Shares of Ryan Specialty Group Holdings, Inc. (RYAN) plummeted over 7% on Wednesday, despite the specialty insurance firm reporting robust financial results for the third quarter of 2024. The company's total revenue surged 20.5% to $605 million, driven by an impressive 11.8% organic growth, while adjusted EBITDA soared 29.4% to $190 million, with a margin expansion of 220 basis points to 31.5%.

However, the market's reaction appears to be driven by concerns over potential headwinds in the property and casualty insurance markets. During the earnings call, RYAN acknowledged facing short-term challenges due to property rate deterioration, which accelerated in September. The company also cited heightened uncertainty in the casualty classes, driven by factors such as social inflation and litigation finance.

While RYAN's overall performance was strong, investors seem to be concerned about the sustainability of growth in the face of these market challenges. The company will need to navigate these headwinds carefully to maintain its momentum and maintain confidence in its long-term growth prospects.