BOWHEAD SPECIALTY HOLDINGS I (BOW) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:BOW - US10240L1026 - Common Stock
25.28 USD
+0.18 (+0.72%)
25.28 USD
0 (0%)
Overall BOW gets a fundamental rating of 4 out of 10. We evaluated BOW against 148 industry peers in the Insurance industry. BOW scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. BOW has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
- In the past year BOW was profitable.
- In the past year BOW had a positive cash flow from operations.
1.2 Ratios
- Looking at the Return On Assets, with a value of 2.51%, BOW is in line with its industry, outperforming 59.06% of the companies in the same industry.
- With a Return On Equity value of 12.19%, BOW perfoms like the industry average, outperforming 55.70% of the companies in the same industry.
- The Return On Invested Capital of BOW (4.30%) is better than 70.47% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for BOW is significantly below the industry average of 14.93%.
- The last Return On Invested Capital (4.30%) for BOW is above the 3 year average (4.13%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.51% | ||
| ROE | 12.19% | ||
| ROIC | 4.3% |
ROA(3y)2.25%
ROA(5y)N/A
ROE(3y)12.29%
ROE(5y)N/A
ROIC(3y)4.13%
ROIC(5y)N/A
1.3 Margins
- With a decent Profit Margin value of 10.12%, BOW is doing good in the industry, outperforming 61.74% of the companies in the same industry.
- BOW has a better Operating Margin (22.42%) than 79.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.42% | ||
| PM (TTM) | 10.12% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), BOW is destroying value.
- BOW has more shares outstanding than it did 1 year ago.
- BOW has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
- There is no outstanding debt for BOW. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | N/A |
ROIC/WACC0.48
WACC8.88%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
- The earnings per share for BOW have decreased by -1.44% in the last year.
- The Revenue for BOW has decreased by -11.95% in the past year. This is quite bad
EPS 1Y (TTM)-1.44%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%23.68%
Revenue 1Y (TTM)-11.95%
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%22.08%
3.2 Future
- The Earnings Per Share is expected to grow by 19.65% on average over the next years. This is quite good.
- BOW is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 22.62% yearly.
EPS Next Y23.74%
EPS Next 2Y22.72%
EPS Next 3Y22.96%
EPS Next 5Y19.65%
Revenue Next Year25.43%
Revenue Next 2Y25.43%
Revenue Next 3Y22.62%
Revenue Next 5YN/A
3.3 Evolution
4. Valuation
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 15.80, which indicates a correct valuation of BOW.
- The rest of the industry has a similar Price/Earnings ratio as BOW.
- The average S&P500 Price/Earnings ratio is at 27.21. BOW is valued slightly cheaper when compared to this.
- BOW is valuated correctly with a Price/Forward Earnings ratio of 12.58.
- BOW's Price/Forward Earnings is on the same level as the industry average.
- Compared to an average S&P500 Price/Forward Earnings ratio of 25.98, BOW is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.8 | ||
| Fwd PE | 12.58 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, BOW is valued a bit cheaper than 75.84% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, BOW is valued cheaply inside the industry as 86.58% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.52 | ||
| EV/EBITDA | 5.31 |
4.3 Compensation for Growth
- BOW's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
- BOW's earnings are expected to grow with 22.96% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.67
PEG (5Y)N/A
EPS Next 2Y22.72%
EPS Next 3Y22.96%
5. Dividend
5.1 Amount
- No dividends for BOW!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
BOWHEAD SPECIALTY HOLDINGS I / BOW FAQ
Can you provide the ChartMill fundamental rating for BOWHEAD SPECIALTY HOLDINGS I?
ChartMill assigns a fundamental rating of 4 / 10 to BOW.
What is the valuation status for BOW stock?
ChartMill assigns a valuation rating of 6 / 10 to BOWHEAD SPECIALTY HOLDINGS I (BOW). This can be considered as Fairly Valued.
Can you provide the profitability details for BOWHEAD SPECIALTY HOLDINGS I?
BOWHEAD SPECIALTY HOLDINGS I (BOW) has a profitability rating of 3 / 10.
What is the valuation of BOWHEAD SPECIALTY HOLDINGS I based on its PE and PB ratios?
The Price/Earnings (PE) ratio for BOWHEAD SPECIALTY HOLDINGS I (BOW) is 15.8 and the Price/Book (PB) ratio is 1.92.