AMERICAN COASTAL INSURANCE C (ACIC) Stock Fundamental Analysis
NASDAQ:ACIC - Nasdaq - US9107101027 - Common Stock - Currency: USD
Overall ACIC gets a fundamental rating of 4 out of 10. We evaluated ACIC against 144 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 has a bad growth rate and is valued cheaply.
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 always reported negative operating cash flow.
1.2 Ratios
ACIC has a Return On Assets of 7.44%. This is amongst the best in the industry. ACIC outperforms 95.10% of its industry peers.
With an excellent Return On Equity value of 32.77%, ACIC belongs to the best of the industry, outperforming 93.71% of the companies in the same industry.
ACIC's Return On Invested Capital of 9.61% is amongst the best of the industry. ACIC outperforms 93.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.44% | ||
| ROE | 32.77% | ||
| ROIC | 9.61% |
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
With an excellent Profit Margin value of 30.14%, ACIC belongs to the best of the industry, outperforming 96.50% of the companies in the same industry.
ACIC has a better Operating Margin (44.04%) than 96.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.04% | ||
| PM (TTM) | 30.14% | ||
| 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
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so ACIC is still creating some value.
Compared to 1 year ago, ACIC has more shares outstanding
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
The Debt to FCF ratio of ACIC is 0.51, which is an excellent value as it means it would take ACIC, only 0.51 years of fcf income to pay off all of its debts.
ACIC has a Debt to FCF ratio of 0.51. This is amongst the best in the industry. ACIC outperforms 81.12% of its industry peers.
ACIC has a Debt/Equity ratio of 0.57. This is a neutral value indicating ACIC is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.57, ACIC is doing worse than 73.43% of the companies in the same industry.
Although ACIC does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 0.51 | ||
| Altman-Z | N/A |
ROIC/WACC1.14
WACC8.44%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
ACIC shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.36%.
The Revenue has been growing slightly by 5.85% in the past year.
Measured over the past years, ACIC shows a very negative growth in Revenue. The Revenue has been decreasing by -18.50% on average per year.
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%42.62%
3.2 Future
The Earnings Per Share is expected to grow by 2.28% on average over the next years.
ACIC is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 10.50% yearly.
EPS Next Y-1.92%
EPS Next 2Y2.28%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year12.68%
Revenue Next 2Y10.5%
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 7.70 indicates a rather cheap valuation of ACIC.
Compared to the rest of the industry, the Price/Earnings ratio of ACIC indicates a somewhat cheap valuation: ACIC is cheaper than 75.52% of the companies listed in the same industry.
ACIC's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 29.35.
Based on the Price/Forward Earnings ratio of 7.85, the valuation of ACIC can be described as very cheap.
ACIC's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. ACIC is cheaper than 74.83% of the companies in the same industry.
ACIC's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.10.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.7 | ||
| Fwd PE | 7.85 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ACIC is valued cheaper than 82.52% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, ACIC is valued cheaply inside the industry as 83.92% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 1.99 | ||
| EV/EBITDA | 4.03 |
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 4.16%, which is a nice return.
Compared to an average industry Dividend Yield of 3.17, ACIC pays a better dividend. On top of this ACIC pays more dividend than 81.82% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.33, ACIC pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.16% |
5.2 History
ACIC has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)N/A
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
DP0%
EPS Next 2Y2.28%
EPS Next 3YN/A
12.01
-0.09 (-0.74%)
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 Change0.2%
Market Cap578.88M
Analysts82.86
Price Target16.32 (35.89%)
Short Float %3.23%
Short Ratio4.93
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.16% |
Yearly Dividend0
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)40.99%
Min EPS beat(2)30.72%
Max EPS beat(2)51.26%
EPS beat(4)4
Avg EPS beat(4)65.03%
Min EPS beat(4)30.72%
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)-11.63%
Min Revenue beat(2)-13.59%
Max Revenue beat(2)-9.66%
Revenue beat(4)1
Avg Revenue beat(4)-5.82%
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)0%
EPS NQ rev (3m)0%
EPS NY rev (1m)0%
EPS NY rev (3m)0%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.7 | ||
| Fwd PE | 7.85 | ||
| P/S | 2.05 | ||
| P/FCF | 1.99 | ||
| P/OCF | 1.99 | ||
| P/B | 2.23 | ||
| P/tB | 2.99 | ||
| EV/EBITDA | 4.03 |
EPS(TTM)1.56
EY12.99%
EPS(NY)1.53
Fwd EY12.74%
FCF(TTM)6.03
FCFY50.23%
OCF(TTM)6.03
OCFY50.24%
SpS5.85
BVpS5.39
TBVpS4.02
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.44% | ||
| ROE | 32.77% | ||
| ROCE | 11.68% | ||
| ROIC | 9.61% | ||
| ROICexc | 11.6% | ||
| ROICexgc | 22.63% | ||
| OM | 44.04% | ||
| PM (TTM) | 30.14% | ||
| GM | N/A | ||
| FCFM | 103.04% |
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-Score7
Asset Turnover0.25
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.57 | ||
| Debt/FCF | 0.51 | ||
| Debt/EBITDA | 1.1 | ||
| Cap/Depr | 0.06% | ||
| Cap/Sales | 0% | ||
| Interest Coverage | 11.39 | ||
| Cash Conversion | 215.21% | ||
| Profit Quality | 341.89% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC8.44%
ROIC/WACC1.14
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
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%42.62%
Revenue Next Year12.68%
Revenue Next 2Y10.5%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y158.19%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y211.67%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y211.81%
OCF growth 3YN/A
OCF growth 5YN/A