5 Stocks Negatively Impacted By The LA Wildfires

2. RenaissanceRe Holdings Ltd. (NYSE:RNR)

RenaissanceRe Holdings provides insurance and reinsurance services across the globe. Its stock enjoyed considerable gains in 2024, which were set to continue were it not for the LA wildfires. The stock is trading flat so far this year as everyone tries to assess the extent of the damage.

Despite a strong price action until December 2024, all was not well with the company. Analysts are pessimistic about the company’s growth prospects, with Jeffries downgrading the stock from Buy to Hold last month. The target price was subsequently cut from $304 to $282. The 2025 and 2026 EPS estimates were also lowered, though they are still higher than the industry-wide consensus estimates.

The management is also buying back the company’s stock despite its decent run in 2024. The ongoing crisis in LA and the resulting share price drop could be an opportunity for the company to accelerate this buyback.