F&G ANNUITIES & LIFE INC (FG) Stock Fundamental Analysis
USA - NYSE:FG - US30190A1043 - Common Stock
29.65 USD
+0.56 (+1.93%)
29.65 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to FG. FG was compared to 146 industry peers in the Insurance industry. While FG seems to be doing ok healthwise, there are quite some concerns on its profitability. FG scores decently on growth, while it is valued quite cheap. This could make an interesting combination.
1. Profitability
1.1 Basic Checks
FG had positive earnings in the past year.
FG had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: FG reported negative net income in multiple years.
FG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
FG's Return On Assets of 0.35% is on the low side compared to the rest of the industry. FG is outperformed by 74.83% of its industry peers.
With a Return On Equity value of 7.28%, FG is not doing good in the industry: 63.95% of the companies in the same industry are doing better.
FG has a worse Return On Invested Capital (0.53%) than 65.99% of its industry peers.
FG had an Average Return On Invested Capital over the past 3 years of 0.65%. This is below the industry average of 4.50%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.35% | ||
| ROE | 7.28% | ||
| ROIC | 0.53% |
ROA(3y)0.51%
ROA(5y)0.57%
ROE(3y)11.29%
ROE(5y)9.72%
ROIC(3y)0.65%
ROIC(5y)N/A
1.3 Margins
FG has a Profit Margin of 6.09%. This is comparable to the rest of the industry: FG outperforms 42.18% of its industry peers.
FG's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 10.70%, FG is in line with its industry, outperforming 48.30% of the companies in the same industry.
FG's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.7% | ||
| PM (TTM) | 6.09% | ||
| GM | N/A |
OM growth 3Y-17.37%
OM growth 5Y-8.02%
PM growth 3Y-21%
PM growth 5Y-11.75%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FG is destroying value.
Compared to 1 year ago, FG has more shares outstanding
FG has a worse debt/assets ratio than last year.
2.2 Solvency
FG has an Altman-Z score of 0.12. This is a bad value and indicates that FG is not financially healthy and even has some risk of bankruptcy.
With a decent Altman-Z score value of 0.12, FG is doing good in the industry, outperforming 67.35% of the companies in the same industry.
The Debt to FCF ratio of FG is 0.37, which is an excellent value as it means it would take FG, only 0.37 years of fcf income to pay off all of its debts.
With an excellent Debt to FCF ratio value of 0.37, FG belongs to the best of the industry, outperforming 86.39% of the companies in the same industry.
FG has a Debt/Equity ratio of 0.50. This is a neutral value indicating FG is somewhat dependend on debt financing.
FG has a Debt to Equity ratio of 0.50. This is in the lower half of the industry: FG underperforms 67.35% of its industry peers.
Even though the debt/equity ratio score it not favorable for FG, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 0.37 | ||
| Altman-Z | 0.12 |
ROIC/WACC0.07
WACC7.63%
2.3 Liquidity
A Current Ratio of 0.38 indicates that FG may have some problems paying its short term obligations.
FG's Current ratio of 0.38 is fine compared to the rest of the industry. FG outperforms 71.43% of its industry peers.
FG has a Quick Ratio of 0.38. This is a bad value and indicates that FG is not financially healthy enough and could expect problems in meeting its short term obligations.
FG's Quick ratio of 0.38 is fine compared to the rest of the industry. FG outperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.38 | ||
| Quick Ratio | 0.38 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.06% over the past year.
The Earnings Per Share has been growing by 9.33% on average over the past years. This is quite good.
Looking at the last year, FG shows a small growth in Revenue. The Revenue has grown by 2.85% in the last year.
FG shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 24.99% yearly.
EPS 1Y (TTM)10.06%
EPS 3Y-11.8%
EPS 5Y9.33%
EPS Q2Q%-27.36%
Revenue 1Y (TTM)2.85%
Revenue growth 3Y13.4%
Revenue growth 5Y24.99%
Sales Q2Q%16.38%
3.2 Future
The Earnings Per Share is expected to grow by 17.27% on average over the next years. This is quite good.
The Revenue is expected to grow by 5.70% on average over the next years.
EPS Next Y-10.9%
EPS Next 2Y17.03%
EPS Next 3Y17.27%
EPS Next 5YN/A
Revenue Next Year-6.63%
Revenue Next 2Y5.7%
Revenue Next 3YN/A
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
FG is valuated cheaply with a Price/Earnings ratio of 7.74.
Compared to the rest of the industry, the Price/Earnings ratio of FG indicates a somewhat cheap valuation: FG is cheaper than 72.11% of the companies listed in the same industry.
FG's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.11.
FG is valuated cheaply with a Price/Forward Earnings ratio of 5.08.
81.63% of the companies in the same industry are more expensive than FG, based on the Price/Forward Earnings ratio.
FG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.55.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.74 | ||
| Fwd PE | 5.08 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of FG indicates a rather cheap valuation: FG is cheaper than 85.03% of the companies listed in the same industry.
97.28% of the companies in the same industry are more expensive than FG, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.67 | ||
| EV/EBITDA | 3.69 |
4.3 Compensation for Growth
A more expensive valuation may be justified as FG's earnings are expected to grow with 17.27% in the coming years.
PEG (NY)N/A
PEG (5Y)0.83
EPS Next 2Y17.03%
EPS Next 3Y17.27%
5. Dividend
5.1 Amount
FG has a Yearly Dividend Yield of 3.03%.
FG's Dividend Yield is a higher than the industry average which is at 3.27.
FG's Dividend Yield is a higher than the S&P500 average which is at 2.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
5.2 History
FG has been paying a dividend for over 5 years, so it has already some track record.
