ORI - Old Republic International stock slides as Raymond James points to Title unit headwinds

Old Republic International (NYSE:ORI) shares are dipping nearly 3% in Friday morning trading as Raymond James analyst Gregory Peters downgraded the stock to Outperform from Strong Buy. The company's Title insurance business is expected to face near-term headwinds given a rising interest rate environment and diminished refinancing activity, according to a note. Lowered 2022 operating EPS estimate to $2.40 from $2.80, compared with the average analyst estimate of $2.50. Cut price target to $28 per share from $30, implying around 21% upside from Thursday's close. Still, the company's largest business segment, General Insurance, which accounted for 43% of last year's total revenue, is expected to "continue to report improving combined ratio results through 2023 as previous rate hikes continue to flow through financials," Peters explained. Meanwhile, SA's Quant Rating views ORI as a Hold, while Wall Street Analysts view the stock as a Buy (1 Strong Buy, 1 Hold). Earlier this week

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Old Republic International stock slides as Raymond James points to Title unit headwinds