James River Group Holdings Ltd (JRVR)

James River Group Holdings, Ltd Stock (JRVR) dropped by 32.78% from $13.15 to $8.84 in the trading on Thursday November 9, 2023. The reasons why JRVR stock down today include:

• Worse-than-expected Q3 FY23 results: The company reported EPS of $0.48, beating the consensus of $0.47, and net earned premiums of $202.63 million missed the street view of $226.47 million.
• Error in accounting: JRVR identified an error in accounting for reinstatement premium on a specialty casualty reinsurance treaty in its E&S segment. This led to understatements of ceded written premium and overstatements of net written premium and net earned premium of $9.4 million and $12.3 million, respectively, in Q2.
• Agreement disclosure: The company disclosed an agreement with Fleming Intermediate Holdings to sell casualty reinsurance business for $277 million.
• Downgrade from analyst: Truist downgraded the stock to Hold from Buy on increased risk that the insurer will have to set more money aside for reserves at its core Excess & Surplus Lines business.