RenaissanceRe (RNR)
NYSEFinancialsInsurance - ReinsuranceSnapshot 2026-09-04
$330.38-2.25%
Close 2026-09-04 · 1-day change
NYSEFinancialsInsurance - ReinsuranceSnapshot 2026-09-04
Warn: Primary pillar under pressure — EPS at least $6.57 in FY 2026: EPS guidance $6.57 vs $6.57 target.
RenaissanceRe is improving profits with net income rising from $170M to $293M in one year. Cash from operations grew strongly from $158M to $688M. The company keeps dividends stable near $0.41 per share. Its valuation is cheap with a PE of 5.7 versus peers at 12.8.
Leadership changes may hurt strategy and profits. The company’s EPS guidance for 2026 is weak at $6.57 versus $19.4 last year. Analysts expect revenue to shrink about 16%.
The stock trades about 38% below our fair value near $528. The market expects revenue to decline about 16% next year. Our fair value is well above the Street median, reflecting more optimism on profit recovery.
Breaks if: dividend per share falls below $0.40
Breaks if: EPS guidance falls below $6.57 for FY 2026
Breaks if: cash from operations falls below $158M in any quarter after 2026-Q1
Breaks if: net income falls below $170M in any quarter after 2026-Q1
This is not a price target or investment advice.
A long-form read on the 1–3 year hold thesis. It updates when the weekly evidence changes.
This investment represents a durable compounder with a focus on strong underwriting performance and diversified earnings. The current thesis state is cautious but optimistic, as recent financial performance has improved and management remains stable.
The market currently prices RNR as cheap compared to its peers, reflecting a low expectations gap. There is a sense of fragility due to weak execution quality, but this is not fully reflected in the stock's valuation.
Fundamentals are expected to remain stable, driven by disciplined portfolio management and diversified income sources. However, there is a moderate risk of earnings misses, given the company's history and the industry's high miss rate.
The thesis hinges on the performance of sector bellwethers like RGA, EG, and SPNT. If these companies continue to perform well, it could support RNR's growth. Conversely, any negative guidance from these peers could impact RNR's outlook.
Over the next 1 to 3 years, RNR's performance will depend on its ability to maintain disciplined management and the overall health of the Financials sector. Not investment advice.
The most important moves since the prior daily snapshot.
Yes, our read has strengthened. The latest earnings beat supports a positive outlook. The company won an affirmation from AM Best, which boosts underwriting performance. Strong operating income also helps improve profitability. There are no new threats to the thesis.
as of 2026-09-04
Review the evidence to watch, what would become a concern, and what would make it less concerning.
Not investment advice. Scores describe historical and current data; they are not forecasts of future returns. Consult a licensed advisor before making investment decisions.