AMERICAN FINANCIAL GROUP - AFG 5 5/8 06/01/60 (AFGD) Stock Fundamental Analysis
USA - NYSE:AFGD - US0259328724
22.68 USD
+0.21 (+0.93%)
Taking everything into account, AFGD scores 6 out of 10 in our fundamental rating. AFGD was compared to 146 industry peers in the Insurance industry. AFGD has an excellent financial health rating, but there are some minor concerns on its profitability. AFGD is valued quite cheap, while showing a decent growth score. This is a good combination! This makes AFGD very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year AFGD was profitable.
In the past year AFGD had a positive cash flow from operations.
AFGD had positive earnings in each of the past 5 years.
In the past 5 years AFGD always reported a positive cash flow from operatings.
1.2 Ratios
With a Return On Assets value of 2.49%, AFGD perfoms like the industry average, outperforming 58.22% of the companies in the same industry.
AFGD's Return On Equity of 16.92% is amongst the best of the industry. AFGD outperforms 80.14% of its industry peers.
With a Return On Invested Capital value of 2.56%, AFGD perfoms like the industry average, outperforming 52.74% of the companies in the same industry.
AFGD had an Average Return On Invested Capital over the past 3 years of 2.95%. This is in line with the industry average of 4.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.49% | ||
| ROE | 16.92% | ||
| ROIC | 2.56% |
ROA(3y)2.95%
ROA(5y)3.35%
ROE(3y)20.68%
ROE(5y)22.52%
ROIC(3y)2.95%
ROIC(5y)2.64%
1.3 Margins
AFGD has a better Profit Margin (9.23%) than 63.70% of its industry peers.
In the last couple of years the Profit Margin of AFGD has remained more or less at the same level.
AFGD's Operating Margin of 11.89% is in line compared to the rest of the industry. AFGD outperforms 54.11% of its industry peers.
In the last couple of years the Operating Margin of AFGD has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 11.89% | ||
| PM (TTM) | 9.23% | ||
| GM | N/A |
OM growth 3Y-15.95%
OM growth 5Y-2.25%
PM growth 3Y-29.55%
PM growth 5Y-0.39%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
AFGD has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for AFGD has been increased compared to 1 year ago.
The number of shares outstanding for AFGD has been reduced compared to 5 years ago.
The debt/assets ratio for AFGD has been reduced compared to a year ago.
2.2 Solvency
AFGD has an Altman-Z score of 0.59. This is a bad value and indicates that AFGD is not financially healthy and even has some risk of bankruptcy.
AFGD's Altman-Z score of 0.59 is fine compared to the rest of the industry. AFGD outperforms 72.60% of its industry peers.
AFGD has a debt to FCF ratio of 0.95. This is a very positive value and a sign of high solvency as it would only need 0.95 years to pay back of all of its debts.
With a decent Debt to FCF ratio value of 0.95, AFGD is doing good in the industry, outperforming 68.49% of the companies in the same industry.
AFGD has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
AFGD's Debt to Equity ratio of 0.33 is in line compared to the rest of the industry. AFGD outperforms 45.21% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 0.95 | ||
| Altman-Z | 0.59 |
ROIC/WACC0.37
WACC6.9%
2.3 Liquidity
A Current Ratio of 3.88 indicates that AFGD has no problem at all paying its short term obligations.
AFGD has a Current ratio of 3.88. This is amongst the best in the industry. AFGD outperforms 97.26% of its industry peers.
AFGD has a Quick Ratio of 3.88. This indicates that AFGD is financially healthy and has no problem in meeting its short term obligations.
AFGD's Quick ratio of 3.88 is amongst the best of the industry. AFGD outperforms 97.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.88 | ||
| Quick Ratio | 3.88 |
3. Growth
3.1 Past
The earnings per share for AFGD have decreased strongly by -11.59% in the last year.
Measured over the past 5 years, AFGD shows a small growth in Earnings Per Share. The EPS has been growing by 4.54% on average per year.
Looking at the last year, AFGD shows a small growth in Revenue. The Revenue has grown by 2.96% in the last year.
The Revenue has been growing slightly by 0.16% on average over the past years.
EPS 1Y (TTM)-11.59%
EPS 3Y-2.5%
EPS 5Y4.54%
EPS Q2Q%-16.41%
Revenue 1Y (TTM)2.96%
Revenue growth 3Y8.33%
Revenue growth 5Y0.16%
Sales Q2Q%3.91%
3.2 Future
AFGD is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 4.83% yearly.
AFGD is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.14% yearly.
EPS Next Y-11.62%
EPS Next 2Y4.15%
EPS Next 3Y4.83%
EPS Next 5YN/A
Revenue Next Year0.75%
Revenue Next 2Y3.94%
Revenue Next 3Y3.14%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 2.42, the valuation of AFGD can be described as very cheap.
AFGD's Price/Earnings ratio is rather cheap when compared to the industry. AFGD is cheaper than 87.67% of the companies in the same industry.
AFGD's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.38.
AFGD is valuated cheaply with a Price/Forward Earnings ratio of 1.95.
Based on the Price/Forward Earnings ratio, AFGD is valued cheaper than 90.41% of the companies in the same industry.
AFGD is valuated cheaply when we compare the Price/Forward Earnings ratio to 22.86, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.42 | ||
| Fwd PE | 1.95 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AFGD is valued cheaper than 94.52% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AFGD indicates a rather cheap valuation: AFGD is cheaper than 92.47% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.22 | ||
| EV/EBITDA | 1.96 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.53
EPS Next 2Y4.15%
EPS Next 3Y4.83%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.27%, AFGD has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.44, AFGD pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.38, AFGD has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
5.2 History
On average, the dividend of AFGD grows each year by 13.64%, which is quite nice.
