Fairfax Financial (OTCMKTS:FRFHF) Shares Gap Up – Here’s Why

Fairfax Financial Holdings Ltd. (OTCMKTS:FRFHF) shares gapped up before the market opened on Tuesday . The stock had previously closed at $1,577.00, but opened at $1,630.23. Fairfax Financial shares last traded at $1,594.89, with a volume of 232 shares changing hands.

Wall Street Analyst Weigh In

Separately, Zacks Research lowered shares of Fairfax Financial from a “strong-buy” rating to a “hold” rating in a research report on Wednesday, June 3rd. Three equities research analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy”.

Fairfax Financial Price Performance

The company has a debt-to-equity ratio of 0.46, a quick ratio of 3.66 and a current ratio of 3.66. The firm has a fifty day simple moving average of $1,647.25 and a two-hundred day simple moving average of $1,711.82. The firm has a market cap of $34.70 billion, a PE ratio of 8.04 and a beta of 0.48.

Fairfax Financial (OTCMKTS:FRFHF) last issued its quarterly earnings data on Thursday, April 30th. The financial services provider reported $31.11 earnings per share (EPS) for the quarter, missing the consensus estimate of $36.17 by ($5.06). Fairfax Financial had a return on equity of 15.05% and a net margin of 14.16%.The firm had revenue of $7.82 billion for the quarter, compared to analysts’ expectations of $8.62 billion. Equities analysts predict that Fairfax Financial Holdings Ltd. will post 184.47 EPS for the current fiscal year.

Fairfax Financial Company Profile

Fairfax Financial (OTCMKTS:FRFHF) is a Toronto-based financial holding company primarily engaged in property and casualty insurance, reinsurance and investment management. The company underwrites a broad range of commercial and personal insurance products, operates specialty and run-off reinsurance businesses, and manages a diversified investment portfolio largely funded by insurance float. Fairfax conducts its insurance operations through a network of subsidiaries and affiliated companies that provide local underwriting and claims services across multiple markets.

On the insurance side, Fairfax writes a mix of short-tail and long-tail coverages across specialty lines, commercial casualty, property and other niche markets, while its reinsurance activities include treaty and facultative solutions for cedants and intermediaries.