Allspring Global Investments Holdings LLC Boosts Stake in Employers Holdings, Inc. by 24.5% in Q1 of 2023
July 5, 2023
In a recent filing with the Securities and Exchange Commission (SEC), Allspring Global Investments Holdings LLC revealed that it has increased its stake in Employers Holdings, Inc. (NYSE:EIG) by an impressive 24.5% during the first quarter of this year. The institutional investor now owns a total of 112,478 shares in the financial services provider’s stock, after acquiring an additional 22,170 shares during the period. This represents remarkable growth for Allspring Global Investments Holdings LLC.
The value of Allspring Global Investments Holdings LLC’s stake in Employers Holdings is estimated to be around $4,689,000 as per their most recent filing with the SEC. This substantial investment indicates a high level of confidence in the potential of Employers to generate returns for its shareholders.
Employers Holdings recently declared a quarterly dividend that was paid on May 24th to its shareholders. Investors who were recorded as shareholders on May 10th received a dividend payment of $0.28 per share at this time. It is worth noting that this amount is higher than Employers’ previous quarterly dividend payout of $0.26 per share, indicating positive growth and commitment towards providing value to its shareholders.
With an annualized dividend payout ratio currently standing at 41.18%, Employers has demonstrated its commitment to distributing profits among stakeholders while maintaining sustainability and future growth prospects for the business.
Further information reveals that CEO Katherine H. Antonello made a personal investment in the company by acquiring an additional 6,880 shares on June 1st at an average price of $36.46 per share. The transaction amounted to a total purchase value of approximately $250,844.80, further solidifying Antonello’s confidence in the company. Following this transaction, Antonello now possesses 77,177 shares of Employers Holdings directly, showcasing her faith in the company’s long-term potential.
It is worth noting that this investment by the CEO was disclosed in a filing with the SEC, providing transparency to stakeholders and reflecting Employers’ commitment to responsible governance and accountability.
In terms of insider ownership, company insiders collectively hold 1.30% of Employers’ stock. This insider ownership demonstrates that key executives have a vested interest in the company’s success and are willing to invest their personal funds accordingly.
Employers Holdings has positioned itself as a reputable financial services provider, gaining recognition as an attractive investment opportunity for institutional investors like Allspring Global Investments Holdings LLC. With solid financials, a growing dividend, and demonstrations of personal investments from its CEO, Employers Holdings has managed to instill confidence among its shareholders and inspire other potential investors.
Investors looking for opportunities in financial services may find themselves intrigued by Employers’ growth potential and commitment to shareholder value. As always, it is essential to perform thorough due diligence before any investment decision.
Disclaimer: The above article should not be considered as financial advice. Investors should conduct their own research before making any investment decisions based on the information provided.
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Employers Holdings, Inc. Attracts Hedge Funds and Institutional Investors with Implications for its Financial Position
Employers Holdings, Inc. Attracts Attention of Hedge Funds and Institutional Investors
Introduction
Employers Holdings, Inc. (NYSE:EIG) has recently caught the attention of numerous hedge funds and institutional investors, as they either increased or reduced their stakes in the company. Notably, Goldman Sachs Group Inc. witnessed a remarkable surge in its holdings, while other institutions such as Millennium Management LLC, Norges Bank, JPMorgan Chase & Co., and Assenagon Asset Management S.A. also made significant moves with their investments. This article will delve into the shifting landscape of Employers’ ownership and analyze the potential implications for the financial services provider.
Shifts in Ownership
Goldman Sachs Group Inc., a prominent financial institution itself, experienced a staggering increase of 224.7% in its holdings during the first quarter. This surge translates to an additional acquisition of 319,856 shares worth $18.96 million. Similarly, Millennium Management LLC witnessed substantial growth in its stake by 110.1% during the fourth quarter—the value of its acquired shares amounted to $20.99 million.
On another front, Norges Bank entered the fold during the fourth quarter with a new stake valued at approximately $9.33 million. Meanwhile, JPMorgan Chase & Co.’s holdings grew by 51.4% during the same period—an extra 113,042 shares amounting to $14.36 million were purchased.
Notably, Assenagon Asset Management S.A observed a notable spike of 139.5%, resulting in an additional acquisition of 88,503 shares valued at $6.55 million within the last quarter.
The combined impact of these institutional investments is evident; approximately 79.80% of Employers’ stock now belongs to institutional investors.
Rating Review
Adding to this shift in investment dynamics is StockNews.com’s recent downgrade from a “buy” rating to a “hold” rating for Employers. This change suggests a potential reevaluation of the company’s prospects, prompting investors to reassess their positions.
Dividend Increase
Employers recently announced an increased quarterly dividend. Shareholders of record on May 10th received $0.28 per share, which represents a dividend yield of 2.97%. This is an upgrade from the previous quarterly dividend of $0.26 and brings the annualized dividend to $1.12. With a current payout ratio of 41.18%, Employers exhibits strong commitment to rewarding its stakeholders.
Financial Performance and Market Outlook
As per the most recent earnings report released on April 27th, Employers achieved better-than-expected results during the quarter. The financial services provider reported earnings per share (EPS) of $0.60, surpassing analysts’ consensus estimate by $0.03.
The Q1 revenue reached $206.5 million, displaying a notable growth rate of 35.9% compared to the same period in the previous year—a remarkable achievement for Employers.
Despite positive financial results, EIG’s stock experienced some volatility, with NYSE EIG shares opening at $37.66 on July 5th, according to available data. Moreover, it currently maintains a fifty-day simple moving average of $37.99 and a two-hundred-day simple moving average of $41.12. Its market capitalization stands at approximately $1.01 billion.
Conclusion
The influx of hedge funds and institutional investments in Employers Holdings Inc., as well as transformations in analyst ratings and increased dividends, have redirected attention towards this financial services provider in recent times.
While there is some uncertainty surrounding future market performance and stock volatility, Employers has managed to exceed earning expectations and demonstrate substantial revenue growth compared to the previous year—an accomplishment worth noting.
This evolving landscape elicits curiosity regarding the future moves that hedge funds and institutional investors will make, as well as potential implications for Employers’ position within the market. The coming months will likely provide further insights into these developments.
Disclaimer: The views and opinions expressed in this article are solely those of the author and do not reflect the official position of the company or any entity referenced. The information provided is for informational purposes only and should not be construed as investment advice.
