Homeowners Choice (NYSE:HCI) was upgraded by equities research analysts at Gilford Securities from a “neutral” rating to a “buy” rating in a research note issued to investors on Friday, Analyst Ratings Network.com reports. The firm currently has a $44.50 price objective on the stock, up from their previous price objective of $37.50. Gilford Securities’ price objective points to a potential upside of 43.69% from the company’s current price.
The analysts wrote, “Yesterday after the close HCI Group (Symbol: HCI) announced that the Homeowners Choice Property & Casualty Insurance subsidiary has been approved by the Florida Office of Insurance Regulation for a 50,373 policies from Citizens Property Insurance. Policy take-outs from Citizens have been central to the HCI growth plan. We would note that it is likely that the final number will be somewhat smaller than the 50k announced today as duplicate claims for policies among insurance firms competing for the same policy get randomly assigned. Last year HCI was approved for over 70k policies and at the end of the process ended up with 59k policies. We are not even positive that HCI will actually execute the take-out. But assuming they do, we can be assured that the take-out will be accretive to EPS, likely starting in 2013 Q4.”
Separately, analysts at Zacks downgraded shares of Homeowners Choice from an “outperform” rating to a “neutral” rating in a research note to investors on Wednesday, July 24th. They now have a $38.50 price target on the stock.
Homeowners Choice (NYSE:HCI) traded up 12.92% during mid-day trading on Friday, hitting $34.97. The stock had a trading volume of 287,633 shares. Homeowners Choice has a 52 week low of $18.29 and a 52 week high of $37.94. The stock’s 50-day moving average is $34.0 and its 200-day moving average is $29.59. The company has a market cap of $399.7 million and a price-to-earnings ratio of 6.65.
The company also recently declared a quarterly dividend, which is scheduled for Friday, September 20th. Stockholders of record on Friday, August 16th will be given a dividend of $0.23 per share. This represents a $0.90 dividend on an annualized basis and a yield of 2.91%. The ex-dividend date of this dividend is Wednesday, August 14th.
HCI Group Inc, formerly Homeowners Choice, Inc, is a holding company. The Company, through its subsidiaries, is engaged in the property and casualty insurance business.
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