August 3, 2023 – In a dramatic and unexpected move, Texas Permanent School Fund Corp has increased its stake in insurance provider ProAssurance Co. by an astounding 33.4%. This significant development was revealed in the company’s latest Form 13F filing with the Securities and Exchange Commission (SEC).
According to the information disclosed, Texas Permanent School Fund Corp now owns a total of 48,395 shares of ProAssurance stock. This impressive number reflects an additional acquisition of 12,116 shares during the first quarter of this year alone. With this increase in stake, Texas Permanent School Fund Corp now commands approximately 0.09% ownership of ProAssurance Corporation, making it a noteworthy shareholder.
At the end of the most recent reporting period, ProAssurance was valued at an estimated $894,000 for Texas Permanent School Fund Corp’s holdings. This sizeable investment showcases the faith that this institutional investor has placed in ProAssurance as they seek to maximize their returns.
ProAssurance Corporation is an established player in the American insurance landscape, offering a diverse range of property and casualty insurance and reinsurance products. The company operates through various segments including Specialty Property and Casualty, Workers’ Compensation Insurance, Segregated Portfolio Cell Reinsurance, and Lloyd’s Syndicates.
Their commitment to providing excellent insurance services has garnered them a strong reputation within the industry. By expanding its footprint across these different sectors, ProAssurance remains well-positioned to cater to a broad clientele and address their specialized needs effectively.
This unexpected surge in ownership by Texas Permanent School Fund Corp signifies their confidence in ProAssurance’s potential for growth and profitability moving forward. The decision-makers at Texas Permanent School Fund Corp are undoubtedly displaying astute judgment by recognizing ProAssurance’s ability to generate positive returns on investment.
As August progresses and market conditions evolve further, it will be intriguing to observe how ProAssurance navigates this newfound influx of shares. With Texas Permanent School Fund Corp providing a substantial boost to their ownership, ProAssurance’s management team will be under increased pressure to turn this heightened investor interest into sustainable growth for the company.
In conclusion, the recent revelation of Texas Permanent School Fund Corp’s increased stake in ProAssurance Co. highlights the investor’s belief in the insurance provider’s potential. The expansion creates an exciting dynamic for ProAssurance and its shareholders as they seek to capitalize on this influx of interest and propel the company forward in the ever-changing insurance industry landscape.
The next few months will provide an opportune moment for analysts and investors alike to closely monitor ProAssurance’s performance and assess whether Texas Permanent School Fund Corp’s decision was well-founded. For now, all eyes are on ProAssurance Corporation as it continues charting its path towards sustained success in the market.
Disclaimer: Our expertise lies in financial analysis; therefore, we encourage readers to conduct thorough research before making investment decisions.
Updated on: 07/12/2023
Debt to equity ratio: Strong Buy
Price to earnings ratio: Strong Buy
Price to book ratio: Buy
DCF: Strong Buy
2:00 PM (UTC)
Date:03 December, 2023
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ProAssurance Co.: Institutional Investors Show Confidence Amidst Mixed Analyst Opinions
August 3, 2023
ProAssurance Continues to Attract Institutional Investments Amidst Mixed Analyst Opinions
ProAssurance Co. (NYSE: PRA), an insurance provider, has recently witnessed several hedge funds making significant changes to their positions in the company. MetLife Investment Management LLC increased its stake in ProAssurance by 53.6% during the first quarter of this year, bringing its total ownership to 29,342 shares valued at $789,000. Panagora Asset Management Inc. also raised its stake by 19.3%, now owning 47,292 shares worth $1,271,000.
Commonwealth of Pennsylvania Public School Empls Retrmt SYS and Great West Life Assurance Co. Can both saw increases in their holdings as well. Commonwealth of Pennsylvania Public School Empls Retrmt SYS acquired an additional 5,738 shares during the period, raising its stake in ProAssurance by 14.1%. Similarly, Great West Life Assurance Co. Can increased its stake by 1.3%, purchasing an additional 591 shares.
Institutional investors now command a substantial portion of ProAssurance’s stock ownership with an impressive share ratio of 85.54%.
While institutional investors continue to show confidence in ProAssurance Co., equity research analysts hold mixed opinions on the company’s prospects. StockNews.com initiated coverage on ProAssurance with a “hold” rating back in May but provided no further updates regarding their position since then.
On the other hand, Truist Financial reduced ProAssurance’s price target from $22 to $16 in a research note issued on May 17th. Piper Sandler had a more optimistic outlook and raised the price target from $15 to $16 on July 6th.
More recently, JMP Securities lowered their price target significantly from $30 to $25 on July 12th.
As for the market performance of ProAssurance, it opened at $16.72 on Thursday. The company currently boasts a market capitalization of $903.38 million, with a price-to-earnings ratio of -334.33 and a beta of 0.45. ProAssurance’s 50-day moving average stands at $14.90, while the 200-day moving average is $17.01.
The firm maintains a current and quick ratio of 0.27, demonstrating its ability to meet short-term financial obligations efficiently despite its debt-to-equity ratio of 0.38.
Turning to its earnings report for the quarter ended May 9th, ProAssurance reported an earnings per share (EPS) of ($0.15), falling short of the consensus estimate by ($0.30). Analysts expected revenues to reach $283.40 million; however, ProAssurance reported revenue of $272.70 million, representing a decline of 3.7% year-over-year.
Despite the negative EPS and declining revenue figures, ProAssurance managed to maintain a positive return on equity of 0.78% and a narrow negative net margin of 0.28%. Comparatively, in the same period last year, the company posted an EPS of $0.14.
Looking ahead, equities analysts predict that ProAssurance Co.’s full-year earnings per share will be approximately $0.27 for this fiscal year.
In conclusion, institutional investors’ continued interest in ProAssurance Co.’s stock demonstrates confidence in the company’s long-term potential despite mixed opinions from equity research analysts over its current performance and future prospects.