UPDATE: Keefe, Bruyette & Woods Downgrades EMC Insurance Group to Market Perform, Reiterates $35 PT on Valuation

In a report published Thursday, Keefe, Bruyette & Woods analyst Neil Cybart downgraded the rating on EMC Insurance Group EMCI from Outperform to Market Perform, but reiterated the $35.00 price target. In the report, Keefe, Bruyette & Woods noted, “We are downgrading EMC Insurance to Market Perform from Outperform on valuation. With shares up 30% over the past few weeks and valuation now in-line with peers, we view the stock's risk/reward profile as balanced. After reviewing EMC's GAAP and statutory reserves at YE13, we conclude EMC's reserves remain redundant. We are maintaining our EPS estimates and $35 target price.” EMC Insurance Group closed on Wednesday at $34.78.