RENAISSANCERE HOLDINGS LTD (RNR)
BMG7496G1033 - Common Stock
RNR gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 141 industry peers in the Insurance industry. RNR scores excellent on profitability, but there are some minor concerns on its financial health. RNR is not overvalued while it is showing excellent growth. This is an interesting combination.
1. Profitability
1.1 Basic Checks
In the past year RNR was profitable.
RNR had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: RNR reported negative net income in multiple years.
In the past 5 years RNR always reported a positive cash flow from operatings.
1.2 Ratios
RNR has a better Return On Assets (6.21%) than 90.65% of its industry peers.
RNR's Return On Equity of 32.19% is amongst the best of the industry. RNR outperforms 97.84% of its industry peers.
RNR has a Return On Invested Capital of 4.71%. This is amongst the best in the industry. RNR outperforms 82.01% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.21% | ||
| ROE | 32.19% | ||
| ROIC | 4.71% |
ROA(3y)0.62%
ROA(5y)1.37%
ROE(3y)1.53%
ROE(5y)5.19%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 29.74%, RNR belongs to the top of the industry, outperforming 93.53% of the companies in the same industry.
RNR's Profit Margin has improved in the last couple of years.
RNR's Operating Margin of 28.16% is amongst the best of the industry. RNR outperforms 88.49% of its industry peers.
In the last couple of years the Operating Margin of RNR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 28.16% | ||
| PM (TTM) | 29.74% | ||
| GM | N/A |
OM growth 3Y12.74%
OM growth 5Y13.83%
PM growth 3Y28.24%
PM growth 5Y25.78%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
RNR has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, RNR has more shares outstanding
Compared to 1 year ago, RNR has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 0.76, we must say that RNR is in the distress zone and has some risk of bankruptcy.
RNR has a Altman-Z score of 0.76. This is in the better half of the industry: RNR outperforms 79.86% of its industry peers.
RNR has a debt to FCF ratio of 1.02. This is a very positive value and a sign of high solvency as it would only need 1.02 years to pay back of all of its debts.
RNR has a better Debt to FCF ratio (1.02) than 74.82% of its industry peers.
RNR has a Debt/Equity ratio of 0.21. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of RNR (0.21) is better than 74.82% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | 1.02 | ||
| Altman-Z | 0.76 |
ROIC/WACCN/A
WACCN/A
2.3 Liquidity
RNR has a Current Ratio of 0.94. This is a bad value and indicates that RNR is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 0.94, RNR is in the better half of the industry, outperforming 78.42% of the companies in the same industry.
A Quick Ratio of 0.94 indicates that RNR may have some problems paying its short term obligations.
RNR has a better Quick ratio (0.94) than 78.42% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.94 |
3. Growth
3.1 Past
RNR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 424.05%, which is quite impressive.
RNR shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 32.22% yearly.
The Revenue has grown by 100.41% in the past year. This is a very strong growth!
The Revenue has been growing by 32.27% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)424.05%
EPS 3Y297.48%
EPS 5Y32.22%
EPS growth Q2Q60.57%
Revenue 1Y (TTM)100.41%
Revenue growth 3Y17.76%
Revenue growth 5Y32.27%
Revenue growth Q2Q25.8%
3.2 Future
RNR is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 1.44% yearly.
The Revenue is expected to grow by 17.15% on average over the next years. This is quite good.
EPS Next Y-5.98%
EPS Next 2Y-2.62%
EPS Next 3Y1.44%
EPS Next 5YN/A
Revenue Next Year42.51%
Revenue Next 2Y23.01%
Revenue Next 3Y17.15%
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 estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 5.93, which indicates a rather cheap valuation of RNR.
Compared to the rest of the industry, the Price/Earnings ratio of RNR indicates a somewhat cheap valuation: RNR is cheaper than 74.82% of the companies listed in the same industry.
RNR is valuated cheaply when we compare the Price/Earnings ratio to 25.20, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 6.31, which indicates a rather cheap valuation of RNR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of RNR indicates a somewhat cheap valuation: RNR is cheaper than 76.26% of the companies listed in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.60, RNR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.93 | ||
| Fwd PE | 6.31 |
4.2 Price Multiples
64.75% of the companies in the same industry are more expensive than RNR, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.06 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The decent profitability rating of RNR may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)0.18
EPS Next 2Y-2.62%
EPS Next 3Y1.44%
5. Dividend
5.1 Amount
With a yearly dividend of 0.70%, RNR is not a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 4.36, RNR is paying slightly less dividend.
With a Dividend Yield of 0.70, RNR pays less dividend than the S&P500 average, which is at 2.45.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.7% |
5.2 History
The dividend of RNR has a limited annual growth rate of 2.53%.
RNR has been paying a dividend for at least 10 years, so it has a reliable track record.
RNR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)2.53%
Div Incr Years19
Div Non Decr Years19
5.3 Sustainability
RNR pays out 3.63% of its income as dividend. This is a sustainable payout ratio.
RNR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP3.63%
EPS Next 2Y-2.62%
EPS Next 3Y1.44%
RENAISSANCERE HOLDINGS LTD
NYSE:RNR (4/24/2024, 3:15:00 PM)
After market: 219.8 0 (0%)219.8
-0.37 (-0.17%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap11.59B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.7% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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EPS beat(8)
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EPS beat(16)
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Revenue beat(2)
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Revenue beat(4)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 5.93 | ||
| Fwd PE | 6.31 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)0.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.21% | ||
| ROE | 32.19% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 28.16% | ||
| PM (TTM) | 29.74% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.21 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 0.94 | ||
| Quick Ratio | 0.94 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)424.05%
EPS 3Y297.48%
EPS 5Y
EPS growth Q2Q
EPS Next Y-5.98%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)100.41%
Revenue growth 3Y17.76%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y