Amerisafe Q3 operating EPS falls on higher expenses, competitive workers' compensation market

Overview

• Workers' comp insurer's Q3 net premiums earned rose 3.0% yr/yr

• Operating EPS for Q3 was $0.40

• Company cites higher expenses, competitive market and softer audit premium for Q3 results

Outlook

• Amerisafe says workers’ compensation market remains increasingly competitive

• Company remains focused on sustaining new business momentum and underwriting discipline

Result Drivers

• HIGHER EXPENSES - Co said increased insurance-related assessments, compensation costs and commission expense raised underwriting expense ratio

• COMPETITIVE MARKET - CEO said results reflected an increasingly competitive workers’ compensation market

• SOFTER AUDIT PREMIUM - Co said payroll audits and related premium adjustments decreased premiums written by $1.6 mln in Q3 2026, compared with an increase of $2.5 mln in Q3 2025

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the property & casualty insurance peer group is "hold"

• Wall Street's median 12-month price target for Amerisafe Inc is $36.21, about 42.2% above its October 27 closing price of $25.46

• The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 16 three months ago

Reuters Recommended Reads

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)