ASSURANT INC (AIZ) Stock Fundamental Analysis
USA - NYSE:AIZ - US04621X1081 - Common Stock
224.32 USD
+7.51 (+3.46%)
224.32 USD
0 (0%)
Overall AIZ gets a fundamental rating of 4 out of 10. We evaluated AIZ against 146 industry peers in the Insurance industry. There are concerns on the financial health of AIZ while its profitability can be described as average. AIZ has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year AIZ was profitable.
In the past year AIZ had a positive cash flow from operations.
AIZ had positive earnings in each of the past 5 years.
AIZ had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AIZ has a Return On Assets (2.02%) which is in line with its industry peers.
AIZ has a better Return On Equity (13.04%) than 60.96% of its industry peers.
Looking at the Return On Invested Capital, with a value of 2.79%, AIZ is in line with its industry, outperforming 56.85% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for AIZ is below the industry average of 4.53%.
The last Return On Invested Capital (2.79%) for AIZ is above the 3 year average (2.34%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.02% | ||
| ROE | 13.04% | ||
| ROIC | 2.79% |
ROA(3y)1.64%
ROA(5y)1.97%
ROE(3y)11.6%
ROE(5y)13.34%
ROIC(3y)2.34%
ROIC(5y)2.2%
1.3 Margins
The Profit Margin of AIZ (5.83%) is worse than 62.33% of its industry peers.
AIZ's Profit Margin has improved in the last couple of years.
AIZ has a Operating Margin of 8.10%. This is in the lower half of the industry: AIZ underperforms 65.75% of its industry peers.
AIZ's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.1% | ||
| PM (TTM) | 5.83% | ||
| GM | N/A |
OM growth 3Y0.17%
OM growth 5Y3.56%
PM growth 3Y-21.67%
PM growth 5Y10.86%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), AIZ is destroying value.
Compared to 1 year ago, AIZ has less shares outstanding
AIZ has less shares outstanding than it did 5 years ago.
AIZ has a better debt/assets ratio than last year.
2.2 Solvency
The Debt to FCF ratio of AIZ is 2.15, which is a good value as it means it would take AIZ, 2.15 years of fcf income to pay off all of its debts.
AIZ has a Debt to FCF ratio of 2.15. This is comparable to the rest of the industry: AIZ outperforms 52.74% of its industry peers.
AIZ has a Debt/Equity ratio of 0.38. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of AIZ (0.38) is worse than 61.64% of its industry peers.
Although AIZ 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 | 0.38 | ||
| Debt/FCF | 2.15 | ||
| Altman-Z | N/A |
ROIC/WACC0.35
WACC8.02%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
AIZ shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 15.63%, which is quite good.
The Earnings Per Share has been growing by 14.42% on average over the past years. This is quite good.
AIZ shows a small growth in Revenue. In the last year, the Revenue has grown by 6.70%.
AIZ shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.52% yearly.
EPS 1Y (TTM)15.63%
EPS 3Y18.92%
EPS 5Y14.42%
EPS Q2Q%91%
Revenue 1Y (TTM)6.7%
Revenue growth 3Y5.25%
Revenue growth 5Y4.52%
Sales Q2Q%9.35%
3.2 Future
Based on estimates for the next years, AIZ will show a quite strong growth in Earnings Per Share. The EPS will grow by 10.31% on average per year.
Based on estimates for the next years, AIZ will show a small growth in Revenue. The Revenue will grow by 5.33% on average per year.
EPS Next Y8.11%
EPS Next 2Y10.89%
EPS Next 3Y10.31%
EPS Next 5YN/A
Revenue Next Year6.68%
Revenue Next 2Y5.74%
Revenue Next 3Y5.33%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
AIZ is valuated reasonably with a Price/Earnings ratio of 11.80.
AIZ's Price/Earnings ratio is in line with the industry average.
AIZ's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.83.
Based on the Price/Forward Earnings ratio of 10.96, the valuation of AIZ can be described as reasonable.
AIZ's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 32.68. AIZ is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.8 | ||
| Fwd PE | 10.96 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as AIZ.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of AIZ is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.68 | ||
| EV/EBITDA | 9.34 |
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)1.45
PEG (5Y)0.82
EPS Next 2Y10.89%
EPS Next 3Y10.31%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.48%, AIZ has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.33, AIZ has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.39, AIZ is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
5.2 History
The dividend of AIZ has a limited annual growth rate of 1.71%.
AIZ has been paying a dividend for at least 10 years, so it has a reliable track record.
AIZ has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)1.71%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
AIZ pays out 22.62% of its income as dividend. This is a sustainable payout ratio.
