Piper Jaffray Adjusts 4Q2010 EPS Forecast for FPIC Insurance Group

In a report published earlier today, Piper Jaffray announced that it will adjust its forecast for fourth quarter EPS for FPIC Insurance Group FPIC from $0.74 to $0.46. According to Piper Jaffray, this adjustment better reflects the better-than-expected acquisition of Advocate MD. According to the report, “the additional earn out expense results in more favorable outcomes for the underwriter and likely enhances returns now and in the future.” Piper Jaffray maintains its “Neutral” rating and has a price target of $36, but notes that risks such as increased competition, adverse reserve development, and adverse legal developments may prevent the stock from reaching its target price. FPIC is currently trading at $35.07.