12:35 PM EDT, 09/26/2024 (MT Newswires) -- HCI Group ( HCI ) could see higher earnings per share in 2025 driven by Florida's Citizens Property Insurance's recent depopulation news and improvements in the state's litigation environment, Oppenheimer said in a note emailed Thursday.

Oppenheimer estimates a $1.29 boost to the company's 2025 EPS based on its assumption that HCI applied for 25,000 policies in the November depopulation, producing an incremental premium of about $100 million.

The investment firm also said litigation reforms in Florida led to a lower frequency of litigations and claims. Furthermore, Oppenheimer noted that HCI stock is set to outperform in the next six months as it did in the last decade.

Oppenheimer raised its 2025 EPS forecast for the company to $13.75 from $12.08 previously.

Oppenheimer has an outperform rating and a $140 price target on HCI stock.

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