NEW YORK, June 25 (Reuters) - Insurer Assurant Inc’s shares could double because it is emphasizing fee-based businesses while lowering its exposure to its riskier underwriting business, according to a report in Barron‘s.
The company generates around 60 percent of its revenue from its fee-based global lifestyle unit, the report in the June 26 issue of Barron’s said.
Valuing that portion of the business similarly to what rival Allstate Corp paid for SquareTrade, which offers extended warranty plans for electronic gadgets, would suggest a value of nearly $190 a share for Assurant, Barron’s said.
Assurant shares closed at $101.25 on Friday. (Reporting by Michael Erman; Editing by Dan Grebler)