UPDATE: Morgan Stanley Downgrades Everest Re Group to Equal-Weight Following Bermuda Management Meetings

In a report published Thursday, Morgan Stanley analyst Gregory W. Locraft downgraded the rating on Everest Re Group RE from Overweight to Equal-Weight. In the report, Locraft noted, “Reinsurance pricing declining at mid-year renewals; prop cat down 10-20%, casualty struggling to stay flat. We met recently with Bermuda managements of 12 reinsurers, brokers & alternative managers. Early indications on mid-year renewals are that property cat pricing will fall 10-20%, with ‘mid-teens' cited most. The weakness in property cat lines is spilling into other segments of reinsurance (non-cat property, casualty) as reinsurance pricing power from recent years is fading.” Everest Re Group closed on Wednesday at $135.57.