ASSURED GUARANTY LTD (AGO) Stock Fundamental Analysis
USA - NYSE:AGO - BMG0585R1060 - Common Stock
82.38 USD
+0.73 (+0.89%)
AGO gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 147 industry peers in the Insurance industry. AGO has a medium profitability rating, but doesn't score so well on its financial health evaluation. AGO is not valued too expensively and it also shows a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year AGO was profitable.
AGO had a positive operating cash flow in the past year.
AGO had positive earnings in each of the past 5 years.
The reported operating cash flow has been mixed in the past 5 years: AGO reported negative operating cash flow in multiple years.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.87%, AGO is in the better half of the industry, outperforming 76.87% of the companies in the same industry.
The Return On Equity of AGO (8.31%) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.87% | ||
| ROE | 8.31% | ||
| ROIC | N/A |
ROA(3y)3.26%
ROA(5y)2.86%
ROE(3y)7.41%
ROE(5y)6.77%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
AGO has a Profit Margin of 47.61%. This is amongst the best in the industry. AGO outperforms 98.64% of its industry peers.
AGO's Profit Margin has improved in the last couple of years.
AGO has a better Operating Margin (44.96%) than 100.00% of its industry peers.
In the last couple of years the Operating Margin of AGO has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 44.96% | ||
| PM (TTM) | 47.61% | ||
| GM | N/A |
OM growth 3Y-15.59%
OM growth 5Y-3.31%
PM growth 3Y2.55%
PM growth 5Y5.15%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
The number of shares outstanding for AGO has been reduced compared to 1 year ago.
Compared to 5 years ago, AGO has less shares outstanding
Compared to 1 year ago, AGO has a worse debt to assets ratio.
2.2 Solvency
AGO has a debt to FCF ratio of 7.46. This is a slightly negative value and a sign of low solvency as AGO would need 7.46 years to pay back of all of its debts.
AGO has a Debt to FCF ratio of 7.46. This is in the lower half of the industry: AGO underperforms 64.63% of its industry peers.
A Debt/Equity ratio of 0.30 indicates that AGO is not too dependend on debt financing.
With a Debt to Equity ratio value of 0.30, AGO perfoms like the industry average, outperforming 54.42% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 7.46 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACCN/A
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 AGO have decreased strongly by -37.31% in the last year.
Measured over the past years, AGO shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.76% on average per year.
Looking at the last year, AGO shows a very strong growth in Revenue. The Revenue has grown by 28.16%.
The Revenue has been decreasing by -6.16% on average over the past years.
EPS 1Y (TTM)-37.31%
EPS 3Y3.1%
EPS 5Y12.76%
EPS Q2Q%-29.86%
Revenue 1Y (TTM)28.16%
Revenue growth 3Y-3.58%
Revenue growth 5Y-6.16%
Sales Q2Q%61.49%
3.2 Future
AGO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 2.77% yearly.
Based on estimates for the next years, AGO will show a small growth in Revenue. The Revenue will grow by 3.85% on average per year.
EPS Next Y8.27%
EPS Next 2Y0.88%
EPS Next 3Y2.77%
EPS Next 5YN/A
Revenue Next Year-7.23%
Revenue Next 2Y-6.21%
Revenue Next 3Y3.85%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
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
AGO is valuated reasonably with a Price/Earnings ratio of 10.45.
The rest of the industry has a similar Price/Earnings ratio as AGO.
AGO is valuated cheaply when we compare the Price/Earnings ratio to 27.57, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 11.42, which indicates a very decent valuation of AGO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of AGO is on the same level as its industry peers.
AGO's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 23.09.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.45 | ||
| Fwd PE | 11.42 |
4.2 Price Multiples
AGO's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.2 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.26
PEG (5Y)0.82
EPS Next 2Y0.88%
EPS Next 3Y2.77%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.72%, AGO has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.31, AGO has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.32, AGO is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.72% |
5.2 History
On average, the dividend of AGO grows each year by 11.15%, which is quite nice.
AGO has paid a dividend for at least 10 years, which is a reliable track record.
