BMO starts Baldwin with Outperform on ‘discounted’ valuation

BMO Capital initiated coverage of Baldwin Group (BWIN) with an Outperform rating and $53 price target The company’s mix of faster organic growth, an “imminent return” in acquisition capacity, “lengthy” margin runway, and leverage to innovative distribution make the stock’s current “discounted” valuation attractive, the analyst tells investors in a research note. The firm believes Baldwin’s free cash flows should accelerate with its leverage levels reaching normalcy in the second half of 2025. Baldwin’s current valuation makes it the “highest upside play” in insurance brokerage, with short interest near all-time highs despite an improving capital position, contends BMO.