Fresh insights from Zacks Research indicate a stronger financial outlook for Palomar Holdings, Inc., as analysts have significantly boosted their third-quarter 2025 earnings per share (EPS) estimates for the specialty insurance company.
Specifically, Zacks Research analyst S. Sarkar now projects Palomar will achieve earnings of $1.43 per share for the upcoming quarter, marking an upward revision from their prior forecast of $1.42. This optimistic adjustment contributes to a broader consensus estimate that anticipates Palomar’s current full-year earnings reaching $5.99 per share, signaling robust performance expectations.
This positive sentiment is echoed by several other prominent research analysts who have recently updated their perspectives on PLMR stock. While some, like Truist Financial, have maintained “buy” ratings and lifted price objectives to $178.00, others, such as Jefferies Financial Group, have also raised their target prices to $168.00 with “buy” recommendations. JPMorgan Chase & Co. notably upgraded Palomar from “neutral” to “overweight,” increasing their price objective to $150.00.
Across the board, market observers reveal a generally bullish outlook for Palomar, with three analysts assigning a “hold” rating and five recommending a “buy.” According to MarketBeat.com, the company currently holds an “Moderate Buy” consensus rating, supported by an average target price of $174.17, underscoring collective confidence in its future trajectory and strong investor insights.
Palomar’s stock performance reflects this analyst optimism, having opened at $129.62 recently. The company’s shares have traded within a 1-year low of $82.54 and a 1-year high of $175.85, indicating significant market movement. With a fifty-day moving average price of $150.60 and a 200-day moving average of $139.18, along with a substantial market capitalization of $3.47 billion and a P/E ratio of 25.87, Palomar demonstrates a stable yet dynamic presence in the market, crucial for financial analysis.
The company’s recent financial disclosures further bolster confidence, as Palomar last reported its quarterly earnings on Monday, May 5th. During this period, the company exceeded expectations by posting $1.87 earnings per share, comfortably beating the consensus estimate of $1.61 by $0.26. Moreover, Palomar reported robust revenue of $174.63 million for the quarter, surpassing analyst projections of $161.97 million, alongside impressive net margins and return on equity, reinforcing positive earnings estimates.
Institutional investors and hedge funds have also been actively adjusting their positions in PLMR, signaling increased interest. Major players such as Vanguard Group Inc., American Century Companies Inc., Geode Capital Management LLC, and Dimensional Fund Advisors LP have all augmented their holdings in Palomar, collectively owning a significant portion of the company’s stock. This pattern of accumulation by large investment firms highlights growing institutional confidence in Palomar’s long-term value and future investment forecasts.
While institutional interest has grown, some insider trading activity has also been reported. An insider sold 473 shares of Palomar stock for over $72,000 in late June, reducing their position, and the CEO also sold 5,000 shares for over $800,000 in May. These transactions, though significant in value, represent a minor percentage decrease in their overall ownership, with company insiders still holding a notable 3.70% of the stock.
Palomar Holdings, Inc. operates as a specialized insurance provider, delivering property and casualty insurance solutions to both residential and commercial clients across the United States. Its diverse product portfolio encompasses a range of specialty property insurance offerings, including earthquake, commercial all-risk, specialty homeowners, and inland marine insurance, reinforcing its critical role within the insurance sector.
