FIDELITY NATIONAL FINANCIAL (FNF)
US31620R3030 - Common Stock
Taking everything into account, FNF scores 5 out of 10 in our fundamental rating. FNF was compared to 140 industry peers in the Insurance industry. FNF scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. FNF is not valued too expensively and it also shows a decent growth rate. Finally FNF also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
FNF had positive earnings in the past year.
FNF had a positive operating cash flow in the past year.
In the past 5 years FNF has always been profitable.
Each year in the past 5 years FNF had a positive operating cash flow.
1.2 Ratios
FNF's Return On Assets of 0.64% is on the low side compared to the rest of the industry. FNF is outperformed by 60.43% of its industry peers.
FNF has a Return On Equity of 7.48%. This is comparable to the rest of the industry: FNF outperforms 45.32% of its industry peers.
The Return On Invested Capital of FNF (0.83%) is comparable to the rest of the industry.
FNF had an Average Return On Invested Capital over the past 3 years of 2.60%. This is in line with the industry average of 4.09%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.64% | ||
| ROE | 7.48% | ||
| ROIC | 0.83% |
ROA(3y)2.41%
ROA(5y)4%
ROE(3y)19.45%
ROE(5y)19.03%
ROIC(3y)2.6%
ROIC(5y)4.64%
1.3 Margins
FNF has a Profit Margin of 4.39%. This is comparable to the rest of the industry: FNF outperforms 41.01% of its industry peers.
In the last couple of years the Profit Margin of FNF has declined.
FNF has a Operating Margin of 7.36%. This is comparable to the rest of the industry: FNF outperforms 46.04% of its industry peers.
In the last couple of years the Operating Margin of FNF has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.36% | ||
| PM (TTM) | 4.39% | ||
| GM | N/A |
OM growth 3Y-24.86%
OM growth 5Y-6.71%
PM growth 3Y-30.74%
PM growth 5Y-11.86%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
FNF has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
FNF has more shares outstanding than it did 1 year ago.
FNF has less shares outstanding than it did 5 years ago.
FNF has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of FNF is 0.61, which is an excellent value as it means it would take FNF, only 0.61 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.61, FNF belongs to the top of the industry, outperforming 84.89% of the companies in the same industry.
FNF has a Debt/Equity ratio of 0.56. This is a neutral value indicating FNF is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.56, FNF is doing worse than 66.91% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for FNF, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| Debt/FCF | 0.61 | ||
| Altman-Z | N/A |
ROIC/WACC0.1
WACC7.94%
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 FNF have decreased strongly by -35.00% in the last year.
Measured over the past 5 years, FNF shows a small growth in Earnings Per Share. The EPS has been growing by 5.47% on average per year.
FNF shows a small growth in Revenue. In the last year, the Revenue has grown by 1.71%.
The Revenue has been growing by 9.13% on average over the past years. This is quite good.
EPS 1Y (TTM)-35%
EPS 3Y-12.89%
EPS 5Y5.47%
EPS growth Q2Q-29.25%
Revenue 1Y (TTM)1.71%
Revenue growth 3Y2.93%
Revenue growth 5Y9.13%
Revenue growth Q2Q33.33%
3.2 Future
The Earnings Per Share is expected to grow by 27.37% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 12.07% on average over the next years. This is quite good.
EPS Next Y38.98%
EPS Next 2Y27.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year14.34%
Revenue Next 2Y12.07%
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 13.71, which indicates a correct valuation of FNF.
The rest of the industry has a similar Price/Earnings ratio as FNF.
Compared to an average S&P500 Price/Earnings ratio of 24.80, FNF is valued a bit cheaper.
The Price/Forward Earnings ratio is 9.87, which indicates a very decent valuation of FNF.
FNF's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. FNF is cheaper than 61.15% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of FNF to the average of the S&P500 Index (21.27), we can say FNF is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 13.71 | ||
| Fwd PE | 9.87 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as FNF.
FNF's Price/Free Cash Flow ratio is rather cheap when compared to the industry. FNF is cheaper than 86.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.07 | ||
| EV/EBITDA | 37.55 |
4.3 Compensation for Growth
FNF's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
FNF's earnings are expected to grow with 27.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.35
PEG (5Y)2.51
EPS Next 2Y27.37%
EPS Next 3YN/A
5. Dividend
5.1 Amount
FNF has a Yearly Dividend Yield of 3.96%.
FNF's Dividend Yield is rather good when compared to the industry average which is at 4.31. FNF pays more dividend than 80.58% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 2.40, FNF pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
5.2 History
On average, the dividend of FNF grows each year by 8.93%, which is quite nice.
FNF has paid a dividend for at least 10 years, which is a reliable track record.
FNF has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)8.93%
Div Incr Years12
Div Non Decr Years12
5.3 Sustainability
96.71% of the earnings are spent on dividend by FNF. This is not a sustainable payout ratio.
The dividend of FNF is growing, but earnings are growing more, so the dividend growth is sustainable.
DP96.71%
EPS Next 2Y27.37%
EPS Next 3YN/A
FIDELITY NATIONAL FINANCIAL
NYSE:FNF (4/19/2024, 9:15:51 AM)
48.13
+0.55 (+1.16%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap13.15B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.96% |
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)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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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)
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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 | 13.71 | ||
| Fwd PE | 9.87 | ||
| 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)0.35
PEG (5Y)2.51
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.64% | ||
| ROE | 7.48% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 7.36% | ||
| PM (TTM) | 4.39% | ||
| 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 Turnover0.15
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.56 | ||
| 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)-35%
EPS 3Y-12.89%
EPS 5Y
EPS growth Q2Q
EPS Next Y38.98%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)1.71%
Revenue growth 3Y2.93%
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