U.S. markets open in 7 hours 32 minutes
  • S&P Futures

    4,552.75
    +8.25 (+0.18%)
     
  • Dow Futures

    35,451.00
    +62.00 (+0.18%)
     
  • Nasdaq Futures

    15,620.75
    +33.50 (+0.21%)
     
  • Russell 2000 Futures

    2,257.00
    +7.50 (+0.33%)
     
  • Crude Oil

    81.68
    -0.98 (-1.19%)
     
  • Gold

    1,803.70
    +4.90 (+0.27%)
     
  • Silver

    24.14
    -0.05 (-0.21%)
     
  • EUR/USD

    1.1605
    -0.0001 (-0.01%)
     
  • 10-Yr Bond

    1.5290
    0.0000 (0.00%)
     
  • Vix

    16.98
    +1.00 (+6.26%)
     
  • GBP/USD

    1.3743
    +0.0000 (+0.00%)
     
  • USD/JPY

    113.5770
    -0.2330 (-0.20%)
     
  • BTC-USD

    59,050.76
    -1,928.29 (-3.16%)
     
  • CMC Crypto 200

    1,418.81
    -55.52 (-3.77%)
     
  • FTSE 100

    7,253.27
    -24.35 (-0.33%)
     
  • Nikkei 225

    28,856.73
    -241.51 (-0.83%)
     

5 Insurance Companies Trading With Low Price-Earnings Ratios

  • Oops!
    Something went wrong.
    Please try again later.
·5 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.

- By Tiziano Frateschi

As of Feb. 8, the GuruFocus All-in-One Screener, a Premium feature, found that the following guru-owned insurance companies have low price-earnings ratios. While some of them are great value investments, others may need to be researched more carefully, according to the discounted cash flow calculator.


Employers Holdings

With a market cap of $907 million, Employers Holdings Inc. (EIG) has a price-earnings ratio of 10.89 and a price-book ratio of 0.78. According to the DCF calculator, the stock has a fair value of $43.67 while trading at $31.26.

5 Insurance Companies Trading With Low Price-Earnings Ratios
5 Insurance Companies Trading With Low Price-Earnings Ratios

The stock has declined 29.18% over the last 12 months and is now 30.38% below the 52-week high and 22.44% above the 52-week low.

The company, which provides workers' compensation insurance, has a GuruFocus profitability rating of 5 out of 10. The return on equity of 7.68% and return on assets of 2.2% are outperforming 52% of companies in the Insurance industry. Its financial strength is rated 5 out of 10. The cash-debt ratio of 4.25 is below the industry median of 2.67.

Jim Simons (Trades, Portfolio)' Renaissance Technologies is the company's largest guru shareholder with 2.60% of outstanding shares, followed by HOTCHKIS & WILEY with 0.54% and Pioneer Investments (Trades, Portfolio) with 0.53%.

Trean

With a $789 million market cap, Trean Insurance Group Inc. (TIG) is trading with a price-earnings ratio of 7.89. According to the DCF calculator, the stock has a fair value of $20.95 while trading at $15.44.

The share price was stable over the past 12 months and is now 13.74% below the 52-week high and 55.96% above the 52-week low.

5 Insurance Companies Trading With Low Price-Earnings Ratios
5 Insurance Companies Trading With Low Price-Earnings Ratios

The insurance company has a GuruFocus profitability rating of 2 out of 10. The return on equity of 46.87% and return on assets of 8.71% are outperforming 93% of companies in the Insurance industry. Its financial strength is rated 6 out of 10 with the cash-debt ratio of 3.52.

The company's largest guru shareholder is Steven Cohen (Trades, Portfolio)'s Point72 Asset Management with 0.15% of outstanding shares.

National Western Life Group

With a market cap of $720 million, National Western Life Group Inc. (NWLI) is trading with a price-earnings ratio of 7.39. According to the DCF calculator, the stock has a fair value of $373 while trading at $198.29.

Shares have declined 28% over the last 12 months and are now 30.64% below the 52-week high and 64.49% above the 52-week low.

5 Insurance Companies Trading With Low Price-Earnings Ratios
5 Insurance Companies Trading With Low Price-Earnings Ratios

The company, which provides insurance products for the savings, protection and retirement needs of policyholders, has a GuruFocus profitability rank of 4 out of 10. The company's return on equity of 4.46% and return on assets of 0.76% are underperforming 64% of competitors in the industry. Its financial strength is rated 7 out of 10 with no debt.

Tweedy Browne (Trades, Portfolio) is the company's largest guru shareholder with 1.89% of outstanding shares, followed by HOTCHKIS & WILEY with 0.90% and Simons' firm with 0.30%.

ProSight

ProSight Global Inc. (PROS) has a market cap of $548 million and is trading with a price-earnings ratio of 13.65 and a price-book ratio of 0.91. According to the DCF calculator, the stock has a fair value of $9.63 while trading at $12.56.

Shares have declined 14.96% over the last 12 months and are now trading 25.55% below the 52-week high and 73% above the 52-week low.

5 Insurance Companies Trading With Low Price-Earnings Ratios
5 Insurance Companies Trading With Low Price-Earnings Ratios

The insurance company has a GuruFocus profitability rating of 2 out of 10. The return on equity of 6.29% and return on assets of 1.2% are underperforming 53% of companies in the industry. Its financial strength is rated 4 out of 10 with a cash-debt ratio of 0.12.

The company's largest guru shareholder is NWQ Managers (Trades, Portfolio) with 0.35% of outstanding shares, followed by Chuck Royce (Trades, Portfolio) with 0.26% and Simons' firm with 0.04.

HCI Group

HCI Group Inc. (HCI) has a market cap of $ 455 million. Its shares are trading with a price-earnings ratio of 15.37. According to the DCF calculator, the stock has a fair value of $39.27 while trading at $56.42.

5 Insurance Companies Trading With Low Price-Earnings Ratios
5 Insurance Companies Trading With Low Price-Earnings Ratios

Shares have climbed 21.99% over the past 12 months and are currently 10.34% below the 52-week high and 78.49% above the 52-week low.

The company, which provides property and casualty insurance products, has a GuruFocus profitability rating of 6 out of 10. The return on equity of 15.86% and return on assets of 3.68% are outperforming 74% of companies in the industry. Its financial strength is rated 5 out of 10 with a cash-debt ratio of 2.6.

Simons' firm is the company's largest guru shareholder with 2.80% of outstanding shares, followed by Royce with 2.36%.

Disclosure: I do not own any stocks mentioned.

Read more here:

  • Fisher Asset Management Trims Infosys, Equinor Positions

  • Yacktman Asset Management Trims Walt Disney, Fox

  • Hussman Strategic Advisors Cuts Alpahabet, Ubiquiti



Not a Premium Member of GuruFocus? Sign up for a free 7-day trial here.

This article first appeared on GuruFocus.