DONEGAL GROUP INC-CL A (DGICA) Stock Fundamental Analysis
USA - NASDAQ:DGICA - US2577012014 - Common Stock
19.34 USD
0 (0%)
DGICA gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 147 industry peers in the Insurance industry. DGICA has a medium profitability rating, but doesn't score so well on its financial health evaluation. DGICA is not valued too expensively and it also shows a decent growth rate. DGICA also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
DGICA had positive earnings in the past year.
In the past year DGICA had a positive cash flow from operations.
DGICA had positive earnings in 4 of the past 5 years.
DGICA had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
DGICA has a Return On Assets of 3.44%. This is in the better half of the industry: DGICA outperforms 69.39% of its industry peers.
With a decent Return On Equity value of 13.67%, DGICA is doing good in the industry, outperforming 67.35% of the companies in the same industry.
DGICA has a Return On Invested Capital of 3.62%. This is in the better half of the industry: DGICA outperforms 65.99% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.44% | ||
| ROE | 13.67% | ||
| ROIC | 3.62% |
ROA(3y)0.76%
ROA(5y)1.17%
ROE(3y)3.28%
ROE(5y)4.96%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of DGICA (8.34%) is comparable to the rest of the industry.
DGICA's Profit Margin has declined in the last couple of years.
DGICA's Operating Margin of 10.36% is in line compared to the rest of the industry. DGICA outperforms 45.58% of its industry peers.
DGICA's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.36% | ||
| PM (TTM) | 8.34% | ||
| GM | N/A |
OM growth 3Y18.73%
OM growth 5Y-2.32%
PM growth 3Y18.37%
PM growth 5Y-2.43%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
DGICA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, DGICA has more shares outstanding
The number of shares outstanding for DGICA has been increased compared to 5 years ago.
Compared to 1 year ago, DGICA has an improved debt to assets ratio.
2.2 Solvency
DGICA has a debt to FCF ratio of 0.44. This is a very positive value and a sign of high solvency as it would only need 0.44 years to pay back of all of its debts.
DGICA has a better Debt to FCF ratio (0.44) than 82.31% of its industry peers.
DGICA has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of DGICA (0.06) is better than 79.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.44 | ||
| Altman-Z | N/A |
ROIC/WACC0.43
WACC8.32%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
DGICA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 1542.86%, which is quite impressive.
The Earnings Per Share has been growing slightly by 6.60% on average over the past years.
The Revenue has been growing slightly by 3.37% in the past year.
DGICA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.03% yearly.
EPS 1Y (TTM)1542.86%
EPS 3Y27.54%
EPS 5Y6.6%
EPS Q2Q%290.91%
Revenue 1Y (TTM)3.37%
Revenue growth 3Y6.62%
Revenue growth 5Y4.03%
Sales Q2Q%0.15%
3.2 Future
Based on estimates for the next years, DGICA will show a quite strong growth in Earnings Per Share. The EPS will grow by 14.95% on average per year.
Based on estimates for the next years, DGICA will show a small growth in Revenue. The Revenue will grow by 2.27% on average per year.
EPS Next Y46.35%
EPS Next 2Y22.5%
EPS Next 3Y14.95%
EPS Next 5YN/A
Revenue Next Year-0.78%
Revenue Next 2Y1.31%
Revenue Next 3Y2.27%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 8.41, which indicates a very decent valuation of DGICA.
Based on the Price/Earnings ratio, DGICA is valued a bit cheaper than the industry average as 69.39% of the companies are valued more expensively.
DGICA's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.57.
DGICA is valuated reasonably with a Price/Forward Earnings ratio of 9.27.
62.59% of the companies in the same industry are more expensive than DGICA, based on the Price/Forward Earnings ratio.
DGICA's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.09.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.41 | ||
| Fwd PE | 9.27 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of DGICA indicates a somewhat cheap valuation: DGICA is cheaper than 70.75% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of DGICA is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 8.96 | ||
| EV/EBITDA | 6.4 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as DGICA's earnings are expected to grow with 14.95% in the coming years.
PEG (NY)0.18
PEG (5Y)1.27
EPS Next 2Y22.5%
EPS Next 3Y14.95%
5. Dividend
5.1 Amount
DGICA has a Yearly Dividend Yield of 3.80%.
DGICA's Dividend Yield is a higher than the industry average which is at 3.31.
DGICA's Dividend Yield is rather good when compared to the S&P500 average which is at 2.32.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.8% |
5.2 History
The dividend of DGICA has a limited annual growth rate of 3.21%.
DGICA has paid a dividend for at least 10 years, which is a reliable track record.
