BGB Maintains Buy on Meadowbrook Insurance Group

BGB is out with its report today on Meadowbrook Insurance Group MIG, maintaining Buy. In a note to clients, BGB writes, "MIG typically anticipates some CAT activity due to the nature of the business the company writes. However, the frequency of storms in 2Q11 puts most of the loss burden on the primary insurer. MIG announced expected 2Q11 CAT losses of $12.5M, which is approximately $6.3M higher than normal. Despite the higher than expected CATs in the recent quarter, we maintain our BUY rating on MIG." Shares of MIG closed Thursday at $10.03.