TRAVELERS COS INC/THE (PA9.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:PA9 - US89417E1091 - Common Stock
255.2 EUR
+2.5 (+0.99%)
We assign a fundamental rating of 6 out of 10 to PA9. PA9 was compared to 47 industry peers in the Insurance industry. PA9 scores excellent on profitability, but there are some minor concerns on its financial health. PA9 scores decently on growth, while it is valued quite cheap. This could make an interesting combination. With these ratings, PA9 could be worth investigating further for value investing!.
1. Profitability
1.1 Basic Checks
In the past year PA9 was profitable.
In the past year PA9 had a positive cash flow from operations.
PA9 had positive earnings in each of the past 5 years.
PA9 had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With an excellent Return On Assets value of 4.06%, PA9 belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
With a decent Return On Equity value of 18.45%, PA9 is doing good in the industry, outperforming 77.08% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 4.64%, PA9 belongs to the top of the industry, outperforming 91.67% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for PA9 is in line with the industry average of 2.11%.
The last Return On Invested Capital (4.64%) for PA9 is above the 3 year average (3.24%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 18.45% | ||
| ROIC | 4.64% |
ROA(3y)2.84%
ROA(5y)2.77%
ROE(3y)14.27%
ROE(5y)12.91%
ROIC(3y)3.24%
ROIC(5y)3.19%
1.3 Margins
PA9's Profit Margin of 12.05% is fine compared to the rest of the industry. PA9 outperforms 72.92% of its industry peers.
In the last couple of years the Profit Margin of PA9 has grown nicely.
PA9's Operating Margin of 15.90% is fine compared to the rest of the industry. PA9 outperforms 70.83% of its industry peers.
PA9's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 15.9% | ||
| PM (TTM) | 12.05% | ||
| GM | N/A |
OM growth 3Y0.94%
OM growth 5Y5.14%
PM growth 3Y0.78%
PM growth 5Y5.33%
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 PA9 is destroying value.
Compared to 1 year ago, PA9 has less shares outstanding
Compared to 5 years ago, PA9 has less shares outstanding
Compared to 1 year ago, PA9 has an improved debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of PA9 is 0.93, which is an excellent value as it means it would take PA9, only 0.93 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of PA9 (0.93) is better than 95.83% of its industry peers.
A Debt/Equity ratio of 0.29 indicates that PA9 is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.29, PA9 belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 0.93 | ||
| Altman-Z | N/A |
ROIC/WACC0.57
WACC8.14%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
PA9 shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 32.19%, which is quite impressive.
The Earnings Per Share has been growing by 17.60% on average over the past years. This is quite good.
The Revenue has been growing slightly by 6.74% in the past year.
PA9 shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 8.01% yearly.
EPS 1Y (TTM)32.19%
EPS 3Y15.59%
EPS 5Y17.6%
EPS Q2Q%55.34%
Revenue 1Y (TTM)6.74%
Revenue growth 3Y10.06%
Revenue growth 5Y8.01%
Sales Q2Q%-3.66%
3.2 Future
Based on estimates for the next years, PA9 will show a small growth in Earnings Per Share. The EPS will grow by 2.64% on average per year.
The Revenue is expected to grow by 3.60% on average over the next years.
EPS Next Y17.92%
EPS Next 2Y11.76%
EPS Next 3Y9.17%
EPS Next 5Y2.64%
Revenue Next Year2.78%
Revenue Next 2Y2.69%
Revenue Next 3Y2.99%
Revenue Next 5Y3.6%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
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
Based on the Price/Earnings ratio of 11.48, the valuation of PA9 can be described as reasonable.
PA9's Price/Earnings ratio is a bit cheaper when compared to the industry. PA9 is cheaper than 70.83% of the companies in the same industry.
PA9's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.31.
PA9 is valuated reasonably with a Price/Forward Earnings ratio of 10.95.
The rest of the industry has a similar Price/Forward Earnings ratio as PA9.
When comparing the Price/Forward Earnings ratio of PA9 to the average of the S&P500 Index (36.59), we can say PA9 is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.48 | ||
| Fwd PE | 10.95 |
4.2 Price Multiples
85.42% of the companies in the same industry are more expensive than PA9, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of PA9 indicates a somewhat cheap valuation: PA9 is cheaper than 70.83% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.59 | ||
| EV/EBITDA | 4.74 |
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.
PA9 has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)0.64
PEG (5Y)0.65
EPS Next 2Y11.76%
EPS Next 3Y9.17%
5. Dividend
5.1 Amount
PA9 has a Yearly Dividend Yield of 1.49%. Purely for dividend investing, there may be better candidates out there.
With a Dividend Yield of 1.49, PA9 pays less dividend than the industry average, which is at 4.44. 89.58% of the companies listed in the same industry pay a better dividend than PA9!
PA9's Dividend Yield is slightly below the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.49% |
5.2 History
The dividend of PA9 has a limited annual growth rate of 5.20%.
Dividend Growth(5Y)5.2%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
PA9 pays out 16.76% of its income as dividend. This is a sustainable payout ratio.
