Ategrity Specialty initiated with an Overweight at Wells Fargo

Wells Fargo analyst Elyse Greenspan initiated coverage of Ategrity Specialty (ASIC) with an Overweight rating and $29 price target Ategrity Specialty is a pure E&S play with 2/3 of its book in casualty. With shares at 10.3-times the firm’s 2026 EPS estimate vs specialty peer group average of almost 19-times, Wells sees upside from here. Ategrity Specialty has a utility and infrastructure fund where earnings run through the realized/unrealized gain/loss line. The firm assumes 5.5% return on this asset class. Even if Wells ignored these earnings completely, shares would still be cheap relative to specialty peer group, the firm argues.