Want to see BOW full AI Analyst Report?
Top Page
Bowhead Specialty Holdings Inc.
(NYSE:BOW)
Select Model
Select Model
Rating:80Outperform
Price Target:
$39.00
▲(16.04% Upside)
Action:Reiterated
Date:09/15/26
The score is driven primarily by strong financial performance (especially cash flow strength and a conservative balance sheet) and a positive technical setup. Valuation appears reasonable at a ~17.8 P/E, and the pending $34/share cash acquisition is a meaningful supportive corporate event, though completion remains subject to approvals.
Positive Factors
Strong revenue momentum
Sustained revenue expansion indicates continued demand for Bowhead’s targeted specialty insurance offerings and supports operating scale. If growth remains broad-based, it can strengthen market position and provide a durable foundation for earnings and capital generation over the coming quarters.
Negative Factors
Margin compression and volatility
Recent margin deterioration creates uncertainty about how much of Bowhead’s revenue growth will translate into durable earnings. Continued compression could reflect higher loss or expense pressure, or unfavorable mix, limiting operating leverage and reducing the predictability of future profitability.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong revenue momentum
Sustained revenue expansion indicates continued demand for Bowhead’s targeted specialty insurance offerings and supports operating scale. If growth remains broad-based, it can strengthen market position and provide a durable foundation for earnings and capital generation over the coming quarters.
Read all positive factors
Bowhead Specialty Holdings Inc. Key Performance Indicators (KPIs)
Any
Net Written Premiums by Segment
Breaks down the company’s sales across its business lines, products, or customer groups, revealing which segments drive growth and where revenue is concentrated. For retail investors, segment detail shows whether Bowhead’s performance is broad-based or dependent on a single unit, explains differences in margins and cash generation across the business, and highlights which parts are most exposed to competitive, regulatory, or pricing risks.
Breaks down the company’s sales across its business lines, products, or customer groups, revealing which segments drive growth and where revenue is concentrated. For retail investors, segment detail shows whether Bowhead’s performance is broad-based or dependent on a single unit, explains differences in margins and cash generation across the business, and highlights which parts are most exposed to competitive, regulatory, or pricing risks.
Data provided by:
The Fly
The FlyBowhead Specialty Holdings Inc. (BOW) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.11B
Dividend YieldN/A
Average Volume (3M)338.34K
Price to Earnings (P/E)17.9
Beta (1Y)0.47
Revenue Growth24.59%
EPS Growth25.14%
CountryUS
Employees296
SectorFinancial
Sector Strength70
IndustryInsurance - Property & Casualty
Share Statistics
EPS (TTM)1.89
Shares Outstanding32,943,005
10 Day Avg. Volume313,302
30 Day Avg. Volume338,340
Financial Highlights & Ratios
PEG Ratio0.69
Price to Book (P/B)2.08
Price to Sales (P/S)1.70
P/FCF Ratio2.87
Enterprise Value/Market Cap<0.01
Enterprise Value/Revenue<0.01
Enterprise Value/Gross Profit<0.01
Enterprise Value/Ebitda<0.01
Forecast
1Y Price Target
$34.33Price Target Upside2.15% Upside
Rating ConsensusHold
Number of Analyst Covering7
EPS Forecast (FY)2
Revenue Forecast (FY)$1.06B
Bowhead Specialty Holdings Inc. Business Overview & Revenue Model
Company Description
Operating across the United States, Bowhead Specialty Holdings Inc. delivers a range of specialized property and casualty insurance products. The company, established in New York in 2020, provides diverse coverage, encompassing: casualty insurance...
How the Company Makes Money
null...
Bowhead Specialty Holdings Inc. Earnings Call Summary
Earnings Call Date:May 05, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Nov 10, 2026
Earnings Call Sentiment Positive
The call presents a decidedly positive operational and financial picture: strong top-line growth (24% GWP), meaningful earnings improvement (~40% higher adjusted net income), profitable combined ratio (95.3%), and rapid early traction in digital underwriting (Baleen >3x YoY). Management acknowledges some competitive pricing pressure in pockets of casualty, higher acquisition mix costs, high IBNR percentage due to limited internal loss history, and persistent healthcare and cyber risks. Overall, the scale and quality of the growth, improved expense efficiency, and constructive capital/reinsurance moves outweigh the noted headwinds.Positive Updates
Strong Top-Line Growth
Gross written premiums increased 24% year-over-year to approximately $217 million in Q1 2026, with growth in every division and casualty as the largest driver.
Negative Updates
Pricing Pressure and Competitive Headwinds
Certain casualty pockets faced downward pricing pressure from admitted carriers, non-risk-bearing MGAs and broker sidecars. Commercial public D&O saw reductions due to lost renewals to markets with overaggressive appetite and low discipline.
Read all updates
Q1-2026 Updates
Positive
Negative
Strong Top-Line Growth
Gross written premiums increased 24% year-over-year to approximately $217 million in Q1 2026, with growth in every division and casualty as the largest driver.