AGO has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.15%
Div Incr Years13
Div Non Decr Years20
5.3 Sustainability
AGO pays out 14.53% of its income as dividend. This is a sustainable payout ratio.
AGO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP14.53%
EPS Next 2Y0.88%
EPS Next 3Y2.77%
NYSE:AGO (10/23/2025, 2:22:06 PM)
82.38
+0.73 (+0.89%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners97.76%
Inst Owner Change-0.2%
Ins Owners6.95%
Ins Owner Change-3.75%
Market Cap3.92B
Revenue(TTM)983.00M
Net Income(TTM)468.00M
Analysts77.14
Price Target107.87 (30.94%)
Short Float %3.38%
Short Ratio4.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.72% |
Yearly Dividend1.27
Dividend Growth(5Y)11.15%
DP14.53%
Div Incr Years13
Div Non Decr Years20
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-8.09%
Min EPS beat(2)-34.21%
Max EPS beat(2)18.03%
EPS beat(4)2
Avg EPS beat(4)13.51%
Min EPS beat(4)-34.21%
Max EPS beat(4)78.01%
EPS beat(8)6
Avg EPS beat(8)88.58%
EPS beat(12)8
Avg EPS beat(12)62.88%
EPS beat(16)10
Avg EPS beat(16)69.11%
Revenue beat(2)2
Avg Revenue beat(2)44.09%
Min Revenue beat(2)41.68%
Max Revenue beat(2)46.51%
Revenue beat(4)3
Avg Revenue beat(4)25%
Min Revenue beat(4)-20.46%
Max Revenue beat(4)46.51%
Revenue beat(8)5
Avg Revenue beat(8)11.65%
Revenue beat(12)7
Avg Revenue beat(12)7.48%
Revenue beat(16)9
Avg Revenue beat(16)5.73%
PT rev (1m)0%
PT rev (3m)-0.7%
EPS NQ rev (1m)7.03%
EPS NQ rev (3m)-0.83%
EPS NY rev (1m)3.51%
EPS NY rev (3m)-4.19%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.91%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-3.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 10.45 | ||
| Fwd PE | 11.42 | ||
| P/S | 3.99 | ||
| P/FCF | 17.2 | ||
| P/OCF | 17.2 | ||
| P/B | 0.7 | ||
| P/tB | 0.7 | ||
| EV/EBITDA | N/A |
EPS(TTM)7.88
EY9.57%
EPS(NY)7.21
Fwd EY8.76%
FCF(TTM)4.79
FCFY5.82%
OCF(TTM)4.79
OCFY5.82%
SpS20.66
BVpS118.37
TBVpS118.37
PEG (NY)1.26
PEG (5Y)0.82
Graham Number144.87
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.87% | ||
| ROE | 8.31% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 44.96% | ||
| PM (TTM) | 47.61% | ||
| GM | N/A | ||
| FCFM | 23.19% |
ROA(3y)3.26%
ROA(5y)2.86%
ROE(3y)7.41%
ROE(5y)6.77%
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)2.3%
ROCE(5y)2.7%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3Y-15.59%
OM growth 5Y-3.31%
PM growth 3Y2.55%
PM growth 5Y5.15%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.08
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 7.46 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 5.14 | ||
| Cash Conversion | N/A | ||
| Profit Quality | 48.72% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score5
WACCN/A
ROIC/WACCN/A
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)-37.31%
EPS 3Y3.1%
EPS 5Y12.76%
EPS Q2Q%-29.86%
EPS Next Y8.27%
EPS Next 2Y0.88%
EPS Next 3Y2.77%
EPS Next 5YN/A
Revenue 1Y (TTM)28.16%
Revenue growth 3Y-3.58%
Revenue growth 5Y-6.16%
Sales Q2Q%61.49%
Revenue Next Year-7.23%
Revenue Next 2Y-6.21%
Revenue Next 3Y3.85%
Revenue Next 5YN/A
EBIT growth 1Y60.73%
EBIT growth 3Y-18.62%
EBIT growth 5Y-9.27%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y191.57%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y191.57%
OCF growth 3YN/A
OCF growth 5YN/A