Specialty insurance company Bowhead Specialty Holdings (NYSE: BOW) will be reporting earnings this Tuesday before market hours. Here’s what to look for.
Bowhead Specialty beat analysts’ revenue expectations by 1.6% last quarter, reporting revenues of $133.3 million, up 34.7% year on year. It was a mixed quarter for the company, with an impressive beat of analysts’ revenue estimates but a slight miss of analysts’ net premiums earned estimates.
Is Bowhead Specialty a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Bowhead Specialty’s revenue to grow 21.9% year on year to $142.3 million, slowing from the 53.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.41 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Bowhead Specialty has a history of exceeding Wall Street’s expectations, beating revenue estimates every single time since going public by 3.3% on average.
Looking at Bowhead Specialty’s peers in the property & casualty insurance segment, some have already reported their Q3 results, giving us a hint as to what we can expect. Stewart Information Services delivered year-on-year revenue growth of 19.1%, beating analysts’ expectations by 30.8%, and Skyward Specialty Insurance reported revenues up 27.1%, topping estimates by 14.3%. Stewart Information Services traded down 4.1% following the results while Skyward Specialty Insurance was up 1.4%.
Read our full analysis of Stewart Information Services’s results here and Skyward Specialty Insurance’s results here.
The euphoria surrounding Trump’s November win lit a fire under major indices, but potential tariffs have caused the market to do a 180 in 2025. While some of the property & casualty insurance stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 3.9% on average over the last month. Bowhead Specialty is down 8.7% during the same time and is heading into earnings with an average analyst price target of $35.67 (compared to the current share price of $23.96).
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