RLI Corp Earnings Significantly Outperformed Estimates (RLI)

Property and Casualty Insurers RLI Corp (

) posted strong 2Q10 results across the board. Better than expected results were driven by higher reserve releases and lower expenses. Higher NWP volume and stronger Maui Jim earnings helped offset 2Q cat losses and higher taxes. RLI reported 2Q10 operating results of $1.52, which were well above consensus estimates of $1.04 and KBW analyst estimates of $0.97. Analysts at Keefe, Bruyette & Woods are raising 2010 and 2011 EPS estimates but are maintaining its set target price of $60.00 and its Market Perform rating. RLI is currently trading at $52.26.