RenaissanceRe Holdings Ltd. (NYSE:RNR<\/strong>) is one of the best affordable long term stocks to buy according to hedge funds<\/strong>. On February 3, RenaissanceRe Holdings Ltd. (NYSE:RNR) announced Q4 2025 financial results, in which it reported operating earnings of $13.34 per share, beating analyst consensus estimates by roughly 28%. On a GAAP basis, net income per diluted common share was $16.75.<\/p>\n Underwriting income rose to $669 million in Q4 2025, up from $209 million a year earlier, as the combined ratio improved to 71.4% from 91.7%. And this was because Hurricane Melissa contributed only 10.6% to the property segment\u2019s loss ratio, whereas large loss events had added 47.3 percentage points in Q4 2024.<\/p>\n The overall combined ratio improved to 71.4%, beating estimates of 86-91.3%, due to these lower catastrophe impacts and favorable reserve development. President and CEO, Kevin J. O\u2019Donnell noted that the company\u2019s \u201cThree Drivers of Profit\u201d collectively contributed 15 points of annual return. This, O\u2019Donnell said, demonstrates their strategy to \u201cabsorb volatility from large loss events.\u201d<\/p>\n Annual operating income reached $1.9 billion despite what CEO Kevin O\u2019Donnell described as a \u201c$786 million net negative impact from large events\u201d throughout the year. O\u2019Donnell attributed this resilience to the diversified \u201cThree Drivers\u201d model. The strategy allowed the company to maintain an 18.2% operating return on average common equity, O\u2019Donnell said.<\/p>\n RenaissanceRe Holdings Ltd. (NYSE:RNR) is a Bermuda-based global provider of reinsurance and insurance solutions. The company specializes in catastrophe reinsurance and specialty risk coverage, offering property, casualty, and specialty reinsurance products to clients worldwide.<\/p>\n While we acknowledge the potential of RNR as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock<\/b>.<\/p>\n READ NEXT: <\/b>12 Best Consumer Goods Stocks Billionaires Are Quietly Buying and <\/b>Goldman Sachs Penny Stocks: Top 12 Stock Picks<\/b>.<\/p>\n Disclosure: None. This article is originally published at\u00a0Insider Monkey<\/b>.<\/p>\n<\/p><\/div>\n<\/div>\n<\/div>