DONEGAL GROUP INC-B (DGICB)
US2577013004 - Common Stock
Overall DGICB gets a fundamental rating of 4 out of 10. We evaluated DGICB against 141 industry peers in the Insurance industry. Both the profitability and financial health of DGICB have multiple concerns. DGICB has a correct valuation and a medium growth rate. Finally DGICB also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
DGICB had positive earnings in the past year.
DGICB had a positive operating cash flow in the past year.
Of the past 5 years DGICB 4 years were profitable.
Each year in the past 5 years DGICB had a positive operating cash flow.
1.2 Ratios
DGICB has a worse Return On Assets (0.20%) than 67.86% of its industry peers.
DGICB has a worse Return On Equity (0.92%) than 67.86% of its industry peers.
Looking at the Return On Invested Capital, with a value of 0.22%, DGICB is doing worse than 60.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.2% | ||
| ROE | 0.92% | ||
| ROIC | 0.22% |
ROA(3y)0.41%
ROA(5y)1.23%
ROE(3y)1.76%
ROE(5y)5.19%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
DGICB has a Profit Margin of 0.48%. This is in the lower half of the industry: DGICB underperforms 70.00% of its industry peers.
DGICB's Profit Margin has declined in the last couple of years.
DGICB has a Operating Margin of 0.61%. This is in the lower half of the industry: DGICB underperforms 74.29% of its industry peers.
In the last couple of years the Operating Margin of DGICB has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.61% | ||
| PM (TTM) | 0.48% | ||
| GM | N/A |
OM growth 3Y-58.03%
OM growth 5YN/A
PM growth 3Y-58.73%
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), DGICB is destroying value.
Compared to 1 year ago, DGICB has more shares outstanding
Compared to 5 years ago, DGICB has more shares outstanding
The debt/assets ratio for DGICB has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of DGICB is 1.22, which is an excellent value as it means it would take DGICB, only 1.22 years of fcf income to pay off all of its debts.
DGICB has a Debt to FCF ratio of 1.22. This is in the better half of the industry: DGICB outperforms 67.14% of its industry peers.
A Debt/Equity ratio of 0.07 indicates that DGICB is not too dependend on debt financing.
DGICB has a Debt to Equity ratio of 0.07. This is amongst the best in the industry. DGICB outperforms 87.14% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 1.22 | ||
| Altman-Z | N/A |
ROIC/WACC0.03
WACC8.69%
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 DGICB have decreased strongly by -65.00% in the last year.
Measured over the past years, DGICB shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -65.80% on average per year.
The Revenue has grown by 9.33% in the past year. This is quite good.
The Revenue has been growing slightly by 3.81% on average over the past years.
EPS 1Y (TTM)-65%
EPS 3Y-65.8%
EPS 5YN/A
EPS growth Q2Q-222.22%
Revenue 1Y (TTM)9.33%
Revenue growth 3Y6.04%
Revenue growth 5Y3.81%
Revenue growth Q2Q7.19%
3.2 Future
Based on estimates for the next years, DGICB will show a very strong growth in Earnings Per Share. The EPS will grow by 308.36% on average per year.
DGICB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.61% yearly.
EPS Next Y1150.71%
EPS Next 2Y308.36%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.99%
Revenue Next 2Y5.61%
Revenue Next 3YN/A
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 accelerating.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
DGICB is valuated quite expensively with a Price/Earnings ratio of 184.43.
Based on the Price/Earnings ratio, DGICB is valued a bit more expensive than 77.14% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.06, DGICB is valued quite expensively.
DGICB is valuated correctly with a Price/Forward Earnings ratio of 14.75.
Compared to the rest of the industry, the Price/Forward Earnings ratio of DGICB is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 20.72. DGICB is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 184.43 | ||
| Fwd PE | 14.75 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, DGICB is valued a bit more expensive than the industry average as 60.71% of the companies are valued more cheaply.
DGICB's Price/Free Cash Flow ratio is in line with the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.08 | ||
| EV/EBITDA | 44.22 |
4.3 Compensation for Growth
DGICB's 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 DGICB's earnings are expected to grow with 308.36% in the coming years.
PEG (NY)0.16
PEG (5Y)N/A
EPS Next 2Y308.36%
EPS Next 3YN/A
5. Dividend
5.1 Amount
DGICB has a Yearly Dividend Yield of 5.10%, which is a nice return.
Compared to an average industry Dividend Yield of 4.23, DGICB pays a better dividend. On top of this DGICB pays more dividend than 89.29% of the companies listed in the same industry.
DGICB's Dividend Yield is rather good when compared to the S&P500 average which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.1% |
5.2 History
The dividend of DGICB has a limited annual growth rate of 3.59%.
DGICB has been paying a dividend for at least 10 years, so it has a reliable track record.
DGICB has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)3.59%
Div Incr Years17
Div Non Decr Years17
5.3 Sustainability
494.24% of the earnings are spent on dividend by DGICB. This is not a sustainable payout ratio.
DGICB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP494.24%
EPS Next 2Y308.36%
EPS Next 3YN/A
DONEGAL GROUP INC-B
NASDAQ:DGICB (4/25/2024, 7:00:01 PM)
12.91
+0.12 (+0.94%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap431.06M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.1% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Min Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 184.43 | ||
| Fwd PE | 14.75 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.16
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.2% | ||
| ROE | 0.92% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 0.61% | ||
| PM (TTM) | 0.48% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-65%
EPS 3Y-65.8%
EPS 5Y
EPS growth Q2Q
EPS Next Y1150.71%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)9.33%
Revenue growth 3Y6.04%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y