PROASSURANCE CORP (PRA) Stock Fundamental Analysis
NYSE:PRA - New York Stock Exchange, Inc. - US74267C1062 - Common Stock - Currency: USD
Overall PRA gets a fundamental rating of 2 out of 10. We evaluated PRA against 143 industry peers in the Insurance industry. Both the profitability and financial health of PRA have multiple concerns. PRA is valued expensive and it does not seem to be growing.
1. Profitability
1.1 Basic Checks
PRA had positive earnings in the past year.
In the past year PRA has reported a negative cash flow from operations.
The reported net income has been mixed in the past 5 years: PRA reported negative net income in multiple years.
In multiple years PRA reported negative operating cash flow during the last 5 years.
1.2 Ratios
PRA has a Return On Assets of 0.77%. This is in the lower half of the industry: PRA underperforms 64.34% of its industry peers.
PRA's Return On Equity of 3.43% is on the low side compared to the rest of the industry. PRA is outperformed by 79.72% of its industry peers.
PRA has a Return On Invested Capital of 0.90%. This is comparable to the rest of the industry: PRA outperforms 41.26% of its industry peers.
PRA had an Average Return On Invested Capital over the past 3 years of 0.50%. This is below the industry average of 4.27%.
The 3 year average ROIC (0.50%) for PRA is below the current ROIC(0.90%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.77% | ||
| ROE | 3.43% | ||
| ROIC | 0.9% |
ROA(3y)0.08%
ROA(5y)-0.24%
ROE(3y)0.29%
ROE(5y)-0.41%
ROIC(3y)0.5%
ROIC(5y)N/A
1.3 Margins
PRA's Profit Margin of 3.76% is on the low side compared to the rest of the industry. PRA is outperformed by 73.43% of its industry peers.
In the last couple of years the Profit Margin of PRA has grown nicely.
PRA's Operating Margin of 5.27% is on the low side compared to the rest of the industry. PRA is outperformed by 74.13% of its industry peers.
PRA's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.27% | ||
| PM (TTM) | 3.76% | ||
| GM | N/A |
OM growth 3Y13.27%
OM growth 5Y78.9%
PM growth 3Y-29.65%
PM growth 5Y116.12%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
PRA has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
PRA has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, PRA has less shares outstanding
Compared to 1 year ago, PRA has a worse debt to assets ratio.
2.2 Solvency
A Debt/Equity ratio of 0.34 indicates that PRA is not too dependend on debt financing.
PRA's Debt to Equity ratio of 0.34 is in line compared to the rest of the industry. PRA outperforms 44.76% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | N/A | ||
| Altman-Z | N/A |
ROIC/WACC0.11
WACC7.92%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
PRA shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 783.33%, which is quite impressive.
PRA shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 119.92% yearly.
PRA shows a decrease in Revenue. In the last year, the revenue decreased by -1.39%.
PRA shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.27% yearly.
EPS 1Y (TTM)783.33%
EPS 3Y-10.31%
EPS 5Y119.92%
EPS Q2Q%62.5%
Revenue 1Y (TTM)-1.39%
Revenue growth 3Y1.68%
Revenue growth 5Y2.27%
Sales Q2Q%-2.42%
3.2 Future
PRA is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.08% yearly.
Based on estimates for the next years, PRA will show a decrease in Revenue. The Revenue will decrease by -0.33% on average per year.
EPS Next Y-6.25%
EPS Next 2Y3.08%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year-1.22%
Revenue Next 2Y-0.33%
Revenue Next 3YN/A
Revenue Next 5YN/A
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
With a Price/Earnings ratio of 21.84, PRA is valued on the expensive side.
PRA's Price/Earnings ratio is a bit more expensive when compared to the industry. PRA is more expensive than 66.43% of the companies in the same industry.
PRA is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.03, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 21.58, the valuation of PRA can be described as rather expensive.
Based on the Price/Forward Earnings ratio, PRA is valued a bit more expensive than the industry average as 71.33% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.94, PRA is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.84 | ||
| Fwd PE | 21.58 |
4.2 Price Multiples
63.64% of the companies in the same industry are cheaper than PRA, based on the Enterprise Value to EBITDA ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 20.73 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.18
EPS Next 2Y3.08%
EPS Next 3YN/A
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.55%, PRA has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.17, PRA has a dividend in line with its industry peers.
