HAMILTON INSURANCE GROU-CL B (HG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:HG - BMG427061046 - Common Stock
26.21 USD
-0.71 (-2.64%)
25.98 USD
-0.23 (-0.88%)
Overall HG gets a fundamental rating of 6 out of 10. We evaluated HG against 148 industry peers in the Insurance industry. Both the profitability and the financial health of HG get a neutral evaluation. Nothing too spectacular is happening here. HG scores decently on growth, while it is valued quite cheap. This could make an interesting combination. This makes HG very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year HG was profitable.
In the past year HG had a positive cash flow from operations.
In multiple years HG reported negative net income over the last 5 years.
HG had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 4.76%, HG belongs to the best of the industry, outperforming 81.08% of the companies in the same industry.
HG's Return On Equity of 16.47% is fine compared to the rest of the industry. HG outperforms 73.65% of its industry peers.
Looking at the Return On Invested Capital, with a value of 5.42%, HG belongs to the top of the industry, outperforming 81.08% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for HG is significantly below the industry average of 14.93%.
The 3 year average ROIC (3.57%) for HG is below the current ROIC(5.42%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.76% | ||
| ROE | 16.47% | ||
| ROIC | 5.42% |
ROA(3y)2.44%
ROA(5y)N/A
ROE(3y)7.98%
ROE(5y)N/A
ROIC(3y)3.57%
ROIC(5y)N/A
1.3 Margins
HG has a better Profit Margin (16.62%) than 84.46% of its industry peers.
HG's Operating Margin of 23.18% is amongst the best of the industry. HG outperforms 81.76% of its industry peers.
In the last couple of years the Operating Margin of HG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 23.18% | ||
| PM (TTM) | 16.62% | ||
| GM | N/A |
OM growth 3Y36.39%
OM growth 5YN/A
PM growth 3YN/A
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), HG is destroying value.
Compared to 1 year ago, HG has less shares outstanding
Compared to 1 year ago, HG has an improved debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.95, we must say that HG is in the distress zone and has some risk of bankruptcy.
With a decent Altman-Z score value of 0.95, HG is doing good in the industry, outperforming 78.38% of the companies in the same industry.
HG has a debt to FCF ratio of 0.18. This is a very positive value and a sign of high solvency as it would only need 0.18 years to pay back of all of its debts.
HG's Debt to FCF ratio of 0.18 is amongst the best of the industry. HG outperforms 91.89% of its industry peers.
HG has a Debt/Equity ratio of 0.06. This is a healthy value indicating a solid balance between debt and equity.
HG has a Debt to Equity ratio of 0.06. This is in the better half of the industry: HG outperforms 79.73% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.18 | ||
| Altman-Z | 0.95 |
ROIC/WACC0.6
WACC8.99%
2.3 Liquidity
HG has a Current Ratio of 0.15. This is a bad value and indicates that HG is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Current ratio value of 0.15, HG is doing good in the industry, outperforming 65.54% of the companies in the same industry.
HG has a Quick Ratio of 0.15. This is a bad value and indicates that HG is not financially healthy enough and could expect problems in meeting its short term obligations.
HG has a Quick ratio of 0.15. This is in the better half of the industry: HG outperforms 65.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.15 | ||
| Quick Ratio | 0.15 |
3. Growth
3.1 Past
HG shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -6.04%.
Looking at the last year, HG shows a very strong growth in Revenue. The Revenue has grown by 20.24%.
The Revenue has been growing by 176.06% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)-6.04%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%78.38%
Revenue 1Y (TTM)20.24%
Revenue growth 3Y176.06%
Revenue growth 5YN/A
Sales Q2Q%4.7%
3.2 Future
The Earnings Per Share is expected to grow by 9.88% on average over the next years. This is quite good.
HG is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 11.41% yearly.
EPS Next Y25.59%
EPS Next 2Y10.53%
EPS Next 3Y12.28%
EPS Next 5Y9.88%
Revenue Next Year21.82%
Revenue Next 2Y10.79%
Revenue Next 3Y11.41%
Revenue Next 5YN/A
3.3 Evolution
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 6.24, which indicates a rather cheap valuation of HG.
82.43% of the companies in the same industry are more expensive than HG, based on the Price/Earnings ratio.
HG is valuated cheaply when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
A Price/Forward Earnings ratio of 5.89 indicates a rather cheap valuation of HG.
79.73% of the companies in the same industry are more expensive than HG, based on the Price/Forward Earnings ratio.
HG's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.88.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.24 | ||
| Fwd PE | 5.89 |
4.2 Price Multiples
HG's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. HG is cheaper than 88.51% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, HG is valued cheaper than 82.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.09 | ||
| EV/EBITDA | 2.93 |
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.
The decent profitability rating of HG may justify a higher PE ratio.
