.49 | 7.63% | 3.69% | 3.91% | 55.78% |
* Financial Sector Average
RYAN
Ryan Specialty Group
34.91
-36.38
-51.03%
AIZ
Assurant
223.69
36.31
19.38%
FNF
Fidelity National Financial
47.60
-8.25
-14.77%
FAF
First American Financial
63.39
5.45
9.41%
MTG
MGIC Investment
27.43
4.72
20.76%
ESNT
Essent Group
61.15
8.10
15.28%
Ryan Specialty Group Corporate Events
Business Operations and StrategyStock BuybackFinancial Disclosures
Ryan Specialty Launches Empower Program and Share Repurchases
Positive
Feb 12, 2026
On February 10, 2026, Ryan Specialty’s board approved a three-year “Empower Program” restructuring, beginning in the first quarter of 2026, aimed at streamlining brokerage, binding and underwriting operations, scaling data and te...
Regulatory Filings and ComplianceShareholder Meetings
Ryan Specialty Schedules 2026 Virtual Annual Stockholder Meeting
Neutral
Feb 12, 2026
Ryan Specialty Holdings, Inc. has scheduled its 2026 annual meeting of stockholders to be held virtually on April 28, 2026, with the record date set as the close of business on March 2, 2026, determining which shareholders are entitled to receive ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.