United Fire Group, Inc (NASDAQ:UFCS) Plans Dividend Increase – $0.20 Per Share

United Fire Group, Inc (NASDAQ:UFCS) declared a quarterly dividend on Tuesday, February 10th. Shareholders of record on Tuesday, February 24th will be given a dividend of 0.20 per share by the insurance provider on Tuesday, March 10th. This represents a c) dividend on an annualized basis and a yield of 2.1%. The ex-dividend date is Tuesday, February 24th. This is a 25.0% increase from United Fire Group’s previous quarterly dividend of $0.16.

United Fire Group has decreased its dividend by an average of 0.1%annually over the last three years. United Fire Group has a payout ratio of 23.4% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect United Fire Group to earn $2.65 per share next year, which means the company should continue to be able to cover its $0.64 annual dividend with an expected future payout ratio of 24.2%.

United Fire Group Price Performance

Shares of United Fire Group stock traded up $2.76 during trading hours on Wednesday, reaching $38.89. The stock had a trading volume of 170,540 shares, compared to its average volume of 109,053. The stock’s 50 day moving average is $36.04 and its 200 day moving average is $33.24. The company has a current ratio of 0.37, a quick ratio of 0.37 and a debt-to-equity ratio of 0.16. United Fire Group has a twelve month low of $25.01 and a twelve month high of $39.25. The firm has a market capitalization of $992.11 million, a PE ratio of 9.18 and a beta of 0.46.

United Fire Group (NASDAQ:UFCS) last announced its quarterly earnings results on Wednesday, February 11th. The insurance provider reported $1.50 earnings per share for the quarter, beating the consensus estimate of $0.90 by $0.60. The firm had revenue of $365.81 million during the quarter, compared to analyst estimates of $332.34 million. United Fire Group had a return on equity of 13.64% and a net margin of 8.22%. Equities analysts expect that United Fire Group will post 2.42 earnings per share for the current fiscal year.

United Fire Group News Roundup

Here are the key news stories impacting United Fire Group this week:

• Positive Sentiment: Q4 results beat expectations — reported adjusted operating EPS of $1.50 (and net income $1.45 diluted) vs. consensus ~$0.90, with revenue of $365.8M topping estimates; the beat is the primary catalyst for the rally. United Fire Group earnings summary
• Positive Sentiment: Dividend increase — the board raised the quarterly dividend 25% to $0.20 (annualized yield ~2.2%), signaling confidence in capital generation and returning cash to shareholders. Dividend announcement
• Positive Sentiment: Healthy profitability metrics — management reported a net margin ~8.2% and ROE ~13.6%, reinforcing underwriting performance and capital efficiency cited in the results. Zacks earnings recap
• Neutral Sentiment: Company materials and call available — investors can review the earnings press release, slide deck and full earnings call transcript for detail on reserve development, underwriting trends and investment income. Earnings call transcript
• Negative Sentiment: Short-term ex-dividend timing — the ex-dividend date (Feb 24) can create transient selling pressure as shares trade without the upcoming payout; monitor flows around that date. Dividend details

United Fire Group Company Profile

United Fire Group, Inc (NASDAQ: UFCS) is an insurance holding company based in Cedar Rapids, Iowa, that specializes in property and casualty coverage for commercial and personal lines. The company underwrites business through three primary segments: commercial, personal and specialty insurance. Within the commercial segment, United Fire Group offers tailored policies for small- and medium-sized enterprises, including general liability, commercial property and workers’ compensation. Its personal lines cover homeowners, auto, farm and umbrella policies.

United Fire Group distributes its products primarily through a national network of independent insurance agents and brokers.