UPDATE: Goldman Sachs Reiterates Neutral Rating, Raises PT on HCC Insurance Holdings After 4Q12 Earnings

In a report published Friday, Goldman Sachs reiterated its Neutral rating on HCC Insurance Holdings

, and raised its price target from $37.00 to $40.00. Goldman Sachs noted, “We update our estimates for HCC following the 4Q12 conference call. We remain Neutral-rated. The company beat our estimates due to higher reserve development and slightly better underlying profitability, but results were otherwise in line. We are revising our estimates slightly higher to reflect higher underlying profitability in the A&H and Professional Liability segments. Also, our investment income estimates are modestly higher due to a slightly larger investment portfolio than we previously estimated, as the company continues to utilize its low-cost revolving credit facility to fund share buybacks.” HCC Insurance Holdings closed on Thursday at $39.74.