Insurance broker TWFG slides after annual margin forecast disappoints

Shares of insurance broker TWFG TWFG.O fall as much as 10%, last down 6.7% at $29.86

TWFG late Wednesday reported Q4 results and unveiled its 2025 outlook

BMO says TWFG's 2025 adj EBITDA margin forecast was well below expectations

Adds that investors will be looking for clues on how growth in California, TWFG's second-largest state, could play out given a likely lack of product availability post-Los Angeles wildfires

KBW echoes sentiment, says FY 2025 margin forecast was slightly lower than expected and could weigh on the stock

Adds that acquisitions could meaningfully impact ultimate results depending on timing, given TWFG has a robust pipeline

Five of nine brokerages rate the stock "buy" or higher and four "hold"; median PT is $34.50 — data compiled by LSEG

Stock down 3% YTD