Enterprising Investor Forum

Entering the market – 2 Tuesday, November 20, 2007

After talking about Precision Drilling Trust (link), we will now turn to the insurance industry.

Would you be willing to take a look at company that has no exposure to sub-prime, a P/E ratio under 6, a P/B of 1.17 and paying a divided yield of almost 5%? Well, please meet Safety Insurance Group (SAFT).

This is a truly exceptional business trading at a big discount. At these prices, we wouldn’t be surprised if a competitor is taking avery close look or if management decided to take the company private.

Please read the following links to see what we think of SAFT:

• June post – fist introduction: link.
• July post – understanding Safety Insurance: link.

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