AFGD has been paying a dividend for over 5 years, so it has already some track record.
The dividend of AFGD decreased in the last 3 years.
Dividend Growth(5Y)13.64%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
99.74% of the earnings are spent on dividend by AFGD. This is not a sustainable payout ratio.
The dividend of AFGD is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP99.74%
EPS Next 2Y4.15%
EPS Next 3Y4.83%
AMERICAN FINANCIAL GROUP - AFG 5 5/8 06/01/60
NYSE:AFGD (9/19/2025, 8:04:00 PM)
22.68
+0.21 (+0.93%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners66.52%
Inst Owner ChangeN/A
Ins Owners17.94%
Ins Owner ChangeN/A
Market Cap1.89B
Analysts70.91
Price Target21.41 (-5.6%)
Short Float %0.01%
Short Ratio1.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.27% |
Yearly Dividend9.4
Dividend Growth(5Y)13.64%
DP99.74%
Div Incr Years0
Div Non Decr Years2
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.97%
Min EPS beat(2)-11.61%
Max EPS beat(2)1.66%
EPS beat(4)1
Avg EPS beat(4)-4.43%
Min EPS beat(4)-11.61%
Max EPS beat(4)1.66%
EPS beat(8)3
Avg EPS beat(8)-2.24%
EPS beat(12)5
Avg EPS beat(12)-2.2%
EPS beat(16)9
Avg EPS beat(16)6.98%
Revenue beat(2)0
Avg Revenue beat(2)-8.98%
Min Revenue beat(2)-10.18%
Max Revenue beat(2)-7.78%
Revenue beat(4)2
Avg Revenue beat(4)0.13%
Min Revenue beat(4)-10.18%
Max Revenue beat(4)11.93%
Revenue beat(8)4
Avg Revenue beat(8)-0.49%
Revenue beat(12)6
Avg Revenue beat(12)2.78%
Revenue beat(16)10
Avg Revenue beat(16)6.28%
PT rev (1m)-8.38%
PT rev (3m)-1.15%
EPS NQ rev (1m)-1.19%
EPS NQ rev (3m)-27.28%
EPS NY rev (1m)0%
EPS NY rev (3m)-9.22%
Revenue NQ rev (1m)3.44%
Revenue NQ rev (3m)5.5%
Revenue NY rev (1m)0.42%
Revenue NY rev (3m)0.31%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 2.42 | ||
| Fwd PE | 1.95 | ||
| P/S | 0.23 | ||
| P/FCF | 1.22 | ||
| P/OCF | 1.14 | ||
| P/B | 0.42 | ||
| P/tB | 0.47 | ||
| EV/EBITDA | 1.96 |
EPS(TTM)9.38
EY41.36%
EPS(NY)11.66
Fwd EY51.41%
FCF(TTM)18.54
FCFY81.74%
OCF(TTM)19.98
OCFY88.09%
SpS99.26
BVpS54.16
TBVpS48.18
PEG (NY)N/A
PEG (5Y)0.53
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.49% | ||
| ROE | 16.92% | ||
| ROCE | 3.23% | ||
| ROIC | 2.56% | ||
| ROICexc | 2.67% | ||
| ROICexgc | 2.94% | ||
| OM | 11.89% | ||
| PM (TTM) | 9.23% | ||
| GM | N/A | ||
| FCFM | 18.68% |
ROA(3y)2.95%
ROA(5y)3.35%
ROE(3y)20.68%
ROE(5y)22.52%
ROIC(3y)2.95%
ROIC(5y)2.64%
ROICexc(3y)3.07%
ROICexc(5y)2.78%
ROICexgc(3y)3.35%
ROICexgc(5y)3.01%
ROCE(3y)3.73%
ROCE(5y)3.34%
ROICexcg growth 3Y-11.18%
ROICexcg growth 5Y16.37%
ROICexc growth 3Y-11.66%
ROICexc growth 5Y15.82%
OM growth 3Y-15.95%
OM growth 5Y-2.25%
PM growth 3Y-29.55%
PM growth 5Y-0.39%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.27
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 0.95 | ||
| Debt/EBITDA | 1.38 | ||
| Cap/Depr | 139.54% | ||
| Cap/Sales | 1.45% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 155.7% | ||
| Profit Quality | 202.36% | ||
| Current Ratio | 3.88 | ||
| Quick Ratio | 3.88 | ||
| Altman-Z | 0.59 |
F-Score7
WACC6.9%
ROIC/WACC0.37
Cap/Depr(3y)114.17%
Cap/Depr(5y)79.15%
Cap/Sales(3y)1.25%
Cap/Sales(5y)1.15%
Profit Quality(3y)152.16%
Profit Quality(5y)165.86%
High Growth Momentum
Growth
EPS 1Y (TTM)-11.59%
EPS 3Y-2.5%
EPS 5Y4.54%
EPS Q2Q%-16.41%
EPS Next Y-11.62%
EPS Next 2Y4.15%
EPS Next 3Y4.83%
EPS Next 5YN/A
Revenue 1Y (TTM)2.96%
Revenue growth 3Y8.33%
Revenue growth 5Y0.16%
Sales Q2Q%3.91%
Revenue Next Year0.75%
Revenue Next 2Y3.94%
Revenue Next 3Y3.14%
Revenue Next 5YN/A
EBIT growth 1Y-11.03%
EBIT growth 3Y-8.95%
EBIT growth 5Y-2.09%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y41.06%
FCF growth 3Y-14.88%
FCF growth 5Y-15.83%
OCF growth 1Y43.99%
OCF growth 3Y-12.4%
OCF growth 5Y-14.05%