Bowhead Specialty Holdings Inc. (BOW) stock analysis
Close on Nov 11, 2026Market cap $1.13BP/E 18.5Yield –
StockData Score
Prices as of Nov 11, 2026How the score works
Weak6 of 30 checks passed
Bowhead Specialty passes 6 of the 30 checks behind our score; 16 could not be run for lack of data and count as not passed. Each dot in the shape is one check — hover it for the numbers.
- Valuation
- 1/6
- Growth
- 3/6
- Past performance
- 2/6
- Financial health
- 0/6
- Dividend
- 0/6
What stands out
Revenue growing 10%+ a year
Revenue grew 43.3% a year over the last three fiscal years.
EPS growing 10%+ a year
Diluted EPS grew 50.1% a year over the last three fiscal years.
P/E below its 5-year median
Bowhead Specialty's P/E of 18.5 is below its own 5-year median of 21.5.
Growing faster than the industry
Revenue grew 25.0% over the last twelve months; the Fire, Marine, and Casualty Insurance median is 5.0%.
What to watch
Margin of safety under 20%
The price is 30.0% above fair value, so there is no margin of safety.
Trading above fair value
The share price of $34.16 is above our fair value estimate of $26.27.
P/E above the industry
Bowhead Specialty's P/E of 18.5 is above the Fire, Marine, and Casualty Insurance median of 10.4.
P/S above the industry
Bowhead Specialty's price-to-sales of 1.83 is above the Fire, Marine, and Casualty Insurance median of 1.28.
Valuation1/6
P/E below its 5-year median
Bowhead Specialty's P/E of 18.5 is below its own 5-year median of 21.5.
P/E above the industry
Bowhead Specialty's P/E of 18.5 is above the Fire, Marine, and Casualty Insurance median of 10.4.
P/S above the industry
Bowhead Specialty's price-to-sales of 1.83 is above the Fire, Marine, and Casualty Insurance median of 1.28.
P/B above the industry
Bowhead Specialty's price-to-book of 2.38 is above the Fire, Marine, and Casualty Insurance median of 1.62.
Trading above fair value
The share price of $34.16 is above our fair value estimate of $26.27.
Margin of safety under 20%
The price is 30.0% above fair value, so there is no margin of safety.
Growth3/6
Revenue growing 10%+ a year
Revenue grew 43.3% a year over the last three fiscal years.
EPS growing 10%+ a year
Diluted EPS grew 50.1% a year over the last three fiscal years.
Earnings acceleration
Needs positive net income now, a year ago and five years ago.
Growing faster than the industry
Revenue grew 25.0% over the last twelve months; the Fire, Marine, and Casualty Insurance median is 5.0%.
Guidance issued
The latest outlook (2026 GWP growth, Feb 24, 2026) was issued for the first time, so it neither adds nor takes away points.
Gross margin trend
Banks and insurers do not report gross profit.
Past performance2/6
Return on equity
Needs positive equity and five years of results.
Return on assets over 1%
Return on assets was 2.7%; for a bank or insurer, 1% or more is considered good.
Return on equity below the industry
Bowhead Specialty's return on equity of 14.1% is below the Fire, Marine, and Casualty Insurance median of 15.9%.
Earnings over 5 years
Needs positive net income five years ago and in the latest year.
Net margin above its 5-year average
Net margin was 10.1% over the last twelve months, against a 5-year average of 8.4%.
Net margin below the industry
Bowhead Specialty's net margin of 10.1% is below the Fire, Marine, and Casualty Insurance median of 12.0%.
Financial health0/6
Debt level
Needs debt and equity figures.
Debt trend
Needs a balance sheet from five years ago with positive equity.
Debt coverage
Needs operating cash flow.
Interest coverage
Interest expense is not reported separately.
Short-term liquidity
Insurers do not split assets into current and non-current.
Bankruptcy risk (Altman Z)
The Altman model does not apply to insurers.
Dividend0/6
No dividend
Bowhead Specialty has not paid a dividend in the last twelve months.
Yield against Treasuries
No dividend.
Yield against the market
No dividend.
Dividend stability
No dividend.
Earnings cover
No dividend.
Cash-flow cover
No dividend.
Fair value
How we estimate itOur estimate per share
$26.27
The share price is 30% above this estimate.
| Method | Multiple used | Own 5Y median | Industry median | Value per share | Weight |
|---|---|---|---|---|---|
| P/E | 13.7× | 21.5× | 10.4× | $25.41 | 50% |
| P/B | 1.9× | 2.5× | 1.6× | $27.14 | 50% |
| Fair value | $26.27 | 100% | |||
Valuation over time
Using the earnings and balance sheet published at each date, not today's.
- P/E at month end
- Own 5-year median 21.5
- Fire, Marine, and Casualty Insurance median 10.4
An estimate from reported numbers and market multiples, not a price target or investment advice. It can be far off for companies whose profits are about to change sharply.
Market risk
From the past year of daily prices.
Liquidity
Medium risk
- Average value traded per day
- $7.84M
- Value traded per 1% price move
- $34.10M
Downside
Low risk
- Typical loss in a bad month
- 14.0%
- Volatility (annualized)
- 33%
- Sharpe ratio, 1 year
- 0.74
- Beta to the S&P 500 (5Y)
- 0.33
Typical bad-month loss, week by week
Margins
Share of revenue, fiscal years 2021 to 2025
Net margin
Growth rates
Compound annual growth to fiscal 2025
| Per year | 1 year | 3 years | 5 years | 10 years | Five-year pace |
|---|---|---|---|---|---|
| Revenue | +29.6% | +43.3% | – | – | |
| Net income | +40.6% | +68.4% | – | – | |
| EPS, diluted | +23.3% | +50.1% | – | – | |
| Free cash flow | +12.0% | +22.4% | – | – |
Returns and balance sheet
5 fiscal years. Hover a measure to see how it is calculated.
| Measure | FY2021 | FY2021 | FY2025 | Trend |
|---|---|---|---|---|
| Return on equity | – | – | 13.1% | |
| Return on assets | – | – | 2.7% | |
| Capex to revenue | – | – | 1.0% | |
| Diluted shares | – | – | 34M |
Cash use needs five years of cash flow figures
Bowhead Specialty does not report operating cash flow and capital expenditure for each of the last five fiscal years.
DuPont analysis
Return on equity split into margin, efficiency and leverage
| Fiscal year | Net margin | Asset turnover | Equity multiplier | Return on equity |
|---|---|---|---|---|
| FY2025 | 9.8% | 0.27× | 4.92× | 13.1% |
| FY2024 | 9.0% | 0.32× | 4.77× | 13.6% |
Piotroski F-Score
Nine tests of profitability, balance sheet and efficiency, fiscal 2025 against fiscal 2024
- ProfitableNet income above zero$53.79M
- Cash generatingOperating cash flow above zero$331.59M
- Return on assets improvedROA up on the prior year3.7% → 3.3%
- Earnings backed by cashOperating cash flow above net income$331.59M vs $53.79M
- Less leverageLong-term debt to assets fell– → –
- Better liquidityCurrent ratio rose– → –
- No dilutionShare count did not rise30M → 34M
- Gross margin improvedGross margin up on the prior year– → –
- More efficientAsset turnover rose0.41 → 0.33
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