Kingstone Companies Inc (KINS)

Following recently reported record earnings, we reiterate KINS, a regional property and casualty insurance provider in the US Northeast, as a TOP PICK.  Low catastrophic liabilities and a 15% increase in premiums collected allowed for growing cash reserves, while debt was reduced.  It trades at 8x earnings, 2.1x book and supports a robust 33% ROE.  We continue to recommend a stop at $14, looking to achieve $21 -- upside potential of 27%.  Yield 0%

We reiterate this casualty and insurance provider in the US Northeast as a TOP PICK.  Recently reported earnings showed a 52% increase in net income, along with a 14% increase in premiums collected.  Cash reserves are growing and the holding company is debt free.  It trades at 7x earnings, under 2x book and supports a 33% ROE.  We recommend trailing up the stop (from $13) to $14, looking to achieve $18 -- upside potential of 18%.  Yield 1.3%

Our PAST TOP PICK with KINS is stagnating.  To remain disciplined, we recommend trailing up the stop (from $9) to $13 at this time.  

KINS has been providing property and casualty insurance in the US NE since 1886 and is the 12th largest provider in NYC.  It has just recently been added to the Russell Index of small-cap companies, which should add some buying support.  It increased its catastrophic re-insurance level by 57% at only an incremental cost of 10% -- leaving it well covered in the event of increased claims.  It trades at 9x earnings, 2.5x book and supports a ROE of 35%.  Cash reserves are growing, while debt is retired.  We recommend setting a stop-loss at $9.00, looking to achieve $19.50 -- upside potential of 28%.  Yield 0%