F&G ANNUITIES & LIFE INC (FG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FG - US30190A1043 - Common Stock
34.46 USD
-0.47 (-1.35%)
34.46 USD
0 (0%)
Overall FG gets a fundamental rating of 4 out of 10. We evaluated FG against 147 industry peers in the Insurance industry. While FG seems to be doing ok healthwise, there are quite some concerns on its profitability. A decent growth rate in combination with a cheap valuation! Better keep an eye on FG.
1. Profitability
1.1 Basic Checks
In the past year FG was profitable.
In the past year FG had a positive cash flow from operations.
In multiple years FG reported negative net income over the last 5 years.
Each year in the past 5 years FG had a positive operating cash flow.
1.2 Ratios
FG's Return On Assets of 0.46% is on the low side compared to the rest of the industry. FG is outperformed by 78.23% of its industry peers.
FG has a Return On Equity (9.27%) which is in line with its industry peers.
FG has a Return On Invested Capital of 0.65%. This is in the lower half of the industry: FG underperforms 67.35% of its industry peers.
FG had an Average Return On Invested Capital over the past 3 years of 0.65%. This is significantly below the industry average of 14.90%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.46% | ||
| ROE | 9.27% | ||
| ROIC | 0.65% |
ROA(3y)0.51%
ROA(5y)0.57%
ROE(3y)11.29%
ROE(5y)9.72%
ROIC(3y)0.65%
ROIC(5y)N/A
1.3 Margins
FG's Profit Margin of 8.06% is in line compared to the rest of the industry. FG outperforms 48.98% of its industry peers.
In the last couple of years the Profit Margin of FG has declined.
FG has a Operating Margin (13.25%) which is in line with its industry peers.
In the last couple of years the Operating Margin of FG has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 13.25% | ||
| PM (TTM) | 8.06% | ||
| GM | N/A |
OM growth 3Y-17.37%
OM growth 5Y-8.02%
PM growth 3Y-21%
PM growth 5Y-11.75%
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), FG is destroying value.
The number of shares outstanding for FG has been increased compared to 1 year ago.
The debt/assets ratio for FG is higher compared to a year ago.
2.2 Solvency
FG has an Altman-Z score of 0.13. This is a bad value and indicates that FG is not financially healthy and even has some risk of bankruptcy.
FG has a better Altman-Z score (0.13) than 66.67% of its industry peers.
FG has a debt to FCF ratio of 0.46. This is a very positive value and a sign of high solvency as it would only need 0.46 years to pay back of all of its debts.
FG has a better Debt to FCF ratio (0.46) than 80.27% of its industry peers.
FG has a Debt/Equity ratio of 0.46. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.46, FG is doing worse than 66.67% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for FG, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 0.46 | ||
| Altman-Z | 0.13 |
ROIC/WACC0.08
WACC7.76%
2.3 Liquidity
FG has a Current Ratio of 0.39. This is a bad value and indicates that FG is not financially healthy enough and could expect problems in meeting its short term obligations.
FG has a better Current ratio (0.39) than 71.43% of its industry peers.
A Quick Ratio of 0.39 indicates that FG may have some problems paying its short term obligations.
FG has a better Quick ratio (0.39) than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 2.41% over the past year.
Measured over the past years, FG shows a quite strong growth in Earnings Per Share. The EPS has been growing by 9.33% on average per year.
The Revenue has decreased by -2.94% in the past year.
The Revenue has been growing by 24.99% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)2.41%
EPS 3Y-11.8%
EPS 5Y9.33%
EPS Q2Q%0%
Revenue 1Y (TTM)-2.94%
Revenue growth 3Y13.4%
Revenue growth 5Y24.99%
Sales Q2Q%17.31%
3.2 Future
FG is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 16.74% yearly.
Based on estimates for the next years, FG will show a small growth in Revenue. The Revenue will grow by 7.12% on average per year.
EPS Next Y-1.96%
EPS Next 2Y16.88%
EPS Next 3Y16.74%
EPS Next 5YN/A
Revenue Next Year0.37%
Revenue Next 2Y6.71%
Revenue Next 3Y7.12%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 9.00 indicates a reasonable valuation of FG.
67.35% of the companies in the same industry are more expensive than FG, based on the Price/Earnings ratio.
Compared to an average S&P500 Price/Earnings ratio of 26.54, FG is valued rather cheaply.
The Price/Forward Earnings ratio is 5.92, which indicates a rather cheap valuation of FG.
Based on the Price/Forward Earnings ratio, FG is valued cheaper than 80.95% of the companies in the same industry.
When comparing the Price/Forward Earnings ratio of FG to the average of the S&P500 Index (23.78), we can say FG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9 | ||
| Fwd PE | 5.92 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FG is valued cheaply inside the industry as 86.39% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, FG is valued cheaper than 95.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.96 | ||
| EV/EBITDA | 3.45 |
4.3 Compensation for Growth
FG's earnings are expected to grow with 16.74% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.96
EPS Next 2Y16.88%
EPS Next 3Y16.74%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.74%, FG has a reasonable but not impressive dividend return.
FG's Dividend Yield is a higher than the industry average which is at 3.42.
FG's Dividend Yield is a higher than the S&P500 average which is at 2.27.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.74% |
5.2 History
FG has been paying a dividend for over 5 years, so it has already some track record.
FG has decreased its dividend recently.
Dividend Growth(5Y)N/A
Div Incr Years1
Div Non Decr Years1
5.3 Sustainability
29.31% of the earnings are spent on dividend by FG. This is a low number and sustainable payout ratio.
