ProAssurance (NYSE:PRA) Shares Gap Down After Earnings Miss

ProAssurance Co. (NYSE:PRA)’s share price gapped down before the market opened on Thursday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $17.67, but opened at $15.64. ProAssurance shares last traded at $14.55, with a volume of 25,472 shares changing hands.

The insurance provider reported ($0.07) earnings per share (EPS) for the quarter, missing the consensus estimate of $0.15 by ($0.22). The company had revenue of $275.75 million during the quarter, compared to analyst estimates of $241.12 million. ProAssurance had a net margin of 0.82% and a return on equity of 0.09%. The company’s revenue was up 1.0% on a year-over-year basis. During the same period in the prior year, the company earned ($0.06) earnings per share.

Wall Street Analysts Forecast Growth

Several analysts have weighed in on the stock. Piper Sandler lowered their target price on shares of ProAssurance from $20.00 to $19.00 and set an “overweight” rating for the company in a research note on Friday, October 6th. StockNews.com initiated coverage on shares of ProAssurance in a research note on Thursday, October 5th. They set a “hold” rating for the company.

Hedge Funds Weigh In On ProAssurance

Several institutional investors have recently modified their holdings of the company. Louisiana State Employees Retirement System lifted its holdings in ProAssurance by 12.7% in the second quarter. Louisiana State Employees Retirement System now owns 28,400 shares of the insurance provider’s stock worth $429,000 after purchasing an additional 3,200 shares during the period. State of New Jersey Common Pension Fund D lifted its holdings in ProAssurance by 66.7% in the second quarter. State of New Jersey Common Pension Fund D now owns 197,187 shares of the insurance provider’s stock worth $2,976,000 after purchasing an additional 78,888 shares during the period. Inspire Investing LLC lifted its holdings in ProAssurance by 39.7% in the 2nd quarter. Inspire Investing LLC now owns 20,694 shares of the insurance provider’s stock valued at $312,000 after acquiring an additional 5,880 shares during the last quarter. TimesSquare Capital Management LLC lifted its holdings in ProAssurance by 1.5% in the 2nd quarter. TimesSquare Capital Management LLC now owns 1,603,855 shares of the insurance provider’s stock valued at $24,202,000 after acquiring an additional 24,120 shares during the last quarter. Finally, Assenagon Asset Management S.A. acquired a new stake in ProAssurance in the 2nd quarter valued at about $401,000. Institutional investors own 85.14% of the company’s stock.

ProAssurance Stock Down 21.3 %

The company has a debt-to-equity ratio of 0.38, a quick ratio of 0.29 and a current ratio of 0.29. The company has a market capitalization of $724.15 million, a price-to-earnings ratio of 77.28 and a beta of 0.39. The stock’s fifty day simple moving average is $17.97 and its two-hundred day simple moving average is $16.54.

ProAssurance Company Profile

ProAssurance Corporation, through its subsidiaries, provides property and casualty insurance, and reinsurance products in the United States. The company operates through Specialty Property and Casualty, Workers' Compensation Insurance, Segregated Portfolio Cell Reinsurance, and Lloyd's Syndicates segments.