EVEREST GROUP LTD (EG)
BMG3223R1088 - Common Stock
Overall EG gets a fundamental rating of 6 out of 10. We evaluated EG against 141 industry peers in the Insurance industry. EG scores excellent on profitability, but there are concerns on its financial health. A decent growth rate in combination with a cheap valuation! Better keep an eye on EG. EG also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
EG had positive earnings in the past year.
EG had a positive operating cash flow in the past year.
Each year in the past 5 years EG has been profitable.
EG had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.90%, EG belongs to the top of the industry, outperforming 83.57% of the companies in the same industry.
EG has a better Return On Equity (17.85%) than 77.14% of its industry peers.
EG has a better Return On Invested Capital (3.79%) than 73.57% of its industry peers.
EG had an Average Return On Invested Capital over the past 3 years of 3.11%. This is in line with the industry average of 4.34%.
The last Return On Invested Capital (3.79%) for EG is above the 3 year average (3.11%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.9% | ||
| ROE | 17.85% | ||
| ROIC | 3.79% |
ROA(3y)3.36%
ROA(5y)3.06%
ROE(3y)13.08%
ROE(5y)11.08%
ROIC(3y)3.11%
ROIC(5y)3.09%
1.3 Margins
The Profit Margin of EG (16.79%) is better than 81.43% of its industry peers.
EG's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 16.31%, EG is in the better half of the industry, outperforming 70.00% of the companies in the same industry.
In the last couple of years the Operating Margin of EG has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.31% | ||
| PM (TTM) | 16.79% | ||
| GM | N/A |
OM growth 3Y9.95%
OM growth 5YN/A
PM growth 3Y47.71%
PM growth 5Y70.21%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
EG has more shares outstanding than it did 1 year ago.
The number of shares outstanding for EG has been increased compared to 5 years ago.
The debt/assets ratio for EG has been reduced compared to a year ago.
2.2 Solvency
EG has a debt to FCF ratio of 0.65. This is a very positive value and a sign of high solvency as it would only need 0.65 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.65, EG is in the better half of the industry, outperforming 74.29% of the companies in the same industry.
EG has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
EG has a Debt to Equity ratio of 0.22. This is in the better half of the industry: EG outperforms 70.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 0.65 | ||
| 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
EG shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 12.84%, which is quite good.
The Earnings Per Share has been growing by 63.33% on average over the past years. This is a very strong growth
Looking at the last year, EG shows a quite strong growth in Revenue. The Revenue has grown by 14.93% in the last year.
Measured over the past years, EG shows a quite strong growth in Revenue. The Revenue has been growing by 14.63% on average per year.
EPS 1Y (TTM)12.84%
EPS 3Y92.19%
EPS 5Y63.33%
EPS Q2Q%3.39%
Revenue 1Y (TTM)14.93%
Revenue growth 3Y14.97%
Revenue growth 5Y14.63%
Sales Q2Q%21.83%
3.2 Future
Based on estimates for the next years, EG will show a quite strong growth in Earnings Per Share. The EPS will grow by 13.65% on average per year.
The Revenue is expected to grow by 9.13% on average over the next years. This is quite good.
EPS Next Y16.16%
EPS Next 2Y14.16%
EPS Next 3Y13.65%
EPS Next 5YN/A
Revenue Next Year19.88%
Revenue Next 2Y11.85%
Revenue Next 3Y9.13%
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 decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 6.54, the valuation of EG can be described as very cheap.
77.14% of the companies in the same industry are more expensive than EG, based on the Price/Earnings ratio.
EG is valuated cheaply when we compare the Price/Earnings ratio to 29.56, which is the current average of the S&P500 Index.
EG is valuated cheaply with a Price/Forward Earnings ratio of 5.70.
Based on the Price/Forward Earnings ratio, EG is valued a bit cheaper than 80.00% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.20, EG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.54 | ||
| Fwd PE | 5.7 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, EG is valued cheaply inside the industry as 82.86% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.23 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
EG's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
EG has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as EG's earnings are expected to grow with 13.65% in the coming years.
PEG (NY)0.4
PEG (5Y)0.1
EPS Next 2Y14.16%
EPS Next 3Y13.65%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.08%, EG has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 4.06, EG pays a bit more dividend than its industry peers.
EG's Dividend Yield is comparable with the S&P500 average which is at 2.19.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
5.2 History
The dividend of EG has a limited annual growth rate of 5.80%.
EG has paid a dividend for at least 10 years, which is a reliable track record.
EG has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)5.8%
Div Incr Years2
Div Non Decr Years22
5.3 Sustainability
EG pays out 11.87% of its income as dividend. This is a sustainable payout ratio.
The dividend of EG is growing, but earnings are growing more, so the dividend growth is sustainable.
DP11.87%
EPS Next 2Y14.16%
EPS Next 3Y13.65%
EVEREST GROUP LTD
NYSE:EG (11/25/2024, 8:04:01 PM)
After market: 390.1 0 (0%)390.1
+1.1 (+0.28%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap16.77B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.08% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 6.54 | ||
| Fwd PE | 5.7 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.4
PEG (5Y)0.1
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.9% | ||
| ROE | 17.85% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 16.31% | ||
| PM (TTM) | 16.79% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.29
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)12.84%
EPS 3Y92.19%
EPS 5Y
EPS Q2Q%
EPS Next Y16.16%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)14.93%
Revenue growth 3Y14.97%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y