RenaissanceRe initiated with a Sell at Goldman Sachs

Goldman Sachs analyst Robert Cox initiated coverage of RenaissanceRe (RNR) with a Sell rating and $256 price target The firm has a “negative bias” on Bermuda reinsurer stocks. The extent of over-earning in the sector is underappreciated in consensus estimates and shares valuations are unlikely to be supportive of stock performance, the analyst tells investors in a research note. Goldman sees a building capital supply/demand imbalance and increases the chance of a softening cycle.