AMERICAN COASTAL INSURANCE C (ACIC) Stock Fundamental Analysis
NASDAQ:ACIC - Nasdaq - US9107101027 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to ACIC. ACIC was compared to 143 industry peers in the Insurance industry. While ACIC is still in line with the averages on profitability rating, there are concerns on its financial health. ACIC is valued quite cheap, but it does not seem to be growing. ACIC also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
In the past year ACIC was profitable.
ACIC had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: ACIC reported negative net income in multiple years.
In the past 5 years ACIC reported 4 times negative operating cash flow.
1.2 Ratios
The Return On Assets of ACIC (6.23%) is better than 90.91% of its industry peers.
With an excellent Return On Equity value of 32.13%, ACIC belongs to the best of the industry, outperforming 95.10% of the companies in the same industry.
The Return On Invested Capital of ACIC (8.26%) is better than 92.31% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.23% | ||
| ROE | 32.13% | ||
| ROIC | 8.26% |
ROA(3y)6.28%
ROA(5y)2.66%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of ACIC (24.97%) is better than 91.61% of its industry peers.
ACIC's Operating Margin of 37.48% is amongst the best of the industry. ACIC outperforms 96.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 37.48% | ||
| PM (TTM) | 24.97% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
ACIC has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
ACIC has more shares outstanding than it did 1 year ago.
The number of shares outstanding for ACIC has been increased compared to 5 years ago.
Compared to 1 year ago, ACIC has an improved debt to assets ratio.
2.2 Solvency
ACIC has a debt to FCF ratio of 0.61. This is a very positive value and a sign of high solvency as it would only need 0.61 years to pay back of all of its debts.
ACIC has a Debt to FCF ratio of 0.61. This is in the better half of the industry: ACIC outperforms 73.43% of its industry peers.
ACIC has a Debt/Equity ratio of 0.63. This is a neutral value indicating ACIC is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.63, ACIC is doing worse than 74.13% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for ACIC, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 0.61 | ||
| Altman-Z | N/A |
ROIC/WACC0.97
WACC8.52%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The earnings per share for ACIC have decreased strongly by -25.36% in the last year.
The Revenue has been growing slightly by 5.85% in the past year.
The Revenue for ACIC have been decreasing by -18.50% on average. This is quite bad
EPS 1Y (TTM)-25.36%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-69.23%
Revenue 1Y (TTM)5.85%
Revenue growth 3Y-22.39%
Revenue growth 5Y-18.5%
Sales Q2Q%32.22%
3.2 Future
Based on estimates for the next years, ACIC will show a small growth in Earnings Per Share. The EPS will grow by 2.28% on average per year.
The Revenue is expected to grow by 10.15% on average over the next years. This is quite good.
EPS Next Y-1.92%
EPS Next 2Y2.28%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year12.42%
Revenue Next 2Y10.15%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.17 indicates a rather cheap valuation of ACIC.
78.32% of the companies in the same industry are more expensive than ACIC, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of ACIC to the average of the S&P500 Index (28.79), we can say ACIC is valued rather cheaply.
A Price/Forward Earnings ratio of 7.31 indicates a rather cheap valuation of ACIC.
Based on the Price/Forward Earnings ratio, ACIC is valued a bit cheaper than the industry average as 76.22% of the companies are valued more expensively.
The average S&P500 Price/Forward Earnings ratio is at 21.38. ACIC is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.17 | ||
| Fwd PE | 7.31 |
4.2 Price Multiples
80.42% of the companies in the same industry are more expensive than ACIC, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ACIC is valued cheaply inside the industry as 84.62% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.22 | ||
| EV/EBITDA | 4.51 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y2.28%
EPS Next 3YN/A
5. Dividend
5.1 Amount
ACIC has a Yearly Dividend Yield of 4.47%, which is a nice return.
Compared to an average industry Dividend Yield of 3.22, ACIC pays a better dividend. On top of this ACIC pays more dividend than 83.22% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.47, ACIC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.47% |
5.2 History
On average, the dividend of ACIC grows each year by 16.09%, which is quite nice.
ACIC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)16.09%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
31.83% of the earnings are spent on dividend by ACIC. This is a low number and sustainable payout ratio.
ACIC's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP31.83%
EPS Next 2Y2.28%
EPS Next 3YN/A
11.18
+0.04 (+0.36%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners28.63%
Inst Owner ChangeN/A
Ins Owners18.75%
Ins Owner Change0.58%
Market Cap540.11M
Analysts82.86
Price Target16.32 (45.97%)
Short Float %3.39%
Short Ratio4.58
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.47% |
Yearly Dividend0.51
Dividend Growth(5Y)16.09%
DP31.83%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)29.11%
Min EPS beat(2)6.95%
Max EPS beat(2)51.26%
EPS beat(4)4
Avg EPS beat(4)46.25%
Min EPS beat(4)6.95%
Max EPS beat(4)96.08%
EPS beat(8)N/A
Avg EPS beat(8)N/A
EPS beat(12)N/A
Avg EPS beat(12)N/A
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-9.47%
Min Revenue beat(2)-13.59%
Max Revenue beat(2)-5.35%
Revenue beat(4)1
Avg Revenue beat(4)-5.16%
Min Revenue beat(4)-13.59%
Max Revenue beat(4)7.96%
Revenue beat(8)N/A
Avg Revenue beat(8)N/A
Revenue beat(12)N/A
Avg Revenue beat(12)N/A
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)-11.11%
EPS NQ rev (3m)-11.11%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-6.07%
Revenue NY rev (1m)-0.23%
Revenue NY rev (3m)-0.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.17 | ||
| Fwd PE | 7.31 | ||
| P/S | 1.78 | ||
| P/FCF | 2.22 | ||
| P/OCF | 2.22 | ||
| P/B | 2.29 | ||
| P/tB | 3.17 | ||
| EV/EBITDA | 4.51 |
EPS(TTM)1.56
EY13.95%
EPS(NY)1.53
Fwd EY13.69%
FCF(TTM)5.04
FCFY45.08%
OCF(TTM)5.04
OCFY45.09%
SpS6.28
BVpS4.88
TBVpS3.52
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.23% | ||
| ROE | 32.13% | ||
| ROCE | 10.09% | ||
| ROIC | 8.26% | ||
| ROICexc | 9.41% | ||
| ROICexgc | 19.28% | ||
| OM | 37.48% | ||
| PM (TTM) | 24.97% | ||
| GM | N/A | ||
| FCFM | 80.29% |
ROA(3y)6.28%
ROA(5y)2.66%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.63 | ||
| Debt/FCF | 0.61 | ||
| Debt/EBITDA | 1.22 | ||
| Cap/Depr | 0.25% | ||
| Cap/Sales | 0.01% | ||
| Interest Coverage | 8.87 | ||
| Cash Conversion | 198.74% | ||
| Profit Quality | 321.57% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACC8.52%
ROIC/WACC0.97
Cap/Depr(3y)4.99%
Cap/Depr(5y)31.61%
Cap/Sales(3y)0.24%
Cap/Sales(5y)0.57%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-25.36%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-69.23%
EPS Next Y-1.92%
EPS Next 2Y2.28%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)5.85%
Revenue growth 3Y-22.39%
Revenue growth 5Y-18.5%
Sales Q2Q%32.22%
Revenue Next Year12.42%
Revenue Next 2Y10.15%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y10.55%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y278.77%
FCF growth 3YN/A
FCF growth 5Y13.88%
OCF growth 1Y279.05%
OCF growth 3YN/A
OCF growth 5Y10.32%