Looking for growth without the hefty price tag? Consider NYSE:RNR.

Consider RENAISSANCERE HOLDINGS LTD (NYSE:RNR) as an affordable growth stock, identified by our stock screening tool. NYSE:RNR is showcasing impressive growth figures and is well-positioned in terms of profitability, solvency, and liquidity. Moreover, it seems to be priced reasonably. Let's dive deeper into the analysis.

Analyzing Growth Metrics

Every stock receives a Growth Rating from ChartMill, ranging from 0 to 10. This rating assesses various growth aspects, including historical and projected EPS and revenue growth. NYSE:RNR boasts a 7 out of 10:

• RNR shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 42.87%, 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 18.87% in the past year. This is quite good.
• The Revenue has been growing by 32.27% on average over the past years. This is a very strong growth!
• Based on estimates for the next years, RNR will show a quite strong growth in Revenue. The Revenue will grow by 17.23% on average per year.

ChartMill's Evaluation of Valuation

ChartMill provides a Valuation Rating to every stock, ranging from 0 to 10. This rating assesses various valuation aspects, comparing price to earnings and cash flows, while considering factors like profitability and growth. NYSE:RNR boasts a 7 out of 10:

• The Price/Earnings ratio is 5.53, which indicates a rather cheap valuation of RNR.
• 78.72% of the companies in the same industry are more expensive than RNR, based on the Price/Earnings ratio.
• RNR's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.94.
• The Price/Forward Earnings ratio is 7.38, 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 77.31% of the companies listed in the same industry.
• RNR's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 24.11.
• Based on the Price/Free Cash Flow ratio, RNR is valued a bit cheaper than the industry average as 78.01% of the companies are valued more expensively.
• The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
• The decent profitability rating of RNR may justify a higher PE ratio.

A Closer Look at Health for NYSE:RNR

To gauge a stock's financial health, ChartMill utilizes a Health Rating on a scale of 0 to 10. This comprehensive evaluation encompasses liquidity and solvency, both in absolute terms and in comparison to industry peers. NYSE:RNR has earned a 5 out of 10:

• With an excellent Altman-Z score value of 0.90, RNR belongs to the best of the industry, outperforming 80.14% of the companies in the same industry.
• The Debt to FCF ratio of RNR is 0.50, which is an excellent value as it means it would take RNR, only 0.50 years of fcf income to pay off all of its debts.
• With an excellent Debt to FCF ratio value of 0.50, RNR belongs to the best of the industry, outperforming 83.69% of the companies in the same industry.
• RNR has a Debt/Equity ratio of 0.17. This is a healthy value indicating a solid balance between debt and equity.
• RNR has a Debt to Equity ratio of 0.17. This is in the better half of the industry: RNR outperforms 71.63% of its industry peers.
• Looking at the Current ratio, with a value of 0.55, RNR is in the better half of the industry, outperforming 74.47% of the companies in the same industry.
• RNR's Quick ratio of 0.55 is fine compared to the rest of the industry. RNR outperforms 74.47% of its industry peers.

How do we evaluate the Profitability for NYSE:RNR?

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:RNR was assigned a score of 7 for profitability:

• The Return On Assets of RNR (7.42%) is better than 89.36% of its industry peers.
• RNR has a Return On Equity of 34.84%. This is amongst the best in the industry. RNR outperforms 96.45% of its industry peers.
• RNR's Return On Invested Capital of 6.55% is amongst the best of the industry. RNR outperforms 83.69% of its industry peers.
• RNR has a Profit Margin of 33.92%. This is amongst the best in the industry. RNR outperforms 94.33% of its industry peers.
• In the last couple of years the Profit Margin of RNR has grown nicely.
• RNR has a Operating Margin of 37.46%. This is amongst the best in the industry. RNR outperforms 95.04% of its industry peers.
• RNR's Operating Margin has improved in the last couple of years.

Every day, new Affordable Growth stocks can be found on ChartMill in our Affordable Growth screener.

Our latest full fundamental report of RNR contains the most current fundamental analsysis.

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.