Market Cap
US$4.1b
Last Updated
2019/08/16 23:44 UTC
Data Sources
Company Financials +
Executive Summary
RLI Corp., an insurance holding company, underwrites property and casualty insurance in the United States and internationally.
Snowflake
Fundamentals
Excellent balance sheet with acceptable track record.
Similar Companies
Share Price & News
How has RLI's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-0.3%
NYSE:RLI
-1.5%
US Insurance
-1.0%
US Market
1 Year Return
18.6%
NYSE:RLI
8.4%
US Insurance
-0.4%
US Market
RLI outperformed the Insurance industry which returned 7.2% over the past year.
RLI outperformed the Market in United States of America which returned -1.7% over the past year.
Share holder returns
| RLI | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.3% | -1.5% | -1.0% |
| 30 Day | 5.5% | -2.9% | -3.3% |
| 90 Day | 9.4% | 2.4% | 0.4% |
| 1 Year | 21.5%18.6% | 11.0%8.4% | 1.8%-0.4% |
| 3 Year | 48.7%32.8% | 44.7%33.8% | 39.4%30.4% |
| 5 Year | 156.3%102.7% | 66.5%46.8% | 54.2%37.1% |
Price Volatility Vs. Market
How volatile is RLI's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 months ago | Simply Wall St
Is RLI Corp.'s (NYSE:RLI) CEO Being Overpaid?8 months ago | Simply Wall St
Is RLI Corp (NYSE:RLI) A High Quality Stock To Own?1 year ago | Simply Wall St
Interested In RLI Corp (NYSE:RLI)? Here's What Its Recent Performance Looks LikeValuation
Is RLI undervalued based on future cash flows and its price relative to the stock market?
32.9x
Price to Earnings (PE) ratio
Intrinsic Value Based on Future Cash Flows
RLI's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
RLI's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
Price Based on Earnings
RLI is overvalued based on earnings compared to the US Insurance industry average.
RLI is overvalued based on earnings compared to the United States of America market.
Price Based on Expected Growth
RLI earnings are not expected to grow next year, we can't assess if its growth is good value.
Price Based on Value of Assets
RLI is overvalued based on assets compared to the US Insurance industry average.
Next Steps
Future Growth
How is RLI expected to perform in the next 1 to 3 years based on estimates from 4 analysts?
-10.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Estimates
Future Annual Growth Analysis
RLI's revenue is expected to grow by 2.5% yearly, however this is not considered high growth (20% yearly).
RLI's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
RLI's revenue growth is positive but not above the United States of America market average.
RLI's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
RLI's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.
Earnings per Share Growth Estimates
Future Return on Equity
RLI is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Next Steps
Past Performance
How has RLI performed over the past 5 years?
-6.9%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
RLI's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.
RLI's 1-year earnings growth exceeds its 5-year average (19.3% vs -6.9%)
RLI's earnings growth has exceeded the US Insurance industry average in the past year (19.3% vs 4.3%).
Return on Equity
RLI has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
Return on Assets
RLI used its assets more efficiently than the US Insurance industry average last year based on Return on Assets.
Return on Capital Employed
RLI's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
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Financial Health
How is RLI's financial position?
Financial Position Analysis
RLI is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
RLI's long term commitments exceed its cash and other short term assets.
Debt to Equity History and Analysis
RLI's level of debt (15.5%) compared to net worth is satisfactory (less than 40%).
The level of debt compared to net worth has been reduced over the past 5 years (16.3% vs 15.5% today).
Debt is well covered by operating cash flow (149.1%, greater than 20% of total debt).
Interest payments on debt are well covered by earnings (EBIT is 18x coverage).
Balance Sheet
Low level of unsold assets.
Debt is covered by short term assets, assets are 4.1x debt.
Next Steps
Dividend
What is RLI's current dividend yield, its reliability and sustainability?
2.86%
Expected Dividend Yield
Dividend Yield and Payments Analysis
RLI's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.5%).
RLI's dividend is below the markets top 25% of dividend payers in United States of America (3.9%).
Dividends per share have been volatile in the past 10 years (annual drop of over 20%).
Dividends per share have increased over the past 10 years.
Current Payout to Shareholders
Dividends paid are well covered by earnings (3.1x coverage).
Future Payout to Shareholders
Dividends after 3 years are not well covered by earnings (1x coverage).
