RLI Corp. (RLI)

RLI Corp. reported its fourth-quarter and year-end 2025 results, with Q4 2025 net earnings of $91.2 million ($0.99 per share) and operating earnings of $86.4 million ($0.94 per share), exceeding EPS expectations. Revenue for Q4 2025 fell short of projections, and underwriting income for the quarter dropped significantly compared to the previous year. RLI declared a regular dividend of $0.16 per share and a special cash dividend of $2.00 per share in November 2025. In October 2025, RLI Corp. stock reached a new 52-week low of $61.59. The company also reported strong underwriting income for Q3 2025, reaching $60.5 million with an improved combined ratio of 85.1%.

Demand for RLI Corp.'s insurance products can be influenced by seasonal events, such as hurricane season impacting property insurance. RLI's stock performance has shown some seasonal patterns, with a historical "Buy Date of July 19 and a Sell Date of November 26" over the past 20 years.

RLI Corp. is an insurance holding company specializing in property and casualty insurance, focusing on niche markets and complex risks. It operates through three segments: Casualty, Property, and Surety, offering tailored solutions for various insurance needs.

RLI Corp. operates nationwide across the United States, with offices located in or near major cities, and its headquarters in Peoria, Illinois. Beyond the U.S., RLI also has a geographic footprint that extends to Canada, the United Kingdom, the rest of Europe, India, and Singapore.

RLI Corp. maintains a strong brand reputation, holding an A+ (Superior) rating from AM Best and an A (Strong) rating from S&P as of December 31, 2024. RLI has been named to Ward's 50® list of top-performing insurance companies for 35 consecutive years. Potential challenges to reputation and valuation include rising climate risks, shifting technology trends, intensifying competition, escalating costs, and a reliance on niche U.S. markets.

RLI Corp.'s ownership is a mix of institutional, retail, and individual investors. Institutional investors hold a significant portion, approximately 42.97% to 84.02% of the company's stock. Major institutional owners include Vanguard Group Inc., State Street Corp, BlackRock, Inc., and Kayne Anderson Rudnick Investment Management Llc. Insiders own about 1.38% to 6.41% of the stock, while public companies and individual investors hold approximately 55.64%. The RLI Corp. Employee Stock Ownership Plan & Trust also holds a notable percentage of shares.