HG's earnings are expected to grow with 12.28% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.24
PEG (5Y)N/A
EPS Next 2Y10.53%
EPS Next 3Y12.28%
5. Dividend
5.1 Amount
HG does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
26.21
-0.71 (-2.64%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners86.56%
Inst Owner ChangeN/A
Ins Owners4.54%
Ins Owner Change-4.68%
Market Cap2.58B
Revenue(TTM)2.64B
Net Income(TTM)438.41M
Analysts78.67
Price Target29.36 (12.02%)
Short Float %2.07%
Short Ratio2.72
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)68.28%
Min EPS beat(2)64.93%
Max EPS beat(2)71.64%
EPS beat(4)3
Avg EPS beat(4)626.11%
Min EPS beat(4)-44.46%
Max EPS beat(4)2412.32%
EPS beat(8)7
Avg EPS beat(8)332.26%
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)2
Avg Revenue beat(2)2467.51%
Min Revenue beat(2)1222.05%
Max Revenue beat(2)3712.96%
Revenue beat(4)4
Avg Revenue beat(4)1465.29%
Min Revenue beat(4)157.25%
Max Revenue beat(4)3712.96%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
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)1.51%
PT rev (3m)11.43%
EPS NQ rev (1m)-1.66%
EPS NQ rev (3m)14.97%
EPS NY rev (1m)2.11%
EPS NY rev (3m)11.89%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)-0.03%
Revenue NY rev (3m)2.81%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.24 | ||
| Fwd PE | 5.89 | ||
| P/S | 0.98 | ||
| P/FCF | 3.09 | ||
| P/OCF | 3.09 | ||
| P/B | 0.97 | ||
| P/tB | 1 | ||
| EV/EBITDA | 2.93 |
EPS(TTM)4.2
EY16.02%
EPS(NY)4.45
Fwd EY16.97%
FCF(TTM)8.47
FCFY32.31%
OCF(TTM)8.47
OCFY32.31%
SpS26.82
BVpS27.06
TBVpS26.16
PEG (NY)0.24
PEG (5Y)N/A
Graham Number50.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.76% | ||
| ROE | 16.47% | ||
| ROCE | 6.86% | ||
| ROIC | 5.42% | ||
| ROICexc | 6.07% | ||
| ROICexgc | 8.19% | ||
| OM | 23.18% | ||
| PM (TTM) | 16.62% | ||
| GM | N/A | ||
| FCFM | 31.57% |
ROA(3y)2.44%
ROA(5y)N/A
ROE(3y)7.98%
ROE(5y)N/A
ROIC(3y)3.57%
ROIC(5y)N/A
ROICexc(3y)4.18%
ROICexc(5y)N/A
ROICexgc(3y)6.07%
ROICexgc(5y)N/A
ROCE(3y)4.52%
ROCE(5y)N/A
ROICexgc growth 3Y222.81%
ROICexgc growth 5YN/A
ROICexc growth 3Y233.68%
ROICexc growth 5YN/A
OM growth 3Y36.39%
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.06 | ||
| Debt/FCF | 0.18 | ||
| Debt/EBITDA | 0.24 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 132.67% | ||
| Profit Quality | 190.01% | ||
| Current Ratio | 0.15 | ||
| Quick Ratio | 0.15 | ||
| Altman-Z | 0.95 |
F-Score7
WACC8.99%
ROIC/WACC0.6
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)-6.04%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%78.38%
EPS Next Y25.59%
EPS Next 2Y10.53%
EPS Next 3Y12.28%
EPS Next 5Y9.88%
Revenue 1Y (TTM)20.24%
Revenue growth 3Y176.06%
Revenue growth 5YN/A
Sales Q2Q%4.7%
Revenue Next Year21.82%
Revenue Next 2Y10.79%
Revenue Next 3Y11.41%
Revenue Next 5YN/A
EBIT growth 1Y10.61%
EBIT growth 3Y276.51%
EBIT growth 5YN/A
EBIT Next Year-11.06%
EBIT Next 3Y0.28%
EBIT Next 5YN/A
FCF growth 1Y168.16%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y168.16%
OCF growth 3YN/A
OCF growth 5YN/A
HAMILTON INSURANCE GROU-CL B / HG FAQ
What is the fundamental rating for HG stock?
ChartMill assigns a fundamental rating of 6 / 10 to HG.
What is the valuation status for HG stock?
ChartMill assigns a valuation rating of 9 / 10 to HAMILTON INSURANCE GROU-CL B (HG). This can be considered as Undervalued.
Can you provide the profitability details for HAMILTON INSURANCE GROU-CL B?
HAMILTON INSURANCE GROU-CL B (HG) has a profitability rating of 6 / 10.
What is the earnings growth outlook for HAMILTON INSURANCE GROU-CL B?
The Earnings per Share (EPS) of HAMILTON INSURANCE GROU-CL B (HG) is expected to grow by 25.59% in the next year.