Assurant: Letting The Cat Out Of The Bag
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Far Horizon1.49K FollowersFollow5ShareSavePlay(11min)CommentsSummaryAssurant is a niche P&C insurer with strong recent EPS growth, but earnings are highly sensitive to catastrophe losses.AIZ's Q3 2025 EPS beat was driven by unusually low catastrophe losses, not underlying business outperformance.Management reports focus on 'ex cat' results, masking the true volatility and risk from increasing catastrophe exposures.I rate AIZ an opportunistic Buy for the upcoming earnings season, but not a long-term Buy due to limited Cat transparency. Svetlana Sultanaeva/iStock via Getty Images Assurant, Inc. (AIZ) is a specialty P&C insurance company which operates in very defined niches. I would put them at the ‘special’ end of the specialty insurer landscape. Assurant has been growing EPS nicely over the last several years, and hasThis article was written byFar Horizon1.49K FollowersFollowThe author has an honours degree in economics and politics with a focus on economic development. With 36 years of experience in executive management he has extensive knowledge of insurance/reinsurance, Global and Asia Pacific markets, climate change and ESG. He invests in his personal capacity.Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Short position through short-selling of the stock, or purchase of put options or similar derivatives in AIZ over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. The author is not an investment advisor and offers no advice here. He shares his own analysis solely for the interest of readers. Any long position would be opportunistic, and only held through earnings on 3rd Feb.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.