FG has decreased its dividend recently.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
FG pays out 39.94% of its income as dividend. This is a sustainable payout ratio.
DP39.94%
EPS Next 2Y17.03%
EPS Next 3Y17.27%
29.65
+0.56 (+1.93%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners95.9%
Inst Owner Change0%
Ins Owners2%
Ins Owner Change0.05%
Market Cap3.99B
Revenue(TTM)5.31B
Net Income(TTM)323.00M
Analysts42
Price Target34.68 (16.96%)
Short Float %0.62%
Short Ratio4.95
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.03% |
Yearly Dividend0.96
Dividend Growth(5Y)N/A
DP39.94%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.81%
Min EPS beat(2)-27.3%
Max EPS beat(2)30.92%
EPS beat(4)2
Avg EPS beat(4)0.55%
Min EPS beat(4)-27.3%
Max EPS beat(4)30.92%
EPS beat(8)2
Avg EPS beat(8)-9.16%
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-14.03%
Min Revenue beat(2)-40.15%
Max Revenue beat(2)12.08%
Revenue beat(4)3
Avg Revenue beat(4)-0.08%
Min Revenue beat(4)-40.15%
Max Revenue beat(4)14.6%
Revenue beat(8)5
Avg Revenue beat(8)3.16%
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)-11.69%
PT rev (3m)-4.23%
EPS NQ rev (1m)-4.84%
EPS NQ rev (3m)-1.12%
EPS NY rev (1m)-1.34%
EPS NY rev (3m)8.48%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.7%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.51%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.74 | ||
| Fwd PE | 5.08 | ||
| P/S | 0.75 | ||
| P/FCF | 0.67 | ||
| P/OCF | 0.67 | ||
| P/B | 0.9 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.69 |
EPS(TTM)3.83
EY12.92%
EPS(NY)5.83
Fwd EY19.68%
FCF(TTM)44.3
FCFY149.41%
OCF(TTM)44.46
OCFY149.94%
SpS39.42
BVpS32.96
TBVpS-27.36
PEG (NY)N/A
PEG (5Y)0.83
Graham Number53.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.35% | ||
| ROE | 7.28% | ||
| ROCE | 0.64% | ||
| ROIC | 0.53% | ||
| ROICexc | 0.54% | ||
| ROICexgc | 0.76% | ||
| OM | 10.7% | ||
| PM (TTM) | 6.09% | ||
| GM | N/A | ||
| FCFM | 112.38% |
ROA(3y)0.51%
ROA(5y)0.57%
ROE(3y)11.29%
ROE(5y)9.72%
ROIC(3y)0.65%
ROIC(5y)N/A
ROICexc(3y)0.67%
ROICexc(5y)N/A
ROICexgc(3y)0.83%
ROICexgc(5y)N/A
ROCE(3y)0.79%
ROCE(5y)N/A
ROICexgc growth 3Y-16.01%
ROICexgc growth 5YN/A
ROICexc growth 3Y-22.32%
ROICexc growth 5YN/A
OM growth 3Y-17.37%
OM growth 5Y-8.02%
PM growth 3Y-21%
PM growth 5Y-11.75%
GM growth 3YN/A
GM growth 5YN/A
F-Score4
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.5 | ||
| Debt/FCF | 0.37 | ||
| Debt/EBITDA | 1.9 | ||
| Cap/Depr | 3.44% | ||
| Cap/Sales | 0.4% | ||
| Interest Coverage | 3.94 | ||
| Cash Conversion | 508.15% | ||
| Profit Quality | 1846.75% | ||
| Current Ratio | 0.38 | ||
| Quick Ratio | 0.38 | ||
| Altman-Z | 0.12 |
F-Score4
WACC7.63%
ROIC/WACC0.07
Cap/Depr(3y)6.83%
Cap/Depr(5y)13.24%
Cap/Sales(3y)0.8%
Cap/Sales(5y)1.05%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)10.06%
EPS 3Y-11.8%
EPS 5Y9.33%
EPS Q2Q%-27.36%
EPS Next Y-10.9%
EPS Next 2Y17.03%
EPS Next 3Y17.27%
EPS Next 5YN/A
Revenue 1Y (TTM)2.85%
Revenue growth 3Y13.4%
Revenue growth 5Y24.99%
Sales Q2Q%16.38%
Revenue Next Year-6.63%
Revenue Next 2Y5.7%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y11.59%
EBIT growth 3Y-6.3%
EBIT growth 5Y14.97%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y13.97%
FCF growth 3Y48.14%
FCF growth 5Y56.47%
OCF growth 1Y13.8%
OCF growth 3Y47.46%
OCF growth 5Y55.87%
F&G ANNUITIES & LIFE INC / FG FAQ
What is the ChartMill fundamental rating of F&G ANNUITIES & LIFE INC (FG) stock?
ChartMill assigns a fundamental rating of 4 / 10 to FG.
What is the valuation status for FG stock?
ChartMill assigns a valuation rating of 7 / 10 to F&G ANNUITIES & LIFE INC (FG). This can be considered as Undervalued.
What is the profitability of FG stock?
F&G ANNUITIES & LIFE INC (FG) has a profitability rating of 2 / 10.
Can you provide the expected EPS growth for FG stock?
The Earnings per Share (EPS) of F&G ANNUITIES & LIFE INC (FG) is expected to decline by -10.9% in the next year.
Is the dividend of F&G ANNUITIES & LIFE INC sustainable?
The dividend rating of F&G ANNUITIES & LIFE INC (FG) is 4 / 10 and the dividend payout ratio is 39.94%.