Next Steps
Management
What is the CEO of RLI's salary, the management and board of directors tenure and is there insider trading?
2.4yrs
Average management tenure
CEO
Jon Michael (66yo)
18.6yrs
Tenure
US$3,212,994
Compensation
Mr. Jonathan Edward Michael, also known as Jon, has been Chairman of the Board of RLI Corp. since May 5, 2011 and has been its Chief Executive Officer since January 1, 2001. He served as President of RLI C ...
CEO Compensation Analysis
Jon's remuneration is lower than average for companies of similar size in United States of America.
Jon's compensation has been consistent with company performance over the past year, both up more than 20%.
Management Age and Tenure
2.4yrs
Average Tenure
50yo
Average Age
The tenure for the RLI management team is about average.
Board Age and Tenure
5.7yrs
Average Tenure
63.5yo
Average Age
The tenure for the RLI board of directors is about average.
Insider Trading
RLI individual insiders have only sold shares in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 15,000 |
| Max Price | US$91.94 |
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 1,433 |
| Max Price | US$85.61 |
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 15,000 |
| Max Price | US$79.33 |
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 1,437 |
| Max Price | US$71.55 |
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 10,000 |
| Max Price | US$70.56 |
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 10,000 |
| Max Price | US$65.43 |
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 1,540 |
| Max Price | US$67.07 |
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 1,422 |
| Max Price | US$77.63 |
| Entity | Individual |
| Role | Member of the Board of Directors |
| Shares | 5,000 |
| Max Price | US$77.84 |
Ownership Breakdown
Management Team
Jon Michael (66yo)
Chairman & CEO
- Tenure: 18.6yrs
- Compensation: $3.21m
Craig Kliethermes (54yo)
President & COO
- Compensation: $1.86m
Lisa Gates
Vice President of Marketing & Communications
- Tenure: 0.6yrs
Jennifer Klobnak (47yo)
Senior Vice President of Operations
- Compensation: $822.59k
Bryan Fowler
VP & Chief Information Officer
- Tenure: 1.9yrs
Aaron Jacoby (48yo)
Vice President of Corporate Development
- Tenure: 16.6yrs
Todd Bryant (50yo)
VP & CFO
- Tenure: 0.1yrs
Jeff Fick (58yo)
Senior VP & Chief Legal Officer
- Tenure: 2.8yrs
- Compensation: $640.11k
Aaron Diefenthaler (45yo)
VP, Chief Investment Officer & Treasurer
- Tenure: 7.6yrs
Kathleen Taylor
Vice President - Accounting Operations
- Tenure: 0.6yrs
Board Members
Jon Michael (66yo)
Chairman & CEO
- Tenure: 8.3yrs
- Compensation: $3.21m
Bob Restrepo (68yo)
Director
- Tenure: 3.1yrs
- Compensation: $150.00k
Dave Duclos (61yo)
Director
- Tenure: 2.3yrs
- Compensation: $163.18k
Mike Angelina (52yo)
Director
- Tenure: 5.7yrs
- Compensation: $165.00k
John Baily (75yo)
Lead Director
- Compensation: $170.00k
Susan Fleming (48yo)
Director
- Tenure: 1.0yrs
- Compensation: $88.15k
Kaj Ahlmann (68yo)
Director
- Tenure: 10.5yrs
- Compensation: $155.00k
Mike Stone (70yo)
Director
- Tenure: 7.0yrs
- Compensation: $150.00k
Jordan Graham (58yo)
Director
- Tenure: 14.8yrs
- Compensation: $160.00k
Calvin Butler (49yo)
Director
- Tenure: 2.8yrs
- Compensation: $155.00k
Company Information
RLI Corp.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: RLI Corp.
- Ticker: RLI
- Exchange: NYSE
- Founded: 1965
- Industry: property and casualty insurance
- Sector: insurance
- Market Cap: US$4.124b
- Shares outstanding: 44.79m
- Website: Click here
Number of Employees
Location
- RLI Corp.
- 9025 North Lindbergh Drive
- Peoria
- Illinois
- 61615
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| RLI | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Dec 1972 |
| RL1 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Dec 1972 |
Biography
RLI Corp., an insurance holding company, underwrites property and casualty insurance in the United States and internationally. Its Casualty segment provides commercial and personal coverage products; and g ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/08/16 23:44 |
| End of Day Share Price | 2019/08/16 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.