Old Republic International’s second quarter results were shaped by robust growth in its Specialty Insurance segment and persistent margin challenges in Title Insurance. Management attributed Specialty’s gains to higher renewal retention, rate increases, and new business from specialty underwriting subsidiaries. In contrast, Title Insurance faced a difficult real estate market and higher expenses, particularly from legal settlements, which increased its combined ratio. CEO Craig Smiddy explained, “In Title, despite the continuation of higher mortgage interest rates and a slow real estate market, the title insurance folks grew premiums and fees... but produced lower pretax operating income.”

Is now the time to buy ORI? Find out in our full research report (it’s free).

While we enjoy listening to the management's commentary, our favorite part of earnings calls are the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.

Our Top 5 Analyst Questions From Old Republic International’s Q2 Earnings Call

• Charles Gregory Peters (Raymond James) asked about retention trends across Specialty lines. CEO Craig Smiddy highlighted retention rates above 85% and attributed this to the company’s emphasis on service and long-term relationships rather than competing on price.
• Peters (Raymond James) followed up on competition and large account business. Smiddy noted Old Republic’s lower exposure to catastrophe-prone property risks and a deliberate pullback in public company D&O insurance where pricing is unfavorable.
• Peters (Raymond James) inquired about Title Insurance rate changes in Texas. President Carolyn Monroe clarified that the proposed rate decrease is under legal challenge and has not taken effect; she expects any changes to remain adequate for profitability.
• Jon Paul Newsome (Piper Sandler) questioned the absence of share repurchases. Smiddy explained capital management decisions are guided by market price-to-book ratios and a desire to maintain a strong balance sheet for future opportunities.
• Evan Tindell (Bireme Capital) asked if consistent outperformance could lower Specialty’s combined ratio guidance. Smiddy reaffirmed the 90–95% range, citing the company’s casualty focus and conservative reserving, and does not anticipate tightening the target soon.

Catalysts in Upcoming Quarters

In the coming quarters, StockStory analysts will be monitoring (1) the pace of new business growth and retention in Specialty Insurance, (2) progress on operational efficiency and expense controls in the Title Insurance segment, and (3) the impact of technology modernization and AI initiatives on underwriting and claims processes. Developments in the real estate market and regulatory changes to Title Insurance rates will also be key signposts for sustained margin recovery.

Old Republic International currently trades at $37.98, up from $36.62 just before the earnings. In the wake of this quarter, is it a buy or sell? The answer lies in our full research report (it’s free).

The Best Stocks for High-Quality Investors

Donald Trump’s April 2025 "Liberation Day" tariffs sent markets into a tailspin, but stocks have since rebounded strongly, proving that knee-jerk reactions often create the best buying opportunities.

The smart money is already positioning for the next leg up. Don’t miss out on the recovery - check out our Top 5 Strong Momentum Stocks for this week. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-micro-cap company Tecnoglass (+1,754% five-year return). Find your next big winner with StockStory today.

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.