ProAssurance stock hits 52-week high at $23.27 amid strong performance

Published 20/03/2025, 14:36
ProAssurance stock hits 52-week high at $23.27 amid strong performance

ProAssurance Corporation (NYSE:PRA) stock has reached a 52-week high, touching $23.27, signaling a robust phase for the company amidst a challenging market environment. With a market capitalization of approximately $795 million and a price-to-earnings ratio of 15.17, the company maintains strong liquidity with a current ratio of 2.64, according to InvestingPro data. This peak reflects a significant uptrend from the previous year, with the stock experiencing an impressive 25.32% increase over the past 12 months. Investors have shown increased confidence in ProAssurance’s strategic initiatives and financial health, as the company continues to navigate through the complexities of the insurance sector with resilience and growth-oriented policies. The 52-week high milestone is a testament to the company’s sustained efforts to enhance shareholder value and its commitment to operational excellence. Trading above its InvestingPro Fair Value, the stock has attracted positive analyst attention, with two analysts recently revising their earnings expectations upward. Discover more insights and 4 additional ProTips with an InvestingPro subscription, including the company’s comprehensive Pro Research Report.

In other recent news, The Doctors Company Group (TDC) announced a definitive agreement to acquire ProAssurance Corporation for approximately $1.3 billion. This acquisition, pending regulatory approvals, is expected to conclude in the first half of 2026. ProAssurance recently reported a strong performance in Q4 2024, with earnings per share (EPS) of $0.36, doubling the expected $0.18, and revenue of $290.1 million, surpassing the forecasted $228.42 million. Following the acquisition announcement, Fitch Ratings maintained TDC’s ’A’ Insurer Financial Strength ratings, noting that the acquisition aligns with TDC’s operational strategy.

AM Best also confirmed the stable credit ratings for both TDC and ProAssurance, citing strong balance sheets and adequate operating performance. The acquisition will make TDC the owner of ProAssurance, which is currently the fourth-largest writer of medical professional liability insurance in the U.S. Both Fitch and AM Best will continue to monitor the transaction’s progress and its impact on the companies’ ratings. Financial advisory services for the acquisition are being provided by Houlihan Lokey (NYSE:HLI) Capital, Inc. and Goldman Sachs & Co. LLC. These developments indicate a strategic move by TDC to enhance its market position in the medical professional liability insurance sector.

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