RYAN SPECIALTY HOLDINGS INC (RYAN) Stock Fundamental Analysis
USA - NYSE:RYAN - US78351F1075 - Common Stock
52.59 USD
+0.88 (+1.7%)
53 USD
+0.41 (+0.78%)
Taking everything into account, RYAN scores 4 out of 10 in our fundamental rating. RYAN was compared to 146 industry peers in the Insurance industry. There are concerns on the financial health of RYAN while its profitability can be described as average. RYAN is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
RYAN had positive earnings in the past year.
In the past year RYAN had a positive cash flow from operations.
In the past 5 years RYAN has always been profitable.
In the past 5 years RYAN always reported a positive cash flow from operatings.
1.2 Ratios
RYAN has a Return On Assets of 0.54%. This is in the lower half of the industry: RYAN underperforms 67.81% of its industry peers.
The Return On Equity of RYAN (9.41%) is comparable to the rest of the industry.
RYAN's Return On Invested Capital of 9.94% is amongst the best of the industry. RYAN outperforms 95.21% of its industry peers.
The Average Return On Invested Capital over the past 3 years for RYAN is significantly above the industry average of 4.47%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.54% | ||
| ROE | 9.41% | ||
| ROIC | 9.94% |
ROA(3y)0.93%
ROA(5y)1.1%
ROE(3y)12.97%
ROE(5y)16.02%
ROIC(3y)10.21%
ROIC(5y)9.27%
1.3 Margins
Looking at the Profit Margin, with a value of 2.04%, RYAN is doing worse than 78.08% of the companies in the same industry.
RYAN's Profit Margin has declined in the last couple of years.
With an excellent Operating Margin value of 22.93%, RYAN belongs to the best of the industry, outperforming 88.36% of the companies in the same industry.
In the last couple of years the Operating Margin of RYAN has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 22.93% | ||
| PM (TTM) | 2.04% | ||
| GM | N/A |
OM growth 3Y6.77%
OM growth 5Y12.9%
PM growth 3Y-6.47%
PM growth 5Y-14.82%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so RYAN is still creating some value.
Compared to 1 year ago, RYAN has more shares outstanding
The number of shares outstanding for RYAN has been increased compared to 5 years ago.
The debt/assets ratio for RYAN is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 1.30, we must say that RYAN is in the distress zone and has some risk of bankruptcy.
RYAN has a better Altman-Z score (1.30) than 80.82% of its industry peers.
The Debt to FCF ratio of RYAN is 6.81, which is on the high side as it means it would take RYAN, 6.81 years of fcf income to pay off all of its debts.
RYAN's Debt to FCF ratio of 6.81 is on the low side compared to the rest of the industry. RYAN is outperformed by 65.75% of its industry peers.
A Debt/Equity ratio of 5.59 is on the high side and indicates that RYAN has dependencies on debt financing.
RYAN has a worse Debt to Equity ratio (5.59) than 95.89% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.59 | ||
| Debt/FCF | 6.81 | ||
| Altman-Z | 1.3 |
ROIC/WACC1.24
WACC7.99%
2.3 Liquidity
A Current Ratio of 1.01 indicates that RYAN should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.01, RYAN is doing good in the industry, outperforming 78.77% of the companies in the same industry.
A Quick Ratio of 1.01 indicates that RYAN should not have too much problems paying its short term obligations.
With a decent Quick ratio value of 1.01, RYAN is doing good in the industry, outperforming 78.77% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 |
3. Growth
3.1 Past
RYAN shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.38%, which is quite good.
Measured over the past years, RYAN shows a very negative growth in Earnings Per Share. The EPS has been decreasing by -11.82% on average per year.
RYAN shows a decrease in Revenue. In the last year, the revenue decreased by -0.73%.
RYAN shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 26.88% yearly.
EPS 1Y (TTM)19.38%
EPS 3Y4.83%
EPS 5Y-11.82%
EPS Q2Q%13.79%
Revenue 1Y (TTM)-0.73%
Revenue growth 3Y20.64%
Revenue growth 5Y26.88%
Sales Q2Q%22.97%
3.2 Future
Based on estimates for the next years, RYAN will show a very strong growth in Earnings Per Share. The EPS will grow by 20.72% on average per year.
RYAN is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 16.21% yearly.
EPS Next Y17.39%
EPS Next 2Y20.21%
EPS Next 3Y19.86%
EPS Next 5Y20.72%
Revenue Next Year22.53%
Revenue Next 2Y19.56%
Revenue Next 3Y17.66%
Revenue Next 5Y16.21%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better 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
A Price/Earnings ratio of 27.53 indicates a quite expensive valuation of RYAN.
Based on the Price/Earnings ratio, RYAN is valued a bit more expensive than 77.40% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.20, RYAN is valued at the same level.
With a Price/Forward Earnings ratio of 20.33, RYAN is valued on the expensive side.
70.55% of the companies in the same industry are cheaper than RYAN, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of RYAN to the average of the S&P500 Index (22.71), we can say RYAN is valued inline with the index average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.53 | ||
| Fwd PE | 20.33 |
4.2 Price Multiples
63.70% of the companies in the same industry are cheaper than RYAN, based on the Enterprise Value to EBITDA ratio.
64.38% of the companies in the same industry are cheaper than RYAN, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 27.21 | ||
| EV/EBITDA | 19.03 |
4.3 Compensation for Growth
RYAN's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
RYAN's earnings are expected to grow with 19.86% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.58
PEG (5Y)N/A
EPS Next 2Y20.21%
EPS Next 3Y19.86%
5. Dividend
5.1 Amount
With a yearly dividend of 0.91%, RYAN is not a good candidate for dividend investing.
