Bermuda-based business insurer XL Capital Ltd. was upgraded to a "buy" at Bank of America/Merill Lynch yesterday.

The Bermuda-based company was raised to a "Buy" from a previous "Neutral" rating by BoA/Merrill. The investment analyst also raised XL's price target to $14. Previously, Merrill had set a $12 price target.

The analyst maintained current full-year EPS estimates for XL of $2.50 per share.

XL shares rose 90 cents, or eight percent yesterday. The stock has risen 228 percent this year to date.