DP29.31%
EPS Next 2Y16.88%
EPS Next 3Y16.74%
34.46
-0.47 (-1.35%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners95.99%
Inst Owner Change0%
Ins Owners2.47%
Ins Owner Change0.47%
Market Cap4.64B
Revenue(TTM)5.55B
Net Income(TTM)447.00M
Analysts42
Price Target34.68 (0.64%)
Short Float %0.51%
Short Ratio3.92
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.74% |
Yearly Dividend0.96
Dividend Growth(5Y)N/A
DP29.31%
Div Incr Years1
Div Non Decr Years1
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)26.36%
Min EPS beat(2)21.8%
Max EPS beat(2)30.92%
EPS beat(4)2
Avg EPS beat(4)3.95%
Min EPS beat(4)-27.3%
Max EPS beat(4)30.92%
EPS beat(8)3
Avg EPS beat(8)-5.36%
EPS beat(12)4
Avg EPS beat(12)-6.88%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)2
Avg Revenue beat(2)14.7%
Min Revenue beat(2)12.08%
Max Revenue beat(2)17.31%
Revenue beat(4)3
Avg Revenue beat(4)0.6%
Min Revenue beat(4)-40.15%
Max Revenue beat(4)17.31%
Revenue beat(8)6
Avg Revenue beat(8)6.89%
Revenue beat(12)8
Avg Revenue beat(12)3.79%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)-11.69%
EPS NQ rev (1m)8.94%
EPS NQ rev (3m)9.92%
EPS NY rev (1m)10.04%
EPS NY rev (3m)8.57%
Revenue NQ rev (1m)6.34%
Revenue NQ rev (3m)6.34%
Revenue NY rev (1m)7.5%
Revenue NY rev (3m)7.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9 | ||
| Fwd PE | 5.92 | ||
| P/S | 0.84 | ||
| P/FCF | 0.96 | ||
| P/OCF | 0.96 | ||
| P/B | 0.96 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.45 |
EPS(TTM)3.83
EY11.11%
EPS(NY)5.82
Fwd EY16.89%
FCF(TTM)35.77
FCFY103.82%
OCF(TTM)35.9
OCFY104.18%
SpS41.2
BVpS35.83
TBVpS-25.65
PEG (NY)N/A
PEG (5Y)0.96
Graham Number55.57
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.46% | ||
| ROE | 9.27% | ||
| ROCE | 0.79% | ||
| ROIC | 0.65% | ||
| ROICexc | 0.66% | ||
| ROICexgc | 0.94% | ||
| OM | 13.25% | ||
| PM (TTM) | 8.06% | ||
| GM | N/A | ||
| FCFM | 86.82% |
ROA(3y)0.51%
ROA(5y)0.57%
ROE(3y)11.29%
ROE(5y)9.72%
ROIC(3y)0.65%
ROIC(5y)N/A
ROICexc(3y)0.67%
ROICexc(5y)N/A
ROICexgc(3y)0.83%
ROICexgc(5y)N/A
ROCE(3y)0.79%
ROCE(5y)N/A
ROICexgc growth 3Y-16.01%
ROICexgc growth 5YN/A
ROICexc growth 3Y-22.32%
ROICexc growth 5YN/A
OM growth 3Y-17.37%
OM growth 5Y-8.02%
PM growth 3Y-21%
PM growth 5Y-11.75%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.06
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.46 | ||
| Debt/FCF | 0.46 | ||
| Debt/EBITDA | 1.62 | ||
| Cap/Depr | 2.64% | ||
| Cap/Sales | 0.31% | ||
| Interest Coverage | 5.14 | ||
| Cash Conversion | 350.73% | ||
| Profit Quality | 1077.4% | ||
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 | ||
| Altman-Z | 0.13 |
F-Score7
WACC7.76%
ROIC/WACC0.08
Cap/Depr(3y)6.83%
Cap/Depr(5y)13.24%
Cap/Sales(3y)0.8%
Cap/Sales(5y)1.05%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)2.41%
EPS 3Y-11.8%
EPS 5Y9.33%
EPS Q2Q%0%
EPS Next Y-1.96%
EPS Next 2Y16.88%
EPS Next 3Y16.74%
EPS Next 5YN/A
Revenue 1Y (TTM)-2.94%
Revenue growth 3Y13.4%
Revenue growth 5Y24.99%
Sales Q2Q%17.31%
Revenue Next Year0.37%
Revenue Next 2Y6.71%
Revenue Next 3Y7.12%
Revenue Next 5YN/A
EBIT growth 1Y562.16%
EBIT growth 3Y-6.3%
EBIT growth 5Y14.97%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-1.09%
FCF growth 3Y48.14%
FCF growth 5Y56.47%
OCF growth 1Y-1.29%
OCF growth 3Y47.46%
OCF growth 5Y55.87%
F&G ANNUITIES & LIFE INC / FG FAQ
What is the ChartMill fundamental rating of F&G ANNUITIES & LIFE INC (FG) stock?
ChartMill assigns a fundamental rating of 4 / 10 to FG.
What is the valuation status for FG stock?
ChartMill assigns a valuation rating of 7 / 10 to F&G ANNUITIES & LIFE INC (FG). This can be considered as Undervalued.
What is the profitability of FG stock?
F&G ANNUITIES & LIFE INC (FG) has a profitability rating of 2 / 10.
Can you provide the expected EPS growth for FG stock?
The Earnings per Share (EPS) of F&G ANNUITIES & LIFE INC (FG) is expected to decline by -1.96% in the next year.
Is the dividend of F&G ANNUITIES & LIFE INC sustainable?
The dividend rating of F&G ANNUITIES & LIFE INC (FG) is 4 / 10 and the dividend payout ratio is 29.31%.