Keefe, Bruyette & Woods Adjusts EPS For Brown & Brown

In a report published Friday, Keefe, Bruyette & Woods analyst Meyer Shields reiterated an Outperform rating and $35.00 price target on

. In the report, Keefe, Bruyette & Woods noted, “On Wednesday, Brown & Brown announced the sale of some assets of reinsurance brokerage subsidiary Axiom Re to Beach Re Limited as part of its strategy to exit reinsurance brokerage (which implies additional divestitures). Brown & Brown expects an after-tax loss of $0.22/share (which we view as non-recurring) from the sale in 4Q14. We're lowering our 2014E EPS by $0.02 to $1.60, and our 2015E and 2016E EPS by $0.05 each to $1.85 and $2.05, respectively, to reflect this sale and 4Q14's lower-than-expected acquisition activity. We maintain our Outperform rating.” Brown & Brown closed on Wednesday at $32.91.