AIZ's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP22.62%
EPS Next 2Y10.89%
EPS Next 3Y10.31%
224.32
+7.51 (+3.46%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners96.78%
Inst Owner Change0.7%
Ins Owners0.55%
Ins Owner Change-0.85%
Market Cap11.32B
Revenue(TTM)11.88B
Net Income(TTM)717.00M
Analysts80
Price Target250.92 (11.86%)
Short Float %1.57%
Short Ratio2.29
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.48% |
Yearly Dividend3.03
Dividend Growth(5Y)1.71%
DP22.62%
Div Incr Years10
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)17.06%
Min EPS beat(2)12.14%
Max EPS beat(2)21.99%
EPS beat(4)4
Avg EPS beat(4)16.68%
Min EPS beat(4)12.14%
Max EPS beat(4)21.99%
EPS beat(8)8
Avg EPS beat(8)23.4%
EPS beat(12)11
Avg EPS beat(12)21.43%
EPS beat(16)13
Avg EPS beat(16)16.17%
Revenue beat(2)1
Avg Revenue beat(2)-0.48%
Min Revenue beat(2)-1.09%
Max Revenue beat(2)0.14%
Revenue beat(4)2
Avg Revenue beat(4)-0.02%
Min Revenue beat(4)-1.09%
Max Revenue beat(4)0.94%
Revenue beat(8)6
Avg Revenue beat(8)0.98%
Revenue beat(12)9
Avg Revenue beat(12)0.72%
Revenue beat(16)10
Avg Revenue beat(16)-0.02%
PT rev (1m)2.07%
PT rev (3m)5.49%
EPS NQ rev (1m)7.77%
EPS NQ rev (3m)10.77%
EPS NY rev (1m)2.06%
EPS NY rev (3m)7.98%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.81%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.8 | ||
| Fwd PE | 10.96 | ||
| P/S | 0.92 | ||
| P/FCF | 11.68 | ||
| P/OCF | 9.45 | ||
| P/B | 2.06 | ||
| P/tB | 4.84 | ||
| EV/EBITDA | 9.34 |
EPS(TTM)19.01
EY8.47%
EPS(NY)20.48
Fwd EY9.13%
FCF(TTM)19.2
FCFY8.56%
OCF(TTM)23.73
OCFY10.58%
SpS243.91
BVpS108.97
TBVpS46.33
PEG (NY)1.45
PEG (5Y)0.82
Graham Number215.89
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.02% | ||
| ROE | 13.04% | ||
| ROCE | 3.46% | ||
| ROIC | 2.79% | ||
| ROICexc | 2.94% | ||
| ROICexgc | 5.12% | ||
| OM | 8.1% | ||
| PM (TTM) | 5.83% | ||
| GM | N/A | ||
| FCFM | 7.87% |
ROA(3y)1.64%
ROA(5y)1.97%
ROE(3y)11.6%
ROE(5y)13.34%
ROIC(3y)2.34%
ROIC(5y)2.2%
ROICexc(3y)2.49%
ROICexc(5y)2.35%
ROICexgc(3y)4.34%
ROICexgc(5y)4.11%
ROCE(3y)2.9%
ROCE(5y)2.73%
ROICexgc growth 3Y6.82%
ROICexgc growth 5Y13.88%
ROICexc growth 3Y4.87%
ROICexc growth 5Y15.01%
OM growth 3Y0.17%
OM growth 5Y3.56%
PM growth 3Y-21.67%
PM growth 5Y10.86%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.35
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 2.15 | ||
| Debt/EBITDA | 1.69 | ||
| Cap/Depr | 95.93% | ||
| Cap/Sales | 1.86% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 96.89% | ||
| Profit Quality | 135.12% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC8.02%
ROIC/WACC0.35
Cap/Depr(3y)101.5%
Cap/Depr(5y)99.54%
Cap/Sales(3y)1.84%
Cap/Sales(5y)1.72%
Profit Quality(3y)146.68%
Profit Quality(5y)154.63%
High Growth Momentum
Growth
EPS 1Y (TTM)15.63%
EPS 3Y18.92%
EPS 5Y14.42%
EPS Q2Q%91%
EPS Next Y8.11%
EPS Next 2Y10.89%
EPS Next 3Y10.31%
EPS Next 5YN/A
Revenue 1Y (TTM)6.7%
Revenue growth 3Y5.25%
Revenue growth 5Y4.52%
Sales Q2Q%9.35%
Revenue Next Year6.68%
Revenue Next 2Y5.74%
Revenue Next 3Y5.33%
Revenue Next 5YN/A
EBIT growth 1Y-10.14%
EBIT growth 3Y5.43%
EBIT growth 5Y8.24%
EBIT Next Year20.03%
EBIT Next 3Y13.01%
EBIT Next 5YN/A
FCF growth 1Y-17.42%
FCF growth 3Y23.2%
FCF growth 5Y-3.13%
OCF growth 1Y-12.61%
OCF growth 3Y19.46%
OCF growth 5Y-1.17%
ASSURANT INC / AIZ FAQ
What is the fundamental rating for AIZ stock?
ChartMill assigns a fundamental rating of 4 / 10 to AIZ.
What is the valuation status of ASSURANT INC (AIZ) stock?
ChartMill assigns a valuation rating of 4 / 10 to ASSURANT INC (AIZ). This can be considered as Fairly Valued.
Can you provide the profitability details for ASSURANT INC?
ASSURANT INC (AIZ) has a profitability rating of 5 / 10.
What is the valuation of ASSURANT INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ASSURANT INC (AIZ) is 11.8 and the Price/Book (PB) ratio is 2.06.
Can you provide the dividend sustainability for AIZ stock?
The dividend rating of ASSURANT INC (AIZ) is 6 / 10 and the dividend payout ratio is 22.62%.