Selective Insurance Group (SIGI) shares remain well below their historical valuation range, and management outlined a clear path back to its 95% combined-ratio target during recent investor meetings, RBC Capital Markets said Monday in a report.

Selective is deliberately reducing premium volumes as it works through underwriting fixes while continuing to position for long-term growth through geographic expansion, new agency appointments and broader product offerings, RBC said. Retention remains strong among top clients, and recent technology investments are improving claims and underwriting efficiency, the report said.

RBC kept its 2026 operating EPS estimate at $8.06, with 2027 at $9.10, and initiated a 2028 estimate of $9.80.

RBC maintained its outperform rating on Select Insurance stock with a $115 price target.

Price: 88.11, Change: +1.41, Percent Change: +1.62