KBW Has Outperform On Meadowbrook Insurance Group

KBW has an Oupterform rating and a $12 price target on shares of Meadowbrook Insurance Group MIG. In a note to clients, KBW writes, "Meadowbrook announced $12.5 million of 2Q11 catastrophe losses, approximately $0.08/share higher than normal. We are lowering our 2Q11 and FY11 estimates to reflect the outsized losses. We are maintaining our $12 target price and reiterate our Outperform rating. We believe the company's operating strategy remains intact and should result in relatively stable results. The company also continues to grow and we expect ROE to remain near 10% through 2012." Shares of MIG gained 5 cents yesterday to close at $10.03.