Essent Group price target lowered to $60 from $67 at JPMorgan

JPMorgan analyst Richard Shane lowered the firm’s price target on Essent Group (ESNT) to $60 from $67 and keeps a Neutral rating on the shares. The firm says market outcomes for consumer and specialty finance in 2025 will likely be determined by how far the Trump administration can go in implementing its policy objectives. The stocks already appear to be incorporating many of the more likely outcomes into valuations, with the sector factoring significant regulatory relief, less restrictive capital requirements, and higher capital returns, the analyst tells investors in a research note. JPMorgan believes this limits upside with risk/rewards “skewing unfavorably as premium valuations may constrain returns and downside scenarios could be exacerbated should events fail to unfold as expected.”