Read all positive updates
Company Guidance
Management guided to roughly 20% GWP growth for 2026 (supported by an expanded American Family agreement that raises the $1.0B premium cap and a $150M debt raise plus a $35M credit facility with a $15M accordion), expects digital underwriting (roughly 7% of Q1 GWP) to grow as Baleen ($11.4M Q1 premium; >3x YoY; submissions +140%, quotes +110%, binds +260%; >75% responses within 15 minutes; quote ratio >75%) and Express ($3M Q1 premium; ~65% quote ratio) scale, aims to keep the full‑year expense ratio below 30% (Q1: 28.4% vs 30.4% YA), plans to modestly lengthen investment duration from ~3.0 to ~4.0 years (Q1: 3.2 yrs; book yield 4.6%, new money 4.7%), and maintained disciplined reinsurance positioning (quota share up to 33.5% from 26%, XL cession down to 57.5% from 65%).Bowhead Specialty Holdings Inc. Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
86
Very Positive
Cash Flow
90
Very Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 614.26M | 551.54M | 425.59M | 283.42M | 187.60M |
| Gross Profit | 224.46M | 177.00M | 145.10M | 96.20M | 60.65M |
| EBITDA | 89.56M | 71.09M | 55.13M | 34.38M | 15.39M |
| Net Income | 62.17M | 53.79M | 38.24M | 25.05M | 11.26M |
Balance Sheet | |||||
| Total Assets | 2.68B | 2.37B | 1.65B | 1.03B | 565.21M |
| Cash, Cash Equivalents and Short-Term Investments | 1.75B | 965.73M | 987.46M | 118.07M | 347.58M |
| Total Debt | 0.00 | 146.45M | 4.30M | 0.00 | 0.00 |
| Total Liabilities | 2.21B | 1.92B | 1.28B | 835.78M | 481.83M |
| Stockholders Equity | 472.36M | 449.27M | 370.44M | 192.08M | 83.37M |
Cash Flow | |||||
| Free Cash Flow | 326.97M | 326.02M | 291.18M | 232.41M | 177.67M |
| Operating Cash Flow | 332.39M | 331.59M | 294.29M | 236.22M | 181.64M |
| Investing Cash Flow | -478.04M | -464.39M | -325.88M | -274.76M | -187.46M |
| Financing Cash Flow | 144.21M | 144.52M | 133.89M | 77.66M | -1.00M |
Bowhead Specialty Holdings Inc. Technical Analysis
Positive
33.61
Price Trends
32.69
Positive
30.09
Positive
27.49
Positive
Market Momentum
0.27
Positive
62.79
Neutral
56.34
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For BOW, the sentiment is Positive. The current price of 33.61 is below the 20-day moving average (MA) of 33.64, above the 50-day MA of 32.69, and above the 200-day MA of 27.49, indicating a bullish trend. The MACD of 0.27 indicates Positive momentum. The RSI at 62.79 is Neutral, neither overbought nor oversold. The STOCH value of 56.34 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BOW.
Bowhead Specialty Holdings Inc. Risk Analysis
Bowhead Specialty Holdings Inc. disclosed 61 risk factors in its most recent earnings report. Bowhead Specialty Holdings Inc. reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Bowhead Specialty Holdings Inc. Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
87 Outperform | $1.02B | 4.85 | 42.41% | 6.76% | 1.45% | 102.69% | |
81 Outperform | $1.23B | 5.51 | 38.78% | 1.77% | 3.96% | 234.26% | |
80 Outperform | $1.11B | 17.87 | 13.73% | ― | 24.59% | 25.14% | |
80 Outperform | $1.40B | 9.77 | 14.96% | 1.42% | 11.18% | 52.50% | |
77 Outperform | $1.52B | 22.15 | 7.79% | 3.55% | 7.04% | -18.57% | |
71 Outperform | $708.19M | 9.44 | 11.01% | 4.03% | -3.10% | -18.44% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% |
* Financial Sector Average
BOW
Bowhead Specialty Holdings Inc.
33.78
5.99
21.55%
DGICA
Donegal Group
18.60
0.01
0.08%
SAFT
Safety Insurance Group
103.64
34.89
50.75%
UFCS
United Fire Group
53.44
22.92
75.10%
UVE
Universal Insurance Holdings
43.62
18.36
72.70%
HRTG
Heritage Insurance Holdings
34.15
7.00
25.78%
Bowhead Specialty Holdings Inc. Corporate Events
Executive/Board Changes
Bowhead Specialty appoints Derek Walker to board
Positive
Sep 14, 2026
On September 12, 2026, Bowhead Specialty Holdings Inc. elected Derek Walker to its board of directors to fill a vacant seat, following a nomination by GPC Partners Investments (SPV III) LP under an existing board nominee agreement. Walker will ser...
Business Operations and StrategyExecutive/Board Changes
Bowhead Specialty adjusts board after investor-linked resignation
Neutral
Aug 19, 2026
On August 17, 2026, Bowhead Specialty Holdings Inc. announced that director Zhak Cohen resigned from its board following his departure earlier in the summer from Gallatin Point Capital LLC, which manages GPC Partners Investments (SPV III) LP. Cohe...
Financial DisclosuresM&A Transactions
Bowhead Specialty Agrees to Cash Acquisition by American Family
Positive
Aug 3, 2026
On August 2, 2026, Bowhead Specialty Holdings entered into a definitive merger agreement under which American Family’s wholly owned subsidiary Trident Superior Inc. will merge into Bowhead, leaving Bowhead as a wholly owned subsidiary of Ame...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.