Palomar Holdings (NASDAQ: PLMR) Chief Financial Officer T. Christopher Uchida executed a sale of 2,103 shares of common stock on January 28, 2026, at a price of $119.88 per share, producing proceeds of $252,107.
The disposition occurred the same day that 5,660 performance stock units (PSUs) vested into common shares. The company said those PSUs vested following the attainment of financial performance criteria confirmed by the Compensation Committee. Palomar is currently trading at $123.59 and has a market capitalization of $3.27 billion; an InvestingPro analysis indicates the stock appears undervalued.
After completing the sale, Uchida owns 11,473 shares of Palomar directly. In addition to the vested PSUs, Uchida was granted 8,431 restricted stock units (RSUs) that are scheduled to vest in three equal annual installments beginning January 28, 2027, subject to his continued service with the company.
Recent financial performance
The PSU vesting and subsequent sale follow a period of strong company performance. Palomar reported revenue growth of 54.59% and a price-to-earnings ratio of 19.2. In its third quarter of 2025, Palomar exceeded expectations on both earnings and revenue: the company posted earnings per share of $2.01 versus a projected $1.57, and revenue of $597.2 million compared with an anticipated $540.07 million.
In response to the quarterly outperformance, Keefe, Bruyette & Woods raised its price target for Palomar to $170 from $164 while keeping an Outperform rating. The revised target reflects 19.3 times the firm's updated 2026 earnings per share estimate.
Context and mechanics of grants
The PSUs that converted to common stock did so because the company met pre-established financial goals, a determination ratified by the Compensation Committee. The RSU award to Uchida carries a vesting schedule that requires continued employment through each annual installment date for shares to vest.
These developments and the insider transaction are contemporaneous with Palomar's reported operating results and the analyst adjustment to the firm's valuation multiple and price target.