UPDATE: Credit Suisse Downgrades Validus Holdings Ltd. to Neutral, Lowers PT on Transformative Period

In a report published Friday, Credit Suisse analyst Michael Zaremski downgraded the rating on

from Outperform to Neutral, and lowered the price target from $40.00 to $38.00. In the report, Credit Suisse noted, “Prop-CAT reinsurers are in the midst of a transformative period whereby competition from external ILS market growth is testing/ transforming current business models. Traditional reinsurers are weighing and/or balancing internal ILS platform startups, which in our view, pressures returns within reinsurers existing legacy portfolios given the competitive overlap of many ILS structures. Downgrade Validus (VR) to Neutral (from Outperform).” Validus Holdings Ltd. closed on Thursday at $35.24.