UPDATE: Goldman Sachs Downgrades XL Group; Lowers PT

According to a research report published this morning, Goldman Sachs has downgraded XL Group

to Sell, and lowered PT from $22 to $21. In the report, Goldman Sachs said, "We downgrade XL to Sell, relative to our Attractive coverage view, with 3% upside to our new $21, 12-month price target vs. 12% average upside for the sector. We believe XL's professional liability-heavy book, along with the ramp in hiring we saw last year, will make it difficult for XL to see margin expansion from the moderate improvement in pricing that we expect will remain mostly confined to commercial lines. Without a broad, significant turn in overall pricing (including professional lines) – which we do not expect – we think margin improvement at XL will lag peers with a lower expense load or without books of business that require fixing." XL Group is currently trading at $20.28.