DGICA has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.21%
Div Incr Years23
Div Non Decr Years23
5.3 Sustainability
28.95% of the earnings are spent on dividend by DGICA. This is a low number and sustainable payout ratio.
The dividend of DGICA is growing, but earnings are growing more, so the dividend growth is sustainable.
DP28.95%
EPS Next 2Y22.5%
EPS Next 3Y14.95%
NASDAQ:DGICA (10/23/2025, 2:42:56 PM)
19.34
0 (0%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners86.57%
Inst Owner Change0.06%
Ins Owners1.92%
Ins Owner Change7.54%
Market Cap706.10M
Revenue(TTM)993.64M
Net Income(TTM)82.83M
Analysts84
Price Target20.91 (8.12%)
Short Float %1.58%
Short Ratio3.05
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.8% |
Yearly Dividend0.66
Dividend Growth(5Y)3.21%
DP28.95%
Div Incr Years23
Div Non Decr Years23
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)49.27%
Min EPS beat(2)6.14%
Max EPS beat(2)92.4%
EPS beat(4)4
Avg EPS beat(4)137.3%
Min EPS beat(4)6.14%
Max EPS beat(4)332.21%
EPS beat(8)5
Avg EPS beat(8)38.32%
EPS beat(12)5
Avg EPS beat(12)-11.1%
EPS beat(16)6
Avg EPS beat(16)-24.46%
Revenue beat(2)0
Avg Revenue beat(2)-3.74%
Min Revenue beat(2)-4.54%
Max Revenue beat(2)-2.93%
Revenue beat(4)0
Avg Revenue beat(4)-3.03%
Min Revenue beat(4)-4.54%
Max Revenue beat(4)-1.46%
Revenue beat(8)0
Avg Revenue beat(8)-2%
Revenue beat(12)1
Avg Revenue beat(12)-2.01%
Revenue beat(16)1
Avg Revenue beat(16)-2.54%
PT rev (1m)0%
PT rev (3m)5.13%
EPS NQ rev (1m)13.89%
EPS NQ rev (3m)20.59%
EPS NY rev (1m)6.76%
EPS NY rev (3m)4.87%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.83%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.41 | ||
| Fwd PE | 9.27 | ||
| P/S | 0.71 | ||
| P/FCF | 8.96 | ||
| P/OCF | 8.96 | ||
| P/B | 1.17 | ||
| P/tB | 1.18 | ||
| EV/EBITDA | 6.4 |
EPS(TTM)2.3
EY11.89%
EPS(NY)2.09
Fwd EY10.78%
FCF(TTM)2.16
FCFY11.16%
OCF(TTM)2.16
OCFY11.16%
SpS27.22
BVpS16.59
TBVpS16.41
PEG (NY)0.18
PEG (5Y)1.27
Graham Number29.3
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.44% | ||
| ROE | 13.67% | ||
| ROCE | 4.28% | ||
| ROIC | 3.62% | ||
| ROICexc | 3.71% | ||
| ROICexgc | 5.01% | ||
| OM | 10.36% | ||
| PM (TTM) | 8.34% | ||
| GM | N/A | ||
| FCFM | 7.93% |
ROA(3y)0.76%
ROA(5y)1.17%
ROE(3y)3.28%
ROE(5y)4.96%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y23.46%
ROICexgc growth 5Y-3.14%
ROICexc growth 3Y24.98%
ROICexc growth 5Y-2.69%
OM growth 3Y18.73%
OM growth 5Y-2.32%
PM growth 3Y18.37%
PM growth 5Y-2.43%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.44 | ||
| Debt/EBITDA | 0.33 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 77.01 | ||
| Cash Conversion | 73.75% | ||
| Profit Quality | 95.17% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC8.32%
ROIC/WACC0.43
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1542.86%
EPS 3Y27.54%
EPS 5Y6.6%
EPS Q2Q%290.91%
EPS Next Y46.35%
EPS Next 2Y22.5%
EPS Next 3Y14.95%
EPS Next 5YN/A
Revenue 1Y (TTM)3.37%
Revenue growth 3Y6.62%
Revenue growth 5Y4.03%
Sales Q2Q%0.15%
Revenue Next Year-0.78%
Revenue Next 2Y1.31%
Revenue Next 3Y2.27%
Revenue Next 5YN/A
EBIT growth 1Y990.28%
EBIT growth 3Y26.58%
EBIT growth 5Y1.62%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y74.39%
FCF growth 3Y-4.2%
FCF growth 5Y-2.44%
OCF growth 1Y74.39%
OCF growth 3Y-4.2%
OCF growth 5Y-2.46%