KINSALE CAPITAL GROUP INC (KNSL) Stock Fundamental Analysis
NYSE:KNSL - New York Stock Exchange, Inc. - US49714P1084 - Common Stock - Currency: USD
Overall KNSL gets a fundamental rating of 5 out of 10. We evaluated KNSL against 145 industry peers in the Insurance industry. While KNSL has a great profitability rating, there are quite some concerns on its financial health. KNSL is valued quite expensively, but it does show have an excellent growth rating.
1. Profitability
1.1 Basic Checks
In the past year KNSL was profitable.
In the past year KNSL had a positive cash flow from operations.
Each year in the past 5 years KNSL has been profitable.
KNSL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
KNSL has a Return On Assets of 8.49%. This is amongst the best in the industry. KNSL outperforms 96.55% of its industry peers.
KNSL has a Return On Equity of 27.96%. This is amongst the best in the industry. KNSL outperforms 93.79% of its industry peers.
The Return On Invested Capital of KNSL (7.98%) is better than 90.34% of its industry peers.
The Average Return On Invested Capital over the past 3 years for KNSL is above the industry average of 4.07%.
The last Return On Invested Capital (7.98%) for KNSL is above the 3 year average (7.61%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.49% | ||
| ROE | 27.96% | ||
| ROIC | 7.98% |
ROA(3y)7.48%
ROA(5y)7.14%
ROE(3y)25.89%
ROE(5y)22.97%
ROIC(3y)7.61%
ROIC(5y)6.78%
1.3 Margins
Looking at the Profit Margin, with a value of 26.91%, KNSL belongs to the top of the industry, outperforming 96.55% of the companies in the same industry.
KNSL's Profit Margin has improved in the last couple of years.
KNSL has a better Operating Margin (31.11%) than 95.86% of its industry peers.
In the last couple of years the Operating Margin of KNSL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.11% | ||
| PM (TTM) | 26.91% | ||
| GM | N/A |
OM growth 3Y5.55%
OM growth 5Y8.21%
PM growth 3Y3.58%
PM growth 5Y5.22%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
KNSL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for KNSL has been increased compared to 1 year ago.
Compared to 5 years ago, KNSL has more shares outstanding
The debt/assets ratio for KNSL has been reduced compared to a year ago.
2.2 Solvency
KNSL has a debt to FCF ratio of 0.19. This is a very positive value and a sign of high solvency as it would only need 0.19 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.19, KNSL belongs to the best of the industry, outperforming 90.34% of the companies in the same industry.
KNSL has a Debt/Equity ratio of 0.12. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.12, KNSL is doing good in the industry, outperforming 78.62% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.19 | ||
| Altman-Z | N/A |
ROIC/WACC0.89
WACC9%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 20.06% over the past year.
KNSL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 46.15% yearly.
Looking at the last year, KNSL shows a very strong growth in Revenue. The Revenue has grown by 23.34%.
KNSL shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 38.41% yearly.
EPS 1Y (TTM)20.06%
EPS 3Y40.94%
EPS 5Y46.15%
EPS Q2Q%6%
Revenue 1Y (TTM)23.34%
Revenue growth 3Y34.73%
Revenue growth 5Y38.41%
Sales Q2Q%13.57%
3.2 Future
KNSL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 13.31% yearly.
KNSL is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 12.30% yearly.
EPS Next Y12.32%
EPS Next 2Y13.85%
EPS Next 3Y13.31%
EPS Next 5YN/A
Revenue Next Year10.09%
Revenue Next 2Y11.21%
Revenue Next 3Y12.3%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
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
KNSL is valuated quite expensively with a Price/Earnings ratio of 29.29.
75.17% of the companies in the same industry are cheaper than KNSL, based on the Price/Earnings ratio.
KNSL is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 27.19, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 22.90, the valuation of KNSL can be described as rather expensive.
Based on the Price/Forward Earnings ratio, KNSL is valued a bit more expensive than the industry average as 74.48% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of KNSL to the average of the S&P500 Index (35.33), we can say KNSL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.29 | ||
| Fwd PE | 22.9 |
4.2 Price Multiples
65.52% of the companies in the same industry are cheaper than KNSL, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of KNSL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.67 | ||
| EV/EBITDA | 23.67 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
KNSL has an outstanding profitability rating, which may justify a higher PE ratio.
KNSL's earnings are expected to grow with 13.31% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.38
PEG (5Y)0.63
EPS Next 2Y13.85%
EPS Next 3Y13.31%
5. Dividend
5.1 Amount
With a yearly dividend of 0.14%, KNSL is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.76, KNSL is paying slightly less dividend.
With a Dividend Yield of 0.14, KNSL pays less dividend than the S&P500 average, which is at 2.35.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
5.2 History
On average, the dividend of KNSL grows each year by 13.48%, which is quite nice.
KNSL has paid a dividend for at least 10 years, which is a reliable track record.
KNSL has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)13.48%
Div Incr Years8
Div Non Decr Years8
5.3 Sustainability
KNSL pays out 3.36% of its income as dividend. This is a sustainable payout ratio.
