Should I Buy UVE? UVE 2026 Analysis

Should You Buy Universal Insurance Holdings Inc (UVE) Today? Analysis, Price Targets, and 2026 Outlook.

Conclusion

Hold

Latest Price

30.360

1 Day change

2.57%

52 Week Range

35.840

Analysis Updated At

2026/01/26

Universal Insurance Holdings Inc (UVE) is not a strong buy at this moment for a beginner investor with a long-term strategy. While the stock has potential upside based on analyst ratings and favorable sector conditions, the company's financial performance shows significant declines in net income and EPS, which raises concerns about its profitability. Additionally, technical indicators and trading trends do not suggest a strong entry point currently.

Technical Analysis

The MACD is negative and contracting (-0.21), indicating bearish momentum. RSI is at 24.26, which is neutral but leaning towards oversold territory. Moving averages are converging, showing no clear trend. The stock is trading near its S1 support level of 28.663, with resistance at 31.059. Overall, the technical indicators suggest a cautious approach.

Options Data

Bullish

Open Interest Put-Call Ratio

Bullish

Option Volume Put-Call Ratio

Technical Summary

Sell

Buy

Positive Catalysts

Analyst Piper Sandler raised the price target to $40 from $35 and maintained an Overweight rating, citing favorable weather conditions and potential strong Q4 results for insurers. The stock has a 60% chance to gain 0.66% in the next day.

Neutral/Negative Catalysts

The company's financials for Q3 2025 show a significant decline in net income (-346.36% YoY) and EPS (-342.11% YoY). No recent news or significant insider/hedge fund activity. Stock trend analysis indicates potential losses in the next week (-4.01%) and month (-5.17%).

Financial Performance

In Q3 2025, revenue increased by 5.11% YoY to $399.69M. However, net income dropped significantly to $39.83M (-346.36% YoY), and EPS fell to 1.38 (-342.11% YoY). Gross margin remained unchanged at 0%.

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

Piper Sandler raised the price target to $40 from $35 and maintained an Overweight rating. The firm expects favorable weather to benefit insurers but notes concerns about pricing commentary and claims inflation.

1 Analyst Rating

Wall Street analysts forecast UVE stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for UVE is 40 USD with a low forecast of 40 USD and a high forecast of 40 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

1 Buy

0 Hold

0 Sell

Moderate Buy

Current: 29.600

Low

Averages

High

Current: 29.600

Low

Averages

High

Piper Sandler

Overweight

maintain

$35 -> $40

AI Analysis

2025-12-22

Reason

Piper Sandler

Price Target

$35 -> $40

AI Analysis

2025-12-22

maintain

Overweight

Reason

Piper Sandler raised the firm's price target on Universal Insurance to $40 from $35 and keeps an Overweight rating on the shares. Discussing the sector, the firm believes fourth quarter results will be generally mixed. Piper expects favorable weather will mean that most insurers should have strong or even stronger-than-expected results, but pricing commentary will likely be more pessimistic. A key sign will be if insurance companies continue to believe they are getting rate in excess of claims inflation, it adds.

UVE Should I Buy

UVE Should I Buy

Should You Buy Universal Insurance Holdings Inc (UVE) Today? Analysis, Price Targets, and 2026 Outlook.

Technical Analysis

Options Data

Technical Summary

Positive Catalysts

Neutral/Negative Catalysts

Financial Performance

Growth

Profitability

Efficiency

Analyst Ratings and Price Target Trends

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