On Feb 22, Zacks Investment Research upgraded
EMC Insurance Group Inc.
) to a Zacks Rank #1 (Strong Buy).
ALLIED WORLD AS (AWH): Free Stock Analysis
CINCINNATI FINL (CINF): Free Stock Analysis
EMC INSURANCE (EMCI): Free Stock Analysis
NAVIGATORS GRP (NAVG): Free Stock Analysis
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Why the Upgrade?
EMC Insurance Group delivered a strong fourth-quarter performance
with a positive earnings surprise of 32%. The company managed to
post positive earnings surprise after three quarters.
Premiums earned improved 4.9%, while combined ratio improved 640
basis points year over year.
The long-term expected earnings growth rate for this stock is
5%. The company expects to deliver operating earnings
between $2.40 and $2.65 per share in 2013.
EMC Insurance Group reported its fourth-quarter results on Feb
20. Non-GAAP earnings per share came in at 99 cents, surpassing
the Zacks Consensus Estimate by 32%. However, it lagged the
year-ago number by 71%.
The upside was largely due to higher top line coupled with lower
The Zacks Consensus Estimate for 2013 is $2.50 per share as 1
estimate was revised higher over the last 7 days, pushing the
Zacks Consensus Estimate by 35%. The current estimate is a few
cents above the midpoint of the guidance range provided by EMC
Insurance Group. For 2014, 1 estimate moved higher over the same
time frame, lifting the Zacks Consensus Estimate by 10.3% to
$3.22 per share.
Other Stocks to Consider
Property & casualty insurers
Allied World Assurance Co Holding
Cincinnati Financial Corp.
Navigators Group Inc.
), among other, carry a Zacks Rank #1 (Strong Buy) and are worth