The dividend of KNSL is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP3.36%
EPS Next 2Y13.85%
EPS Next 3Y13.31%
476.89
-13 (-2.65%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners91.06%
Inst Owner Change0.04%
Ins Owners5.29%
Ins Owner Change0.73%
Market Cap11.12B
Analysts73.68
Price Target488.73 (2.48%)
Short Float %7.62%
Short Ratio8.35
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
Yearly Dividend0.6
Dividend Growth(5Y)13.48%
DP3.36%
Div Incr Years8
Div Non Decr Years8
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.36%
Min EPS beat(2)4.33%
Max EPS beat(2)14.39%
EPS beat(4)4
Avg EPS beat(4)6.42%
Min EPS beat(4)2.67%
Max EPS beat(4)14.39%
EPS beat(8)8
Avg EPS beat(8)9.29%
EPS beat(12)12
Avg EPS beat(12)11.5%
EPS beat(16)16
Avg EPS beat(16)16.9%
Revenue beat(2)1
Avg Revenue beat(2)-0.39%
Min Revenue beat(2)-3.04%
Max Revenue beat(2)2.26%
Revenue beat(4)3
Avg Revenue beat(4)0.95%
Min Revenue beat(4)-3.04%
Max Revenue beat(4)3.37%
Revenue beat(8)5
Avg Revenue beat(8)0.38%
Revenue beat(12)8
Avg Revenue beat(12)1.14%
Revenue beat(16)11
Avg Revenue beat(16)2.08%
PT rev (1m)0%
PT rev (3m)-1.64%
EPS NQ rev (1m)0%
EPS NQ rev (3m)0.39%
EPS NY rev (1m)0.24%
EPS NY rev (3m)1.65%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.09%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-2.98%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 29.29 | ||
| Fwd PE | 22.9 | ||
| P/S | 7.21 | ||
| P/FCF | 11.67 | ||
| P/OCF | 11.39 | ||
| P/B | 7.49 | ||
| P/tB | 7.51 | ||
| EV/EBITDA | 23.67 |
EPS(TTM)16.28
EY3.41%
EPS(NY)20.83
Fwd EY4.37%
FCF(TTM)40.86
FCFY8.57%
OCF(TTM)41.88
OCFY8.78%
SpS66.14
BVpS63.64
TBVpS63.49
PEG (NY)2.38
PEG (5Y)0.63
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.49% | ||
| ROE | 27.96% | ||
| ROCE | 9.93% | ||
| ROIC | 7.98% | ||
| ROICexc | 8.17% | ||
| ROICexgc | 8.98% | ||
| OM | 31.11% | ||
| PM (TTM) | 26.91% | ||
| GM | N/A | ||
| FCFM | 61.77% |
ROA(3y)7.48%
ROA(5y)7.14%
ROE(3y)25.89%
ROE(5y)22.97%
ROIC(3y)7.61%
ROIC(5y)6.78%
ROICexc(3y)7.91%
ROICexc(5y)7.09%
ROICexgc(3y)8.76%
ROICexgc(5y)7.83%
ROCE(3y)9.47%
ROCE(5y)8.43%
ROICexcg growth 3Y4.55%
ROICexcg growth 5Y9.08%
ROICexc growth 3Y4.66%
ROICexc growth 5Y9.3%
OM growth 3Y5.55%
OM growth 5Y8.21%
PM growth 3Y3.58%
PM growth 5Y5.22%
GM growth 3YN/A
GM growth 5YN/A
F-Score8
Asset Turnover0.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.19 | ||
| Debt/EBITDA | 0.38 | ||
| Cap/Depr | 412.67% | ||
| Cap/Sales | 1.55% | ||
| Interest Coverage | 46.56 | ||
| Cash Conversion | 201.15% | ||
| Profit Quality | 229.57% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score8
WACC9%
ROIC/WACC0.89
Cap/Depr(3y)289.36%
Cap/Depr(5y)642.64%
Cap/Sales(3y)0.97%
Cap/Sales(5y)2.25%
Profit Quality(3y)284.25%
Profit Quality(5y)278.99%
High Growth Momentum
Growth
EPS 1Y (TTM)20.06%
EPS 3Y40.94%
EPS 5Y46.15%
EPS Q2Q%6%
EPS Next Y12.32%
EPS Next 2Y13.85%
EPS Next 3Y13.31%
EPS Next 5YN/A
Revenue 1Y (TTM)23.34%
Revenue growth 3Y34.73%
Revenue growth 5Y38.41%
Sales Q2Q%13.57%
Revenue Next Year10.09%
Revenue Next 2Y11.21%
Revenue Next 3Y12.3%
Revenue Next 5YN/A
EBIT growth 1Y26.99%
EBIT growth 3Y42.2%
EBIT growth 5Y49.77%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y11.62%
FCF growth 3Y33.41%
FCF growth 5Y43.1%
OCF growth 1Y13.55%
OCF growth 3Y33.86%
OCF growth 5Y40.49%