UPDATE: Deutsche Bank Upgrades RenaissanceRe Holdings to Hold on Valuation
Deutsche Bank raised its rating on RenaissanceRe Holdings (NYSE: RNR) from Sell to Hold and announced a price target of $76 on shares.
Deutsche Bank noted, "Year to date, shares of RenRe have seen their price-to-book multiple, which had enjoyed a 40%+ premium to the Bermuda peer group at the beginning of the year, converge downward. Now, its valuation stands at about a 20% premium. While we believe the long-term prospects of the propertycatastrophe industry are suffering from too much capital and alternative competition, we note that shares of RenRe currently trade in line with yearahead book value, and we no longer view valuation as expensive."
RenaissanceRe Holdings closed at $71.86 on Wednesday.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.