PA9's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP16.76%
EPS Next 2Y11.76%
EPS Next 3Y9.17%
FRA:PA9 (11/25/2025, 7:00:00 PM)
255.2
+2.5 (+0.99%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners86.41%
Inst Owner ChangeN/A
Ins Owners0.35%
Ins Owner ChangeN/A
Market Cap56.92B
Revenue(TTM)48.41B
Net Income(TTM)5.83B
Analysts68.67
Price Target261.42 (2.44%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.49% |
Yearly Dividend3.62
Dividend Growth(5Y)5.2%
DP16.76%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)51.59%
Min EPS beat(2)27.01%
Max EPS beat(2)76.17%
EPS beat(4)4
Avg EPS beat(4)70.63%
Min EPS beat(4)27.01%
Max EPS beat(4)142.66%
EPS beat(8)7
Avg EPS beat(8)48.17%
EPS beat(12)7
Avg EPS beat(12)20.07%
EPS beat(16)11
Avg EPS beat(16)22.42%
Revenue beat(2)0
Avg Revenue beat(2)-3.31%
Min Revenue beat(2)-3.81%
Max Revenue beat(2)-2.8%
Revenue beat(4)2
Avg Revenue beat(4)2.99%
Min Revenue beat(4)-3.81%
Max Revenue beat(4)10.55%
Revenue beat(8)5
Avg Revenue beat(8)3.4%
Revenue beat(12)8
Avg Revenue beat(12)3.59%
Revenue beat(16)12
Avg Revenue beat(16)4.61%
PT rev (1m)44.86%
PT rev (3m)44.86%
EPS NQ rev (1m)21.11%
EPS NQ rev (3m)21.11%
EPS NY rev (1m)26.44%
EPS NY rev (3m)26.44%
Revenue NQ rev (1m)-8.42%
Revenue NQ rev (3m)-8.42%
Revenue NY rev (1m)-4.58%
Revenue NY rev (3m)-4.58%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.48 | ||
| Fwd PE | 10.95 | ||
| P/S | 1.36 | ||
| P/FCF | 6.59 | ||
| P/OCF | 6.59 | ||
| P/B | 2.08 | ||
| P/tB | 2.44 | ||
| EV/EBITDA | 4.74 |
EPS(TTM)22.23
EY8.71%
EPS(NY)23.31
Fwd EY9.14%
FCF(TTM)38.7
FCFY15.17%
OCF(TTM)38.7
OCFY15.17%
SpS187.62
BVpS122.52
TBVpS104.64
PEG (NY)0.64
PEG (5Y)0.65
Graham Number247.55
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 18.45% | ||
| ROCE | 5.49% | ||
| ROIC | 4.64% | ||
| ROICexc | 4.67% | ||
| ROICexgc | 5.36% | ||
| OM | 15.9% | ||
| PM (TTM) | 12.05% | ||
| GM | N/A | ||
| FCFM | 20.63% |
ROA(3y)2.84%
ROA(5y)2.77%
ROE(3y)14.27%
ROE(5y)12.91%
ROIC(3y)3.24%
ROIC(5y)3.19%
ROICexc(3y)3.26%
ROICexc(5y)3.21%
ROICexgc(3y)3.79%
ROICexgc(5y)3.74%
ROCE(3y)3.82%
ROCE(5y)3.77%
ROICexgc growth 3Y6.65%
ROICexgc growth 5Y8.29%
ROICexc growth 3Y7.09%
ROICexc growth 5Y8.8%
OM growth 3Y0.94%
OM growth 5Y5.14%
PM growth 3Y0.78%
PM growth 5Y5.33%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.34
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.29 | ||
| Debt/FCF | 0.93 | ||
| Debt/EBITDA | 0.59 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 19.64 | ||
| Cash Conversion | 63.94% | ||
| Profit Quality | 171.24% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC8.14%
ROIC/WACC0.57
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)223.91%
Profit Quality(5y)223.05%
High Growth Momentum
Growth
EPS 1Y (TTM)32.19%
EPS 3Y15.59%
EPS 5Y17.6%
EPS Q2Q%55.34%
EPS Next Y17.92%
EPS Next 2Y11.76%
EPS Next 3Y9.17%
EPS Next 5Y2.64%
Revenue 1Y (TTM)6.74%
Revenue growth 3Y10.06%
Revenue growth 5Y8.01%
Sales Q2Q%-3.66%
Revenue Next Year2.78%
Revenue Next 2Y2.69%
Revenue Next 3Y2.99%
Revenue Next 5Y3.6%
EBIT growth 1Y27.98%
EBIT growth 3Y11.1%
EBIT growth 5Y13.56%
EBIT Next Year24.28%
EBIT Next 3Y9.96%
EBIT Next 5YN/A
FCF growth 1Y43.73%
FCF growth 3Y7.65%
FCF growth 5Y11.76%
OCF growth 1Y43.73%
OCF growth 3Y7.65%
OCF growth 5Y11.76%
TRAVELERS COS INC/THE / PA9.DE FAQ
What is the ChartMill fundamental rating of TRAVELERS COS INC/THE (PA9.DE) stock?
ChartMill assigns a fundamental rating of 1 / 10 to PA9.DE.
Can you provide the valuation status for TRAVELERS COS INC/THE?
ChartMill assigns a valuation rating of 0 / 10 to TRAVELERS COS INC/THE (PA9.DE). This can be considered as Overvalued.
Can you provide the profitability details for TRAVELERS COS INC/THE?
TRAVELERS COS INC/THE (PA9.DE) has a profitability rating of 2 / 10.
What is the valuation of TRAVELERS COS INC/THE based on its PE and PB ratios?
The Price/Earnings (PE) ratio for TRAVELERS COS INC/THE (PA9.DE) is 11.48 and the Price/Book (PB) ratio is 2.08.
How sustainable is the dividend of TRAVELERS COS INC/THE (PA9.DE) stock?
The dividend rating of TRAVELERS COS INC/THE (PA9.DE) is 2 / 10 and the dividend payout ratio is 16.76%.