RLI Q2 net earnings rise as net investment income increases

• Investment income: Net investment income increased 17% from the prior year, supporting overall results.
• Reserve development: Favorable development in prior years’ loss reserves added $35.1 million to underwriting income.
• Premium growth: Gross premiums written rose 3%, led by the casualty segment.

The current average analyst rating on the shares is hold, with 1 strong buy or buy, 8 hold and no sell or strong sell ratings.

The average consensus recommendation for the property & casualty insurance peer group is buy.

Wall Street's median 12-month price target for RLI Corp is $58.00, about 3.7% below its July 21 closing price of $60.20. The stock recently traded at 22 times the next 12-month earnings versus a P/E of 19 three months ago.