In the last 3 months the price of RYAN has falen by -21.82%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
Compared to an average industry Dividend Yield of 3.43, RYAN has a dividend in line with its industry peers.
With a Dividend Yield of 0.91, RYAN pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.91% |
5.2 History
RYAN is new to the dividend game and has less than 3 years of track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
RYAN pays out 100.59% of its income as dividend. This is not a sustainable payout ratio.
DP100.59%
EPS Next 2Y20.21%
EPS Next 3Y19.86%
52.59
+0.88 (+1.7%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners85.96%
Inst Owner Change3.78%
Ins Owners13.69%
Ins Owner Change-1.08%
Market Cap13.87B
Analysts77.27
Price Target75.76 (44.06%)
Short Float %4.61%
Short Ratio3.67
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.91% |
Yearly Dividend0.31
Dividend Growth(5Y)N/A
DP100.59%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.43%
Min EPS beat(2)-2.26%
Max EPS beat(2)-0.61%
EPS beat(4)0
Avg EPS beat(4)-2.16%
Min EPS beat(4)-3.27%
Max EPS beat(4)-0.61%
EPS beat(8)2
Avg EPS beat(8)-1%
EPS beat(12)4
Avg EPS beat(12)-0.74%
EPS beat(16)8
Avg EPS beat(16)2.29%
Revenue beat(2)1
Avg Revenue beat(2)0.04%
Min Revenue beat(2)-0.57%
Max Revenue beat(2)0.66%
Revenue beat(4)1
Avg Revenue beat(4)-0.61%
Min Revenue beat(4)-1.3%
Max Revenue beat(4)0.66%
Revenue beat(8)1
Avg Revenue beat(8)-0.77%
Revenue beat(12)2
Avg Revenue beat(12)-0.81%
Revenue beat(16)5
Avg Revenue beat(16)0.17%
PT rev (1m)-4.1%
PT rev (3m)-3.9%
EPS NQ rev (1m)-0.66%
EPS NQ rev (3m)-2.94%
EPS NY rev (1m)-1.65%
EPS NY rev (3m)-2.14%
Revenue NQ rev (1m)-0.2%
Revenue NQ rev (3m)-0.72%
Revenue NY rev (1m)0.29%
Revenue NY rev (3m)0.03%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.53 | ||
| Fwd PE | 20.33 | ||
| P/S | 4.93 | ||
| P/FCF | 27.21 | ||
| P/OCF | 24.27 | ||
| P/B | 22.73 | ||
| P/tB | N/A | ||
| EV/EBITDA | 19.03 |
EPS(TTM)1.91
EY3.63%
EPS(NY)2.59
Fwd EY4.92%
FCF(TTM)1.93
FCFY3.68%
OCF(TTM)2.17
OCFY4.12%
SpS10.67
BVpS2.31
TBVpS-15.59
PEG (NY)1.58
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.54% | ||
| ROE | 9.41% | ||
| ROCE | 11.97% | ||
| ROIC | 9.94% | ||
| ROICexc | 10.27% | ||
| ROICexgc | 107.41% | ||
| OM | 22.93% | ||
| PM (TTM) | 2.04% | ||
| GM | N/A | ||
| FCFM | 18.12% |
ROA(3y)0.93%
ROA(5y)1.1%
ROE(3y)12.97%
ROE(5y)16.02%
ROIC(3y)10.21%
ROIC(5y)9.27%
ROICexc(3y)13.17%
ROICexc(5y)11.62%
ROICexgc(3y)93.16%
ROICexgc(5y)N/A
ROCE(3y)12.29%
ROCE(5y)11.17%
ROICexcg growth 3Y9.66%
ROICexcg growth 5Y-25.48%
ROICexc growth 3Y0.3%
ROICexc growth 5Y-1.24%
OM growth 3Y6.77%
OM growth 5Y12.9%
PM growth 3Y-6.47%
PM growth 5Y-14.82%
GM growth 3YN/A
GM growth 5YN/A
F-Score3
Asset Turnover0.26
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 5.59 | ||
| Debt/FCF | 6.81 | ||
| Debt/EBITDA | 3.83 | ||
| Cap/Depr | 25.15% | ||
| Cap/Sales | 2.19% | ||
| Interest Coverage | 4.11 | ||
| Cash Conversion | 64.18% | ||
| Profit Quality | 888.27% | ||
| Current Ratio | 1.01 | ||
| Quick Ratio | 1.01 | ||
| Altman-Z | 1.3 |
F-Score3
WACC7.99%
ROIC/WACC1.24
Cap/Depr(3y)24.87%
Cap/Depr(5y)82.79%
Cap/Sales(3y)1.54%
Cap/Sales(5y)6.2%
Profit Quality(3y)577.52%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)19.38%
EPS 3Y4.83%
EPS 5Y-11.82%
EPS Q2Q%13.79%
EPS Next Y17.39%
EPS Next 2Y20.21%
EPS Next 3Y19.86%
EPS Next 5Y20.72%
Revenue 1Y (TTM)-0.73%
Revenue growth 3Y20.64%
Revenue growth 5Y26.88%
Sales Q2Q%22.97%
Revenue Next Year22.53%
Revenue Next 2Y19.56%
Revenue Next 3Y17.66%
Revenue Next 5Y16.21%
EBIT growth 1Y-1.3%
EBIT growth 3Y28.81%
EBIT growth 5Y43.25%
EBIT Next Year51.74%
EBIT Next 3Y28.48%
EBIT Next 5Y23%
FCF growth 1Y73.26%
FCF growth 3YN/A
FCF growth 5Y27.04%
OCF growth 1Y81.03%
OCF growth 3Y23.48%
OCF growth 5Y28.06%