Nelson, re HRTG: Good memory, the Hyer purchase was announced then:
"On December 14, 2023, the Company entered into a securities purchase agreement (“Purchase Agreement”) pursuant to which (i) Raymond T. Hyer, a current holder of approximately 13.5% shares of our Common Stock, agreed to purchase directly from us, in a concurrent private placement, 148,148 shares of Common Stock at the Public Offering Price and (ii) Ernie Garateix, a director of the Company and the Company’s Chief Executive Officer and Paul L. Whiting, a director of the Company, agreed to purchase directly from us, in a concurrent private placement, an aggregate of 27,247 and 40,871, respectively, shares of our Common Stock at $7.34, the closing price of the Company’s Common Stock on December 14, 2023 (the “Private Placement”)."
The other two filed their Form 4 a day or two after this 8K was filed. What's interesting is that these insiders actually paid a higher price (7.34) than what the secondary offering was placed at (6.75). The stock traded well below those prices, finally putting in a bottom in the 5.50s.
UVE's stock is reacting really well to their earnings cc. (The quarterly results weren't all that great compared to y/y figures, but I guess its on to FY24!) From the Q4 transcript:
"We closed out both the fourth quarter and full year with double-digit adjusted returns on common equity. And I believe that even stronger results are firmly in our future. 2023 was a transformative year for us and our significant efforts position us for meaningful success in the new legislative environment.
We've added a buffer to our loss picks and bolstered reserves for years that predate the elimination of one-way attorney fees and assignment of benefits to what I view as the most conservative level in our history. Importantly, we did this because we wanted to place the past in the rearview mirror and shift our focus to the future. "
On SA, the one UVE analyst they track has projected UVE to earn 2.30 in FY24, so if that's anywhere close to accurate (the adjusted fd eps for FY23 was 1.95), then the stock is trading at 8.7x forward earnings. Seems fair to me. If we apply a similar multiple to HRTG, that would put the stock price at $11.47/sh. I really like the hold of HRTG into its next earnings.....
