Stifel Nicolaus Reiterates Buy, $85 Target on ProAssurance

Stifel Nicolaus maintains its Buy rating and $85 Target on ProAssurance Corporation PRA on reinforcement from meetings with company management. In the report, Stifel Nicolaus writes, “One of the main themes that came from our meetings was the opportunities from the Ascension deal. The initial offering for PRA's services and policies was for 1,000 Michigan physicians insured by an Ascension affiliate. PRA expects to expand the program into Florida, Indiana and Texas by the end of 1Q12 and to other States thereafter. We estimate that Ascension will contribute approximately $20 million to premiums in 2011 and that it will remain a solid source of growth and expansion in 2012.” PRA closed at $79.61 on Wednesday.