Goldman Sachs Comments on Assurant Management Meetings

Last week Goldman Sachs hosted meetings with management of Assurant AIZ, including CEO Rob Pollock and Solutions CEO Craig Lemasters. Highlights include the following. “(1) Management is leading with its wireless business for growth,” Goldman Sachs writes. “(2) Expense efficiencies are going to continue to be an important piece of margin improvement, particularly in Health. “3) Capital is robust and capital allocation should be aggressive in both buybacks and M&A after a pause during hurricane season. “4) We believe management is seriously contemplating tapping the debt markets, given capacity and attractive funding costs. “5) Clients were finding it difficult to ignore AIZ's valuation (i.e., 0.75X book value).” Assurant closed Friday at $34.48.