UPDATE: Goldman Sachs Downgrades RenaissanceRe Holdings to Neutral on Valuation

Goldman Sachs reduced its rating on RenaissanceRe Holdings

from Buy to Neutral. Goldman Sachs commented, "We are downgrading our rating on shares of RNR to Neutral and removing the shares from the Americas Buy List in conjunction with moving our coverage view on the P&C group to Neutral. We think that RNR is a clear leader among Property CAT reinsurers with scale, but RNR's peer-high valuation reflects a premium franchise and above-average return potential. Further, recent industry commentary suggests momentum in Property CAT pricing is likely to recede as industry capacity has reached a new high due to a combination of significantly low CAT losses during 2012 to date and a favorable Property CAT pricing environment earlier in the year that attracted new capital in non-traditional forms such as sidecars, ILW and collateralized reinsurance." RenaissanceRe Holdings closed at $77.21 on Monday.