F&G ANNUITIES & LIFE INC (FG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FG - US30190A1043 - Common Stock
31.82 USD
-0.49 (-1.52%)
32 USD
+0.18 (+0.57%)
Taking everything into account, FG scores 4 out of 10 in our fundamental rating. FG was compared to 148 industry peers in the Insurance industry. The financial health of FG is average, but there are quite some concerns on its profitability. A decent growth rate in combination with a cheap valuation! Better keep an eye on FG.
1. Profitability
1.1 Basic Checks
In the past year FG was profitable.
In the past year FG had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: FG reported negative net income in multiple years.
In the past 5 years FG always reported a positive cash flow from operatings.
1.2 Ratios
FG's Return On Assets of 0.46% is on the low side compared to the rest of the industry. FG is outperformed by 75.68% of its industry peers.
FG has a Return On Equity (9.27%) which is comparable to the rest of the industry.
The Return On Invested Capital of FG (0.65%) is worse than 66.89% of its industry peers.
The Average Return On Invested Capital over the past 3 years for FG is significantly below the industry average of 14.88%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.46% | ||
| ROE | 9.27% | ||
| ROIC | 0.65% |
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
The Profit Margin of FG (8.06%) is comparable to the rest of the industry.
FG's Profit Margin has declined in the last couple of years.
FG has a Operating Margin (13.25%) which is comparable to the rest of the industry.
FG's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.25% | ||
| PM (TTM) | 8.06% | ||
| 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.
The number of shares outstanding for FG has been increased compared to 1 year ago.
FG has a worse debt/assets ratio than last year.
2.2 Solvency
FG has an Altman-Z score of 0.13. This is a bad value and indicates that FG is not financially healthy and even has some risk of bankruptcy.
FG has a Altman-Z score of 0.13. This is in the better half of the industry: FG outperforms 67.57% of its industry peers.
The Debt to FCF ratio of FG is 0.46, which is an excellent value as it means it would take FG, only 0.46 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of FG (0.46) is better than 81.08% of its industry peers.
FG has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
FG has a Debt to Equity ratio of 0.46. This is in the lower half of the industry: FG underperforms 66.89% 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 | 0.46 | ||
| Debt/FCF | 0.46 | ||
| Altman-Z | 0.13 |
ROIC/WACC0.08
WACC7.69%
2.3 Liquidity
A Current Ratio of 0.39 indicates that FG may have some problems paying its short term obligations.
FG's Current ratio of 0.39 is fine compared to the rest of the industry. FG outperforms 70.95% of its industry peers.
A Quick Ratio of 0.39 indicates that FG may have some problems paying its short term obligations.
FG's Quick ratio of 0.39 is fine compared to the rest of the industry. FG outperforms 70.95% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.41% over the past year.
Measured over the past years, FG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.33% on average per year.
The Revenue has decreased by -2.94% in the past 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)2.41%
EPS 3Y-11.8%
EPS 5Y9.33%
EPS Q2Q%0%
Revenue 1Y (TTM)-2.94%
Revenue growth 3Y13.4%
Revenue growth 5Y24.99%
Sales Q2Q%17.31%
3.2 Future
FG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.74% yearly.
Based on estimates for the next years, FG will show a small growth in Revenue. The Revenue will grow by 7.12% on average per year.
EPS Next Y-1.96%
EPS Next 2Y16.88%
EPS Next 3Y16.74%
EPS Next 5YN/A
Revenue Next Year0.37%
Revenue Next 2Y6.71%
Revenue Next 3Y7.12%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.31, the valuation of FG can be described as very reasonable.
72.97% of the companies in the same industry are more expensive than FG, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.84, FG is valued rather cheaply.
The Price/Forward Earnings ratio is 5.47, which indicates a rather cheap valuation of FG.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FG indicates a rather cheap valuation: FG is cheaper than 81.76% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of FG to the average of the S&P500 Index (23.40), we can say FG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.31 | ||
| Fwd PE | 5.47 |
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 88.51% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, FG is valued cheaply inside the industry as 95.95% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.89 | ||
| EV/EBITDA | 3.19 |
4.3 Compensation for Growth
A more expensive valuation may be justified as FG's earnings are expected to grow with 16.74% in the coming years.
