ProAssurance (PRA) Downgraded by Zacks Investment Research

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Zacks Investment Research lowered shares of ProAssurance (NYSE:PRA) from a buy rating to a hold rating in a research report released on Tuesday.

According to Zacks, “ProAssurance Corporation’s shares has been consistently performing well backed by growth across its three operating segments along with overall renewal pricing. The company’s core business has been witnessing a substantial improvement over the past few quarters. It has significantly achieved inorganic growth via successful acquisitions and integration of companies. Its top line has also remained consistently strong on the back of a solid premium income. However, volatility in premium retention pertaining to the company’s physician business has impacted its margins adversely too. It shares have lost comparing unfavorably with its industry’s growth in a year’s time. While growing expenses also persistently burden the company’s bottom line, declining investment income has been affecting its revenues.”

Other research analysts have also issued research reports about the stock. ValuEngine raised shares of ProAssurance from a sell rating to a hold rating in a research report on Wednesday, August 15th. Sandler O’Neill reissued a hold rating and issued a $44.00 price target on shares of ProAssurance in a research report on Thursday, August 9th. Boenning Scattergood reissued a hold rating on shares of ProAssurance in a research report on Wednesday, August 8th. Finally, JMP Securities increased their price target on shares of ProAssurance from $50.00 to $52.00 and gave the stock a market outperform rating in a research report on Friday, September 21st. Seven research analysts have rated the stock with a hold rating and one has issued a buy rating to the stock. ProAssurance has a consensus rating of Hold and a consensus price target of $50.50.

Shares of PRA opened at $43.36 on Tuesday. The stock has a market cap of $2.52 billion, a PE ratio of 21.71 and a beta of 0.63. The company has a debt-to-equity ratio of 0.18, a current ratio of 0.35 and a quick ratio of 0.35. ProAssurance has a 52 week low of $34.95 and a 52 week high of $63.45.

ProAssurance (NYSE:PRA) last announced its quarterly earnings data on Tuesday, August 7th. The insurance provider reported $0.48 EPS for the quarter, beating the Zacks’ consensus estimate of $0.39 by $0.09. The business had revenue of $248.02 million during the quarter, compared to analyst estimates of $219.98 million. ProAssurance had a net margin of 9.67% and a return on equity of 6.14%. During the same quarter in the prior year, the business earned $0.40 earnings per share. Equities analysts predict that ProAssurance will post 1.83 EPS for the current year.

The firm also recently declared a quarterly dividend, which was paid on Wednesday, October 10th. Investors of record on Friday, September 28th were given a $0.31 dividend. This represents a $1.24 annualized dividend and a yield of 2.86%. The ex-dividend date was Thursday, September 27th. ProAssurance’s dividend payout ratio (DPR) is presently 61.39%.

Large investors have recently bought and sold shares of the stock. Itau Unibanco Holding S.A. acquired a new position in ProAssurance in the second quarter worth about $137,000. Koch Industries Inc. acquired a new stake in shares of ProAssurance during the first quarter worth approximately $208,000. Adviser Investments LLC acquired a new stake in shares of ProAssurance during the second quarter worth approximately $176,000. Legacy Private Trust Co. acquired a new stake in shares of ProAssurance during the third quarter worth approximately $241,000. Finally, Cubist Systematic Strategies LLC increased its holdings in shares of ProAssurance by 39.7% during the first quarter. Cubist Systematic Strategies LLC now owns 5,886 shares of the insurance provider’s stock worth $286,000 after buying an additional 1,672 shares in the last quarter. 85.77% of the stock is owned by hedge funds and other institutional investors.

ProAssurance Company Profile

ProAssurance Corporation, through its subsidiaries, provides property and casualty insurance, and reinsurance products in the United States. The company operates through Specialty Property and Casualty, Workers' Compensation, and Lloyd's Syndicate segments. It offers professional liability insurance for healthcare professionals and facilities; professional liability insurance for attorneys; liability insurance for medical technology and life sciences risks; and workers' compensation insurance for employers, groups, and associations.

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