On May 4th, Assured Guaranty reported another phenomenal quarter of financial performance.  Operating income was $273MM, or $2.14 per share in the quarter.  These figures were up from $123MM, or $.89 per share in the prior year’s quarter.  These returns were achieved despite the company adding an extra roughly $100MM in reserves for Puerto Rico, where they already likely have over $1 billion reserved all in.  The most important numbers to follow on AGO are the non-GAAP operating book value and adjusted book value figures, which are the best proxies for intrinsic value for the company.  Just from the end of 2016, operating book value grew to $52.51, from $49.89, or 5.25%.  Adjusted book value grew to $71.51, from $66.46, or 7.6%.

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