A pure-play excess & surplus underwriter with a
strong management team, excellent technology, and a large addressable
market opportunity, Kinsale Capital (KNSL)
has posted some very strong premium growth in 2017 and 2018 along with
good underwriting ratios. While Kinsale may well find that it needs to
raise some capital to maintain its growth, I believe this company could
be looking at a five to 10-year run of well above-average growth.
The
“but”, as is often the case with quality growth, is valuation. Kinsale
still has some upside from here if it can, in fact, deliver high teens
adjusted earnings growth, but that’s a demanding bar and the shares are
certainly not cheap by more conventional metrics.
Read the full article here:
Kinsale Capital Producing Great Growth From A Great Model
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