MARKEL GROUP INC (MKL) Stock Fundamental Analysis
USA - NYSE:MKL - US5705351048 - Common Stock
1826.32 USD
-11.64 (-0.63%)
1825.94 USD
-0.38 (-0.02%)
Overall MKL gets a fundamental rating of 4 out of 10. We evaluated MKL against 147 industry peers in the Insurance industry. While MKL is still in line with the averages on profitability rating, there are concerns on its financial health. MKL has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
MKL had positive earnings in the past year.
In the past year MKL had a positive cash flow from operations.
Of the past 5 years MKL 4 years were profitable.
MKL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
MKL has a better Return On Assets (3.22%) than 68.71% of its industry peers.
The Return On Equity of MKL (12.42%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.22% | ||
| ROE | 12.42% | ||
| ROIC | N/A |
ROA(3y)2.38%
ROA(5y)2.8%
ROE(3y)8.69%
ROE(5y)9.72%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 13.07%, MKL is in the better half of the industry, outperforming 75.51% of the companies in the same industry.
MKL's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 20.40%, MKL belongs to the top of the industry, outperforming 80.27% of the companies in the same industry.
MKL's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.4% | ||
| PM (TTM) | 13.07% | ||
| GM | N/A |
OM growth 3Y-3.99%
OM growth 5Y-3%
PM growth 3Y-6.22%
PM growth 5Y-3.63%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
MKL does not have a ROIC to compare to the WACC, probably because it is not profitable.
The number of shares outstanding for MKL has been reduced compared to 1 year ago.
MKL has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, MKL has a worse debt to assets ratio.
2.2 Solvency
MKL has a debt to FCF ratio of 2.13. This is a good value and a sign of high solvency as MKL would need 2.13 years to pay back of all of its debts.
MKL has a Debt to FCF ratio (2.13) which is in line with its industry peers.
A Debt/Equity ratio of 0.25 indicates that MKL is not too dependend on debt financing.
With a decent Debt to Equity ratio value of 0.25, MKL is doing good in the industry, outperforming 63.27% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.13 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC7.91%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
MKL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 229.15%, which is quite impressive.
Measured over the past years, MKL shows a quite strong growth in Earnings Per Share. The EPS has been growing by 13.39% on average per year.
The Revenue has been growing slightly by 5.17% in the past year.
MKL shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 11.78% yearly.
EPS 1Y (TTM)229.15%
EPS 3Y4.51%
EPS 5Y13.39%
EPS Q2Q%828.77%
Revenue 1Y (TTM)5.17%
Revenue growth 3Y8.97%
Revenue growth 5Y11.78%
Sales Q2Q%6.12%
3.2 Future
Based on estimates for the next years, MKL will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.31% on average per year.
The Revenue is expected to grow by 3.46% on average over the next years.
EPS Next Y32.26%
EPS Next 2Y22.49%
EPS Next 3Y18.88%
EPS Next 5Y13.31%
Revenue Next Year-4.27%
Revenue Next 2Y-1.5%
Revenue Next 3Y0.52%
Revenue Next 5Y3.46%
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same 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
MKL is valuated rather expensively with a Price/Earnings ratio of 18.72.
MKL's Price/Earnings ratio is a bit more expensive when compared to the industry. MKL is more expensive than 68.71% of the companies in the same industry.
When comparing the Price/Earnings ratio of MKL to the average of the S&P500 Index (26.76), we can say MKL is valued slightly cheaper.
The Price/Forward Earnings ratio is 16.67, which indicates a correct valuation of MKL.
Based on the Price/Forward Earnings ratio, MKL is valued a bit more expensive than the industry average as 65.31% of the companies are valued more cheaply.
When comparing the Price/Forward Earnings ratio of MKL to the average of the S&P500 Index (22.63), we can say MKL is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.72 | ||
| Fwd PE | 16.67 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of MKL indicates a somewhat cheap valuation: MKL is cheaper than 69.39% of the companies listed in the same industry.
MKL's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.28 | ||
| EV/EBITDA | 6.42 |
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.
A more expensive valuation may be justified as MKL's earnings are expected to grow with 18.88% in the coming years.
