Fidelis Insurance initiated with a Market Perform at BMO Capital

BMO Capital initiated coverage of Fidelis Insurance with a Market Perform rating and $15 price target. The firm has confidence in the company’s near-term RoE being in the double-digit range given that it has opportunistically grown into what continues to be a hard property-specific pricing cycle, the analyst tells investors in a research note. BMO adds however that Fidelis’s higher expense ratio and novel capital structure will take time for some investors to get comfortable valuing.