Assurant Inc (AIZ): Today's Featured Insurance Laggard

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Assurant ( AIZ) pushed the Insurance industry lower today making it today's featured Insurance laggard. The industry as a whole closed the day up 0.4%. By the end of trading, Assurant fell $1.09 (-2.3%) to $46.60 on average volume. Throughout the day, 961,833 shares of Assurant exchanged hands as compared to its average daily volume of 939,100 shares. The stock ranged in price between $45.03-$46.71 after having opened the day at $45.03 as compared to the previous trading day's close of $47.69. Other companies within the Insurance industry that declined today were: Aspen Insurance Holdings ( AHL), down 4.3%, Allied World Assurance Company Holdings ( AWH), down 4.1%, Citizens ( CIA), down 3.0% and Crawford & Company ( CRD.B), down 2.7%.
  • EXCLUSIVE OFFER: Jim Cramer's Protege, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

Assurant, Inc., through its subsidiaries, provides specialized insurance products and related services in North America and internationally. Assurant has a market cap of $3.7 billion and is part of the financial sector. The company has a P/E ratio of 8.3, below the S&P 500 P/E ratio of 17.7. Shares are up 36.3% year to date as of the close of trading on Wednesday.

TheStreet Ratings rates Assurant as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, attractive valuation levels and solid stock price performance. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the positive front, CoreLogic ( CLGX), down 7.4%, First Acceptance Corporation ( FAC), down 4.9%, Stewart Information Services ( STC), down 4.5% and Universal Insurance Holdings ( UVE), down 4.5% , were all gainers within the insurance industry with Prudential Financial ( PRU) being today's featured insurance industry leader.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the insurance industry could consider KBW Insurance ETF ( KIE) while those bearish on the insurance industry could consider Proshares Short Financials ( SEF).

Exclusive Offer: Jim Cramer's 'go-to' small/mid-cap guru Bryan Ashenberg only buys stocks he thinks could return 50-100%. See his top picks for 14-days FREE.
null

If you liked this article you might like

Baker's Dozen Plus One Make Up My New Buyback/Dividend Growth Portfolio

The Big Reason You Should Buy Assurant: 13 Years of Dividend Growth

Analysts' Actions -- American Express, Kinder Morgan, Expedia and More

Turn to Insurers for Some Portfolio Insurance