PEG (NY)0.58
PEG (5Y)1.4
EPS Next 2Y22.49%
EPS Next 3Y18.88%
5. Dividend
5.1 Amount
No dividends for MKL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
1826.32
-11.64 (-0.63%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners82.81%
Inst Owner Change-0.03%
Ins Owners1.41%
Ins Owner Change0.34%
Market Cap23.10B
Revenue(TTM)16.62B
Net Income(TTM)2.15B
Analysts50.77
Price Target2118.28 (15.99%)
Short Float %1.71%
Short Ratio5.23
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend2.78
Dividend Growth(5Y)N/A
DP1.67%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-4.29%
Min EPS beat(2)-45.1%
Max EPS beat(2)36.52%
EPS beat(4)2
Avg EPS beat(4)-18.28%
Min EPS beat(4)-119.59%
Max EPS beat(4)55.06%
EPS beat(8)5
Avg EPS beat(8)-22.64%
EPS beat(12)8
Avg EPS beat(12)-9.57%
EPS beat(16)12
Avg EPS beat(16)4.5%
Revenue beat(2)1
Avg Revenue beat(2)4.72%
Min Revenue beat(2)-6.65%
Max Revenue beat(2)16.08%
Revenue beat(4)1
Avg Revenue beat(4)0.95%
Min Revenue beat(4)-6.65%
Max Revenue beat(4)16.08%
Revenue beat(8)3
Avg Revenue beat(8)4.69%
Revenue beat(12)6
Avg Revenue beat(12)5.81%
Revenue beat(16)7
Avg Revenue beat(16)3.3%
PT rev (1m)0%
PT rev (3m)0.89%
EPS NQ rev (1m)2.68%
EPS NQ rev (3m)1.02%
EPS NY rev (1m)0%
EPS NY rev (3m)-2.84%
Revenue NQ rev (1m)-1.21%
Revenue NQ rev (3m)0.47%
Revenue NY rev (1m)-0.75%
Revenue NY rev (3m)3.95%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.72 | ||
| Fwd PE | 16.67 | ||
| P/S | 1.4 | ||
| P/FCF | 11.28 | ||
| P/OCF | 10.2 | ||
| P/B | 1.33 | ||
| P/tB | 1.79 | ||
| EV/EBITDA | 6.42 |
EPS(TTM)97.56
EY5.34%
EPS(NY)109.56
Fwd EY6%
FCF(TTM)161.91
FCFY8.87%
OCF(TTM)179.08
OCFY9.81%
SpS1300.72
BVpS1369.02
TBVpS1017.74
PEG (NY)0.58
PEG (5Y)1.4
Graham Number1733.54
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.22% | ||
| ROE | 12.42% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 20.4% | ||
| PM (TTM) | 13.07% | ||
| GM | N/A | ||
| FCFM | 12.45% |
ROA(3y)2.38%
ROA(5y)2.8%
ROE(3y)8.69%
ROE(5y)9.72%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-3.99%
OM growth 5Y-3%
PM growth 3Y-6.22%
PM growth 5Y-3.63%
GM growth 3YN/A
GM growth 5YN/A
F-Score6
Asset Turnover0.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.13 | ||
| Debt/EBITDA | 1.18 | ||
| Cap/Depr | 63.44% | ||
| Cap/Sales | 1.32% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 61.24% | ||
| Profit Quality | 95.24% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score6
WACC7.91%
ROIC/WACCN/A
Cap/Depr(3y)81.13%
Cap/Depr(5y)63.91%
Cap/Sales(3y)1.78%
Cap/Sales(5y)1.5%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)229.15%
EPS 3Y4.51%
EPS 5Y13.39%
EPS Q2Q%828.77%
EPS Next Y32.26%
EPS Next 2Y22.49%
EPS Next 3Y18.88%
EPS Next 5Y13.31%
Revenue 1Y (TTM)5.17%
Revenue growth 3Y8.97%
Revenue growth 5Y11.78%
Sales Q2Q%6.12%
Revenue Next Year-4.27%
Revenue Next 2Y-1.5%
Revenue Next 3Y0.52%
Revenue Next 5Y3.46%
EBIT growth 1Y13.76%
EBIT growth 3Y4.62%
EBIT growth 5Y8.42%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-20.41%
FCF growth 3Y3.19%
FCF growth 5Y15.24%
OCF growth 1Y-19.01%
OCF growth 3Y4.48%
OCF growth 5Y15.28%
MARKEL GROUP INC / MKL FAQ
What is the ChartMill fundamental rating of MARKEL GROUP INC (MKL) stock?
ChartMill assigns a fundamental rating of 4 / 10 to MKL.
What is the valuation status of MARKEL GROUP INC (MKL) stock?
ChartMill assigns a valuation rating of 3 / 10 to MARKEL GROUP INC (MKL). This can be considered as Overvalued.
Can you provide the profitability details for MARKEL GROUP INC?
MARKEL GROUP INC (MKL) has a profitability rating of 4 / 10.
Can you provide the financial health for MKL stock?
The financial health rating of MARKEL GROUP INC (MKL) is 3 / 10.
What is the expected EPS growth for MARKEL GROUP INC (MKL) stock?
The Earnings per Share (EPS) of MARKEL GROUP INC (MKL) is expected to grow by 32.26% in the next year.