On Jan 14, Zacks Investment Research upgraded
Endurance Specialty Holdings Ltd.
) to a Zacks Rank #1 (Strong Buy) from a Zacks Rank #3
Why the Upgrade?
Endurance Specialty has been riding on a strong growth
momentum ahead of its fourth-quarter and full-year 2013 results,
which is slated to release after the closing bell on Feb 6, 2014.
The growth impetus stems from improved core fundamentals in 2013,
streamlining of the product portfolio and improvement in
Alongside, favorable market trends should help mitigate risks
on investment returns. The company's recent strategic alliances
to strengthen its catastrophe risk management and reserves,
primarily in the emerging markets of the Asia-Pacific further
boosts its growth prospects. Moreover, strong expense management
and incremental return of capital are deemed impressive by the
investors and ratings agencies.
Endurance Specialty also outperformed the year-to-date S&P
500, which posted an increase of 25.6% against a return of 29.3%
clocked by the company. Additionally, this global property and
casualty (P&C) insurer and reinsurer delivered positive
earnings surprise of 70.3% during the reported quarter.
On Nov 4, Endurance Specialty reported third-quarter 2013
operating earnings per share of $1.70, which outpaced both the
Zacks Consensus Estimate of $1.11 and the year-ago quarter number
of 74 cents.
Endurance Specialty has been experiencing rising earnings
estimates following its robust third-quarter 2013 results. The
Zacks Consensus Estimate for 2013 moved north by 5.8% to $6.60
per share in the last 60 days. The estimate for fourth-quarter
2013, in particular, shot up 8.5% to $1.54 a share.
Moreover, the estimate for 2014 rose 0.6% to $4.89 over the
same period. Furthermore, no downward revision in estimates was
witnessed for both the years.
Other Stocks to Consider
Apart from Endurance Specialty, other equally-ranked insurers
in the industry include
Aspen Insurance Holdings Ltd.
). All these stocks carry the same Zacks Rank as Endurance
ASPEN INS HLDGS (AHL): Free Stock Analysis
ENDURANCE SPLTY (ENH): Free Stock Analysis
PARTNERRE LTD (PRE): Free Stock Analysis
WHITE MTN INS (WTM): Free Stock Analysis
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