PEG (NY)N/A
PEG (5Y)0.89
EPS Next 2Y16.88%
EPS Next 3Y16.74%
5. Dividend
5.1 Amount
FG has a Yearly Dividend Yield of 2.88%.
Compared to an average industry Dividend Yield of 2.42, FG pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.00, FG pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
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
29.31% of the earnings are spent on dividend by FG. This is a low number and sustainable payout ratio.
DP29.31%
EPS Next 2Y16.88%
EPS Next 3Y16.74%
31.82
-0.49 (-1.52%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners95.99%
Inst Owner Change0%
Ins Owners2.47%
Ins Owner Change0.47%
Market Cap4.28B
Revenue(TTM)5.55B
Net Income(TTM)447.00M
Analysts42
Price Target34.68 (8.99%)
Short Float %0.69%
Short Ratio4.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.88% |
Yearly Dividend0.96
Dividend Growth(5Y)N/A
DP29.31%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)26.36%
Min EPS beat(2)21.8%
Max EPS beat(2)30.92%
EPS beat(4)2
Avg EPS beat(4)3.95%
Min EPS beat(4)-27.3%
Max EPS beat(4)30.92%
EPS beat(8)3
Avg EPS beat(8)-5.36%
EPS beat(12)4
Avg EPS beat(12)-6.88%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)14.7%
Min Revenue beat(2)12.08%
Max Revenue beat(2)17.31%
Revenue beat(4)3
Avg Revenue beat(4)0.6%
Min Revenue beat(4)-40.15%
Max Revenue beat(4)17.31%
Revenue beat(8)6
Avg Revenue beat(8)6.89%
Revenue beat(12)8
Avg Revenue beat(12)3.79%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-11.69%
EPS NQ rev (1m)0%
EPS NQ rev (3m)9.92%
EPS NY rev (1m)10.04%
EPS NY rev (3m)8.57%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.34%
Revenue NY rev (1m)7.5%
Revenue NY rev (3m)7.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.31 | ||
| Fwd PE | 5.47 | ||
| P/S | 0.77 | ||
| P/FCF | 0.89 | ||
| P/OCF | 0.89 | ||
| P/B | 0.89 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.19 |
EPS(TTM)3.83
EY12.04%
EPS(NY)5.82
Fwd EY18.29%
FCF(TTM)35.77
FCFY112.43%
OCF(TTM)35.9
OCFY112.83%
SpS41.2
BVpS35.83
TBVpS-25.65
PEG (NY)N/A
PEG (5Y)0.89
Graham Number55.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.46% | ||
| ROE | 9.27% | ||
| ROCE | 0.79% | ||
| ROIC | 0.65% | ||
| ROICexc | 0.66% | ||
| ROICexgc | 0.94% | ||
| OM | 13.25% | ||
| PM (TTM) | 8.06% | ||
| GM | N/A | ||
| FCFM | 86.82% |
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-Score7
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 0.46 | ||
| Debt/EBITDA | 1.62 | ||
| Cap/Depr | 2.64% | ||
| Cap/Sales | 0.31% | ||
| Interest Coverage | 5.14 | ||
| Cash Conversion | 350.73% | ||
| Profit Quality | 1077.4% | ||
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z | 0.13 |
F-Score7
WACC7.69%
ROIC/WACC0.08
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)2.41%
EPS 3Y-11.8%
EPS 5Y9.33%
EPS Q2Q%0%
EPS Next Y-1.96%
EPS Next 2Y16.88%
EPS Next 3Y16.74%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.94%
Revenue growth 3Y13.4%
Revenue growth 5Y24.99%
Sales Q2Q%17.31%
Revenue Next Year0.37%
Revenue Next 2Y6.71%
Revenue Next 3Y7.12%
Revenue Next 5YN/A
EBIT growth 1Y562.16%
EBIT growth 3Y-6.3%
EBIT growth 5Y14.97%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-1.09%
FCF growth 3Y48.14%
FCF growth 5Y56.47%
OCF growth 1Y-1.29%
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 -1.96% 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 29.31%.