Ryan Specialty (NYSE:RYAN) Shares Gap Down After Earnings Miss

Ryan Specialty Holdings Inc. (NYSE:RYAN)’s share price gapped down prior to trading on Friday following a dissappointing earnings announcement. The stock had previously closed at $44.38, but opened at $39.40. Ryan Specialty shares last traded at $37.7980, with a volume of 1,521,427 shares changing hands.

The company reported $0.45 EPS for the quarter, missing the consensus estimate of $0.50 by ($0.05). The firm had revenue of $751.21 million during the quarter, compared to the consensus estimate of $777.43 million. Ryan Specialty had a net margin of 7.61% and a return on equity of 47.93%. The firm’s revenue for the quarter was up 13.2% on a year-over-year basis. During the same period in the previous year, the company posted $0.45 EPS.

Ryan Specialty Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, March 10th. Shareholders of record on Tuesday, February 24th will be issued a dividend of $0.13 per share. This is a boost from Ryan Specialty’s previous quarterly dividend of $0.12. This represents a $0.52 annualized dividend and a yield of 1.4%. The ex-dividend date is Tuesday, February 24th. Ryan Specialty’s dividend payout ratio is presently 104.35%.

Key Stories Impacting Ryan Specialty

Here are the key news stories impacting Ryan Specialty this week:

• Positive Sentiment: Management expects ~ $80 million of annual run-rate savings from its Empower restructuring, which could materially relieve margin pressure over the next 12–18 months. Ryan Specialty signals $80M annual savings from Empower restructuring as property pressures persist
• Positive Sentiment: Board approved an 8.3% increase to the quarterly dividend to $0.13 (annual yield ~1.2%), signaling capital return priorities and some confidence in cash flow. Ex?dividend date Feb 24. Dividend announcement
• Neutral Sentiment: Top-line still growing: Q4 revenue rose 13.2% YoY to $751.2M and organic growth continued, though at a slower pace (organic revenue growth 6.6% vs 11.0% prior year). Ryan Specialty Reports Fourth Quarter 2025 Results
• Neutral Sentiment: Full earnings and management commentary are available — review the Q4 earnings call transcript for details on reserves, pricing environment, and forward strategy. Q4 2025 Earnings Call Transcript
• Negative Sentiment: Q4 EPS of $0.45 missed consensus ($0.50) and revenue of $751.21M missed estimates (~$777M); net income declined ~26.6% YoY — the primary driver of the stock decline. Ryan Specialty misses Q4 earnings and revenue estimates
• Negative Sentiment: Margins are under pressure: the company said it is absorbing investment costs and continues to face property market pressures, reducing near-term profitability. Profit margins slide as Ryan Specialty ‘absorbs’ investment costs
• Negative Sentiment: Market reaction: multiple outlets report the stock fell sharply after the misses and commentary on pricing/reserves, reflecting investor concern about near-term profitability and execution. Ryan Specialty misses Q4 expectations, shares tumble

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the company. Piper Sandler cut their price objective on Ryan Specialty from $58.00 to $43.00 and set a “neutral” rating on the stock in a report on Friday. Keefe, Bruyette & Woods cut their price target on shares of Ryan Specialty from $73.00 to $65.00 and set an “outperform” rating on the stock in a research note on Monday, November 3rd. BMO Capital Markets reduced their price target on shares of Ryan Specialty from $70.00 to $66.00 and set an “outperform” rating for the company in a report on Monday, November 3rd. Mizuho set a $53.00 price objective on shares of Ryan Specialty in a report on Friday. Finally, Wells Fargo & Company cut their price objective on shares of Ryan Specialty from $63.00 to $56.00 and set an “overweight” rating on the stock in a research report on Friday. One equities research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, five have given a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, Ryan Specialty currently has a consensus rating of “Moderate Buy” and a consensus price target of $61.88.

Insider Activity at Ryan Specialty

In related news, CEO Timothy William Turner sold 129,570 shares of the stock in a transaction on Friday, December 12th. The shares were sold at an average price of $53.61, for a total transaction of $6,946,247.70. Following the completion of the transaction, the chief executive officer owned 12,553 shares in the company, valued at approximately $672,966.33. This represents a 91.17% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 52.21% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Ryan Specialty

A number of large investors have recently modified their holdings of the business. Capital World Investors grew its stake in Ryan Specialty by 0.3% in the fourth quarter. Capital World Investors now owns 6,640,638 shares of the company’s stock valued at $342,856,000 after purchasing an additional 17,082 shares in the last quarter. Vulcan Value Partners LLC raised its stake in shares of Ryan Specialty by 631.7% during the 4th quarter. Vulcan Value Partners LLC now owns 4,621,079 shares of the company’s stock worth $238,536,000 after purchasing an additional 3,989,502 shares in the last quarter. Principal Financial Group Inc. boosted its holdings in shares of Ryan Specialty by 21.1% in the 3rd quarter. Principal Financial Group Inc. now owns 4,392,717 shares of the company’s stock valued at $247,576,000 after buying an additional 765,428 shares during the last quarter. Montrusco Bolton Investments Inc. grew its stake in shares of Ryan Specialty by 9.3% in the fourth quarter. Montrusco Bolton Investments Inc. now owns 4,343,116 shares of the company’s stock valued at $218,010,000 after buying an additional 368,247 shares in the last quarter. Finally, Champlain Investment Partners LLC grew its stake in shares of Ryan Specialty by 76.9% in the third quarter. Champlain Investment Partners LLC now owns 3,066,011 shares of the company’s stock valued at $172,800,000 after buying an additional 1,332,773 shares in the last quarter. 84.82% of the stock is currently owned by institutional investors and hedge funds.

Ryan Specialty Stock Performance

The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 2.72. The stock’s fifty day moving average is $50.49 and its two-hundred day moving average is $54.21. The firm has a market capitalization of $9.94 billion, a price-to-earnings ratio of 81.94, a P/E/G ratio of 1.09 and a beta of 0.62.

About Ryan Specialty

Ryan Specialty Group, Inc (NYSE: RYAN) is a global specialty insurance and reinsurance platform that partners with a network of insurers and reinsurers to deliver tailored risk solutions. The company focuses on complex and large-scale risks across multiple industry sectors, leveraging its underwriting expertise to structure coverage programs that meet clients’ unique needs.

Ryan Specialty’s core offerings span a diverse range of specialty lines, including casualty, property, professional liability, marine and energy, program administration, and sports and entertainment.