Investment firm Meritage Portfolio Management has dramatically reduced its stake in Old Republic International Corporation (NYSE: ORI) by 92.4% during the third quarter of 2023, according to a report from Holdings Channel. The firm now holds only 5,239 shares of the insurance provider, having sold 63,343 shares during this period. As of its latest filing with the Securities and Exchange Commission (SEC), Meritage’s holdings in Old Republic International are valued at approximately $222,000.
This significant divestment comes amidst a broader trend, as several other hedge funds and institutional investors have also adjusted their positions in Old Republic International. For instance, Ameritas Advisory Services LLC acquired a new position in the company during the second quarter, estimated at around $34,000. Similarly, Caldwell Trust Co increased its holdings by 75.0% in the third quarter, now owning 1,050 shares valued at $45,000 after purchasing an additional 450 shares.
In addition, SJS Investment Consulting Inc. boosted its position by 37.1%, acquiring 1,101 shares worth $47,000. Headlands Technologies LLC also entered the market with a new position valued at $46,000, while SBI Securities Co. Ltd. increased its stake by 29.0%, now owning 1,219 shares valued at $47,000. Collectively, hedge funds and institutional investors own approximately 70.92% of Old Republic International’s stock.
Current Market Performance
As of the latest trading session, Old Republic International shares opened at $43.03. The company has experienced fluctuations in its stock price over the past year, with a low of $34.43 and a high of $46.76. Key financial metrics include a current ratio of 0.26, a quick ratio of 0.26, and a debt-to-equity ratio of 0.25. The stock’s 50-day simple moving average stands at $44.51, while the 200-day simple moving average is $41.23. Old Republic International’s market capitalization is approximately $10.65 billion, with a P/E ratio of 14.39 and a beta of 0.76.
Dividend Announcement and Analyst Ratings
Recently, Old Republic International declared a special dividend of $2.50, which was paid on January 14, 2024. Shareholders of record on January 2, 2024 were eligible to receive this payment. The company’s current payout ratio is reported to be 38.80%.
In terms of market sentiment, Old Republic International has garnered positive attention from analysts. Weiss Ratings reaffirmed a “buy” rating on the stock in a report dated December 24, 2023, while Piper Sandler raised its target price from $46.00 to $51.00, assigning an “overweight” rating. Additionally, Raymond James Financial upgraded its stance from “outperform” to “strong-buy,” increasing the price target from $43.00 to $47.00. Currently, two research analysts have given the stock a “Strong Buy” rating, while another has assigned it a “Buy” rating, resulting in an average target price of $49.00 according to data from MarketBeat.com.
In insider trading news, Therace Risch, a director at Old Republic International, purchased 1,000 shares on November 3, 2023, at an average price of $39.14, totaling $39,140. Post-transaction, Risch holds 10,625 shares, valued at approximately $415,862.50, marking a 10.39% increase in their position.
Conversely, Carolyn Monroe, a senior vice president, sold 6,680 shares on November 14, 2023, at an average price of $44.54, amounting to $297,527.20. Following this sale, Monroe’s holdings decreased to 29,075 shares, valued at around $1,295,000.50.
Insiders currently own 1.10% of the company’s stock, reflecting a modest level of insider participation in Old Republic International’s equity.
Old Republic International operates primarily in the insurance underwriting sector, providing a wide range of services through its subsidiaries across the United States and Canada. The company is segmented into General Insurance, Title Insurance, and the Republic Financial Indemnity Group Run-off Business, catering to diverse insurance needs from aviation to workers’ compensation.
