Skip to content
Compounder
← Stocks

Rli Corp

RLIAbove value

Held by 2 superinvestors.

Price$64.86
Holders2
Total value$290.3M

SEC 10-K · fundamentals

Business quality

as of 2025-12-31
Revenue growth
+6.3%
Net margin
21.4%
ROE
22.7%
FCF margin
32.3%
Revenue $983.6M → $1.88B · 6y
What makes a business high quality

Valuation · value band

Above fair value

$24/ sh · growth-anchored intrinsic value
margin of safety
fair value
above fair value
$65
cheaperpricier

Zero-growth floor

$23

Central IV

$24

Optimistic top

$28

Rli Corp (RLI): A conservative value band $23–$28 / sh (zero-growth floor to growth-capped optimistic top); central read about $24. Today’s price sits above that band (price $65 as of 2026-08-26).

The middle figure is the main read. The right end is the optimistic case under the same conservative caps — not an absolute ceiling.

  • Recent earnings are below the multi-year average, so the band uses the lower run-rate.

Revenue growth 0% (history declining, capped at zero) · moat 10 yr · discount 10.6% · Zero-growth downside $23

Price as of 2026-08-26 · yahoo · DGS10 4.7% @ 2026-08-26.

Method & numbers

Operating income is not reported separately (e.g. banks, insurers, and some diversified issuers), so earnings power is shown via the owner-earnings lens only; the unlevered NOPAT lens does not apply. Earnings basis: reported net income minus investment and derivative fair-value gains/losses, net of tax at the statutory 21% — portfolio marks flow through GAAP net income (ASU 2016-01) but are not operating earnings power.

A conservative intrinsic-value band (zero-growth floor to growth-capped DCF) plus a tangible asset floor — not investment advice, not a buy/sell signal, and not a price target.

Owner-earnings DCF $21.28 – $27.88 · Greenwald zero-growth $28.38 · zero-growth base $28.38 · reproduction $18.75

Moat Franchise (moat) · terminal value 37% of present value · owner-earnings yield 4% vs 10Y 4.7%.

Graham earnings-power value (normalized NOPAT)

Operating income is not reported separately (e.g. banks, insurers, and some diversified issuers), so earnings power is shown via the owner-earnings lens only; the unlevered NOPAT lens does not apply.

Normalized NOPAT from operating margin — not applicable when operating income is not reported separately. Unlevered (pre-interest, attributable to all capital). Capitalized at the 9–11% rate band (read as a WACC proxy). Enterprise → equity bridge (+ cash − total debt) — not applied (lens not assessable).

Years: 2025, 2024, 2023, 2022, 2021

Buffett owner-earnings value$23.22 – $28.38 / sh

Owner earnings = average net income + average D&A − maintenance capex (zero-growth floor; no ΔNWC). Levered (starts from net income, already after interest — an equity-holder stream). Capitalized at the 9–11% rate band (read as a cost-of-equity proxy). No enterprise→equity bridge: the capitalized result is already equity value (subtracting debt would double-count interest).

Years: 2025, 2024, 2023, 2022, 2021

v1 simplifications: Net income is below its multi-year average (cyclical/declining): normalized owner earnings anchored to the latest year — no peak-earnings capitalization (audit #2). Owner earnings = net income + D&A − maintenance capex (degraded); the working-capital change is excluded (maintenance ΔNWC ≈ 0; growth ΔNWC is carried in growth value, not double-counted). Maintenance-capex methods diverge by 144% (> 50%); estimate is degraded. One-time items are not separately normalized (multi-year averaging smooths them partially). Share-based compensation is left as a real expense (not added back); see the SBC/OE disclosure. Capitalized at the 9–11% band as a cost-of-equity proxy; no leverage premium applied. Financial issuer (bank/insurer): net debt / owner earnings does not describe a deposit-funded balance sheet, so no leverage premium is applied here; leverage is instead handled by the reliability gate.

Reproduction value = tangible net assets $1.73B = $18.75 / sh. Tangible net assets = shareholders' equity − goodwill − intangibles, ÷ diluted shares (no R&D history to capitalize).

Moat reading: Franchise test compares earnings power (EPV) against reproduction value on both AV_conservative (tangible + capitalized R&D) and AV_reproduction (conservative + acquired-reset proxy). Both must clear the franchise multiple for a moat signal; near it, a commodity; below it, value destruction. A directional reading, not a verdict.

Assumes a narrow moat · competitive-advantage period ≈ 10 years.

Growth value not assessable — Operating income is not available across the window, so ROIIC / growth value cannot be computed.

Window FY 2025, 2024, 2023, 2022, 2021 · discount band 9%–11% · normalized tax 19% (Average effective tax rate over 5 year(s), capped at the statutory 21%.) · diluted shares.

Owner-earnings DCF: growth g₁ 0% (history declining → capped at 0) · OE FY 2025, 2024, 2023, 2022, 2021 · Discount band: 9.16%–12.00% (DGS10 +4.5% to a 12% strict end, as of 2026-08-26). No enterprise→equity bridge: owner earnings already flow to shareholders (post-interest), so no net cash is added and no debt subtracted — matching the engine owner-earnings lamp.

What the price is betting

Today's price pencils in about 19.1% a year in owner-earnings for the next few years. Revenue actually grew 13.2% a year.

The market wants it well ahead of its own track record.

Roughly, the price needs its historical revenue growth to run about 12 more years to hold up.

Even when the value band is low-confidence: use this to see what the price assumes — not as a cheapness confirmation.

How to read intrinsic value

SEC 13F · holders

Superinvestors Holding This Security

2 holders · $290.3M combined · this quarter +0 opened / -0 exited

This quarter1 added
Holders 2 → 2 · last 8q
  • John Rogers
    Value$148.8MWeight (prev→now)0.6% → 1.5% ▲
  • Thomas Gayner
    Value$141.4MWeight (prev→now)1.1% → 1.1% ▼

SEC 13F · notes

Written summary

Rli Corp (RLI) is held by 2 of the superinvestors tracked on Compounder, with a combined $290.3M in reported 13F value. The largest position belongs to John Rogers, where it makes up 1.5% of the portfolio.

Other notable holders by value include Thomas Gayner (1.1% of its book).

Over the latest quarter, 0 of the tracked filers opened a new position in RLI, 1 added to existing ones, 0 trimmed, and 0 sold out entirely.

Holder counts and values reflect the most recent SEC Form 13F filings, through the quarter ended 2026-06-30. Source: SEC EDGAR. A 13F shows only long US-listed positions and can lag the real portfolio by up to 45 days, so this is disclosed long ownership, not a complete picture.

How to read a 13F

SEC 13F · co-ownership

Also held by these investors

Investors holding Rli Corp (RLI) also commonly hold →

See which stocks look cheap against a conservative value band. Browse all valued stocks

Also on

Sources· SEC EDGAR 13F as of 2026-06-30 · filed 2026-08-14

Educational data only — not investment advice. 13F positions are self-reported and can lag up to 45 days.

Stay Updated

New-quarter 13F moves and valuation updates, to your inbox.