Piper Sandler downgrades ProAssurance to Neutral, says no longer undervalued

As previously reported, Piper Sandler downgraded ProAssurance (PRA) to Neutral from Overweight with a $18 price target The firm believes the stock is no longer as undervalued as it once was based on its current and forward ROE. Piper continues to be optimistic about the company’s return to profitability but finds it difficult to identify any catalysts that would cause it to improve drastically from here. It also believes the forward ROE will likely remain about or below 5% for the foreseeable future, which suggests the stock should trade below its book value.