Universal Insurance Holdings (UVE) experienced a nice pop on Nov. 22 as the company prepares to move from the NSYE MKT to the NYSE, colloquially known as the “Big Board.”
The vertically-integrated insurance holding company does a large portion of its business in Florida, where they are one of the three largest underwriters of homeowner insurance. Universal Insurance also does business in several states throughout the South an Eastern seaboard.
NYSE will “Enhance Our Visibility” to Shareholders and Investors
On the switch up to the NYSE, CEO Sean Downes said, "Our listing on the NYSE marks another significant milestone in what has been a transformative year for our Company. With a growing national footprint and expanding product portfolio, as well as a new generation of leadership, Universal Insurance is well positioned to drive value for our shareholders."
The timing of the upgrade follows a very strong earnings report for the company that saw them increase EPS by nearly 100 percent. Universal Insurance is up almost 20 percent since Nov. 18 close, and is up over 100 percent on the year.
Hurricane season came and went without significantly impacting the Fort Lauderdale, Fla.-based insurer. The company saw losses decline 22 percent in the third quarter, largely thanks to the lack of a major catastrophe to exacerbate claim payouts.
In the 8-K document the company filed intending to transfer their shares from the NYSE MKT (formerly the American Stock Exchange) to the NYSE, Universal Insurance indicated that they intended to begin trading on the Big Board on Dec. 3.
Company Closes Out Fantastic Week with a Bang
UVE popped in anticipation of the transfer, notching a 6.37 percent gain to reach $9.52 a share. The share price represented an all time high for the company, and is the first time the insurer has broken $9 a share since Sept. 2007.
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