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Kinsale Capital Group (KNSL): Evaluating Valuation After Strong Results and Expansion Contrast With a New Yearly Low

Simply Wall St · 2d ago

Kinsale Capital Group (KNSL) just hit a fresh 52 week low even as it beat expectations on its latest quarterly results and wrapped up a headquarters expansion, a mix that has investors reassessing the story.

See our latest analysis for Kinsale Capital Group.

The fresh 52 week low caps a tough stretch, with the 1 year total shareholder return down sharply even as the 3 and 5 year total shareholder returns remain solid. This is a sign that momentum has faded while the long term story is still intact.

If Kinsale’s swing in sentiment has you rethinking your watchlist, this is a good moment to explore fast growing stocks with high insider ownership as potential next wave candidates.

With earnings still growing, a sizeable discount to analyst targets and a new 52 week low, investors now face a key question: is Kinsale quietly undervalued, or is the market already pricing in its future growth?

Most Popular Narrative Narrative: 24.3% Undervalued

With Kinsale Capital Group last closing at $356.53 against a narrative fair value near $470.89, the spread points to a sizable upside gap.

Kinsale's advanced technology platform and strict expense discipline yield an industry low expense ratio (~20.7%). This positions the company to preserve and expand net margins as automation and data analytics further scale underwriting, quoting, and policy servicing over time.

Read the complete narrative.

Curious how disciplined underwriting, steady revenue growth and a premium earnings multiple are stitched together into one bold valuation case? The full narrative lays out the step by step financial roadmap behind that upside call, including how modest margin compression still supports materially higher earnings power and a richer multiple than the broader insurance sector.

Result: Fair Value of $470.89 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, intensifying competition in core commercial property lines and persistent inflation in long tail claims could quickly compress margins and undermine that upside case.

Find out about the key risks to this Kinsale Capital Group narrative.

Build Your Own Kinsale Capital Group Narrative

If you see the numbers differently or want to stress test your own assumptions, you can build a personalized thesis in just minutes using Do it your way

A good starting point is our analysis highlighting 3 key rewards investors are optimistic about regarding Kinsale Capital Group.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.