PRA's Dividend Yield is slightly below the S&P500 average, which is at 2.36.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.55% |
5.2 History
PRA has been paying a dividend for at least 10 years, so it has a reliable track record.
The dividend of PRA decreased in the last 3 years.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years2
5.3 Sustainability
DP0%
EPS Next 2Y3.08%
EPS Next 3YN/A
NYSE:PRA (5/22/2025, 10:09:56 AM)
23.155
0 (-0.02%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners86.51%
Inst Owner Change-0.98%
Ins Owners1.19%
Ins Owner Change3.74%
Market Cap1.18B
Analysts49.23
Price Target20.74 (-10.43%)
Short Float %4.41%
Short Ratio1.96
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.55% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years1
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)38.18%
Min EPS beat(2)-34.55%
Max EPS beat(2)110.91%
EPS beat(4)3
Avg EPS beat(4)83.77%
Min EPS beat(4)-34.55%
Max EPS beat(4)137.62%
EPS beat(8)5
Avg EPS beat(8)11.77%
EPS beat(12)6
Avg EPS beat(12)-9.85%
EPS beat(16)9
Avg EPS beat(16)53%
Revenue beat(2)0
Avg Revenue beat(2)-1.75%
Min Revenue beat(2)-1.98%
Max Revenue beat(2)-1.53%
Revenue beat(4)0
Avg Revenue beat(4)-3.65%
Min Revenue beat(4)-7.47%
Max Revenue beat(4)-1.53%
Revenue beat(8)1
Avg Revenue beat(8)-3.48%
Revenue beat(12)3
Avg Revenue beat(12)-1.05%
Revenue beat(16)5
Avg Revenue beat(16)1.72%
PT rev (1m)0.41%
PT rev (3m)11.42%
EPS NQ rev (1m)-0.67%
EPS NQ rev (3m)11.25%
EPS NY rev (1m)-0.44%
EPS NY rev (3m)7.08%
Revenue NQ rev (1m)-6.17%
Revenue NQ rev (3m)0.16%
Revenue NY rev (1m)-3.67%
Revenue NY rev (3m)-1.78%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 21.84 | ||
| Fwd PE | 21.58 | ||
| P/S | 1.05 | ||
| P/FCF | N/A | ||
| P/OCF | N/A | ||
| P/B | 0.96 | ||
| P/tB | 1.01 | ||
| EV/EBITDA | 20.73 |
EPS(TTM)1.06
EY4.58%
EPS(NY)1.07
Fwd EY4.63%
FCF(TTM)-0.21
FCFYN/A
OCF(TTM)-0.21
OCFYN/A
SpS22
BVpS24.16
TBVpS23.02
PEG (NY)N/A
PEG (5Y)0.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.77% | ||
| ROE | 3.43% | ||
| ROCE | 1.07% | ||
| ROIC | 0.9% | ||
| ROICexc | 0.91% | ||
| ROICexgc | 1.02% | ||
| OM | 5.27% | ||
| PM (TTM) | 3.76% | ||
| GM | N/A | ||
| FCFM | N/A |
ROA(3y)0.08%
ROA(5y)-0.24%
ROE(3y)0.29%
ROE(5y)-0.41%
ROIC(3y)0.5%
ROIC(5y)N/A
ROICexc(3y)0.51%
ROICexc(5y)N/A
ROICexgc(3y)0.58%
ROICexgc(5y)N/A
ROCE(3y)0.6%
ROCE(5y)N/A
ROICexcg growth 3Y18.48%
ROICexcg growth 5Y73.91%
ROICexc growth 3Y18.73%
ROICexc growth 5Y76.59%
OM growth 3Y13.27%
OM growth 5Y78.9%
PM growth 3Y-29.65%
PM growth 5Y116.12%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.2
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 5.62 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | N/A | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC7.92%
ROIC/WACC0.11
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)783.33%
EPS 3Y-10.31%
EPS 5Y119.92%
EPS Q2Q%62.5%
EPS Next Y-6.25%
EPS Next 2Y3.08%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)-1.39%
Revenue growth 3Y1.68%
Revenue growth 5Y2.27%
Sales Q2Q%-2.42%
Revenue Next Year-1.22%
Revenue Next 2Y-0.33%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y66.59%
EBIT growth 3Y15.18%
EBIT growth 5Y82.96%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y85.56%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y85.56%
OCF growth 3YN/A
OCF growth 5YN/A