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Assured Guaranty Ltd. (NYSE:AGO) Has Attractive Fundamentals

Simply Wall St

Attractive stocks have exceptional fundamentals. In the case of Assured Guaranty Ltd. (NYSE:AGO), there's is a notable dividend payer that has been a rockstar for income investors, currently trading at an attractive share price. Below, I've touched on some key aspects you should know on a high level. For those interested in digging a bit deeper into my commentary, read the full report on Assured Guaranty here.

Undervalued established dividend payer

AGO is currently trading below its true value, which means the market is undervaluing the company's expected cash flow going forward. According to my intrinsic value of the stock, which is driven by analyst consensus forecast of AGO's earnings, investors now have the opportunity to buy into the stock to reap capital gains. Compared to the rest of the insurance industry, AGO is also trading below its peers, relative to earnings generated. This further reaffirms that AGO is potentially undervalued.

NYSE:AGO Price Estimation Relative to Market, September 16th 2019

For those seeking income streams from their portfolio, AGO is a robust dividend payer as well. Over the past decade, the company has consistently increased its dividend payout, reaching a yield of 1.6%.

NYSE:AGO Historical Dividend Yield, September 16th 2019

Next Steps:

For Assured Guaranty, I've compiled three pertinent aspects you should look at:

  1. Future Outlook: What are well-informed industry analysts predicting for AGO’s future growth? Take a look at our free research report of analyst consensus for AGO’s outlook.
  2. Historical Performance: What has AGO's returns been like over the past? Go into more detail in the past track record analysis and take a look at the free visual representations of our analysis for more clarity.
  3. Other Attractive Alternatives : Are there other well-rounded stocks you could be holding instead of AGO? Explore our interactive list of stocks with large potential to get an idea of what else is out there you may be missing!

We aim to bring you long-term focused research analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material.

If you spot an error that warrants correction, please contact the editor at editorial-team@simplywallst.com. This article by Simply Wall St is general in nature. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Simply Wall St has no position in the stocks mentioned. Thank you for reading.