Kinsale Capital Group, Inc. (KNSL): A Bull Case Theory

We came across a bullish thesis on Kinsale Capital Group, Inc. (KNSL) on Stock Analysis Compilation’s Substack. In this article, we will summarize the bulls’ thesis on KNSL. Kinsale Capital Group, Inc. (KNSL)’s share was trading at $ 473.94 as of 12^th June. KNSL’s trailing and forward P/E were 27.28 and 27.1 respectively according to Yahoo Finance.

Kinsale Capital Group is a high-quality, founder-led excess and surplus (E&S) insurance company with a long growth runway, uniquely positioned due to its proprietary technology and in-house operational model. Operating with a true owner-operator mindset, Kinsale emphasizes efficiency and disciplined underwriting, diverging from industry norms by managing nearly everything internally.

This approach has yielded a sustainable low-cost advantage and superior underwriting performance compared to peers. Despite its compelling fundamentals, the company has recently experienced stock underperformance driven by concerns around slowing premium growth and broader anxieties over the insurance pricing cycle.

However, with only 1–2% market share in the E&S space, Kinsale still has significant room for expansion in a structurally attractive segment of the insurance industry that favors specialized, nimble players. Its valuation today reflects this temporary pessimism rather than any deterioration in business quality. Kinsale’s proprietary systems create substantial operational leverage, supporting scalable growth and consistent profitability over time.

The firm’s differentiated culture and focus on long-term value creation make it a compelling investment opportunity. As investor sentiment normalizes and the insurance cycle stabilizes, the company’s combination of disciplined execution, long-term compounding potential, and significant addressable market should drive strong performance.

The recent pullback in the stock offers an attractive entry point for investors who can look past short-term volatility to the durable competitive advantages and consistent growth characteristics underpinning Kinsale’s business model.

Previously, we summarized a bullish thesis on Kinsale Capital (KNSL) by Felix on Substack in May 2025, that emphasized its strong underwriting discipline, exceptional combined ratio, and diversified revenue model rooted in the niche E&S insurance market. The stock has appreciated by 9% in price since the coverage, Stock Analysis Compilation highlight Kinsale’s founder-led, tech-enabled, vertically integrated model that supports scalable growth. Together, both theses point to durable advantages and long-term compounding potential.

Kinsale Capital Group, Inc. (KNSL) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 33 hedge fund portfolios held Kinsale Capital Group, Inc. (KNSL) at the end of the first quarter which was 36 in the previous quarter. While we acknowledge the risk and potential of KNSL as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

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Disclosure: None. This article was originally published at Insider Monkey.