F&G ANNUITIES & LIFE INC (FG) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:FG - US30190A1043 - Common Stock
33.4 USD
+0.39 (+1.18%)
33.4 USD
0 (0%)
We assign a fundamental rating of 4 out of 10 to FG. FG was compared to 147 industry peers in the Insurance industry. FG scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. FG may be a bit undervalued, certainly considering the very reasonable score on growth
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 has a worse Return On Assets (0.46%) than 78.23% of its industry peers.
FG has a Return On Equity (9.27%) which is comparable to the rest of the industry.
FG has a worse Return On Invested Capital (0.65%) than 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
Looking at the Profit Margin, with a value of 8.06%, FG is in line with its industry, outperforming 48.98% of the companies in the same industry.
FG's Profit Margin has declined in the last couple of years.
With a Operating Margin value of 13.25%, FG perfoms like the industry average, outperforming 54.42% of the companies in the same industry.
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so FG is destroying value.
FG has more shares outstanding than it did 1 year ago.
The debt/assets ratio for FG is higher compared to a year ago.
2.2 Solvency
Based on the Altman-Z score of 0.13, we must say that FG is in the distress zone and has some risk of bankruptcy.
With a decent Altman-Z score value of 0.13, FG is doing good in the industry, outperforming 66.67% of the companies in the same industry.
The Debt to FCF ratio of FG is 0.46, which is an excellent value as it means it would take FG, only 0.46 years of fcf income to pay off all of its debts.
FG's Debt to FCF ratio of 0.46 is amongst the best of the industry. FG outperforms 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.
With a Debt to Equity ratio value of 0.46, FG is not doing good in the industry: 66.67% of the companies in the same industry are doing better.
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
A Current Ratio of 0.39 indicates that FG may have some problems paying its short term obligations.
FG has a better Current ratio (0.39) than 71.43% of its industry peers.
FG has a Quick 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.
With a decent Quick ratio value of 0.39, FG is doing good in the industry, outperforming 71.43% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.39 | ||
| Quick Ratio | 0.39 |
3. Growth
3.1 Past
FG shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 2.41%.
FG shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 9.33% yearly.
Looking at the last year, FG shows a decrease in Revenue. The Revenue has decreased by -2.94% in the last year.
Measured over the past years, FG shows a very strong growth in Revenue. The Revenue has been growing by 24.99% on average per year.
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
Based on estimates for the next years, FG will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.74% on average per year.
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
With a Price/Earnings ratio of 8.72, the valuation of FG can be described as very reasonable.
Based on the Price/Earnings ratio, FG is valued a bit cheaper than 68.71% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 26.28. FG is valued rather cheaply when compared to this.
A Price/Forward Earnings ratio of 5.74 indicates a rather cheap valuation of FG.
80.95% of the companies in the same industry are more expensive than FG, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of FG to the average of the S&P500 Index (23.52), we can say FG is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.72 | ||
| Fwd PE | 5.74 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, FG is valued cheaply inside the industry as 87.07% of the companies are valued more expensively.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of FG indicates a rather cheap valuation: FG is cheaper than 95.92% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 0.93 | ||
| EV/EBITDA | 3.26 |
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)0.93
EPS Next 2Y16.88%
EPS Next 3Y16.74%
5. Dividend
5.1 Amount
FG has a Yearly Dividend Yield of 2.74%.
FG's Dividend Yield is a higher than the industry average which is at 3.48.
Compared to an average S&P500 Dividend Yield of 2.31, FG has a dividend comparable with the average S&P500 company.
| 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.
The dividend of FG decreased 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%
33.4
+0.39 (+1.18%)
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 Cap4.50B
Revenue(TTM)5.55B
Net Income(TTM)447.00M
Analysts42
Price Target34.68 (3.83%)
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 | 8.72 | ||
| Fwd PE | 5.74 | ||
| P/S | 0.81 | ||
| P/FCF | 0.93 | ||
| P/OCF | 0.93 | ||
| P/B | 0.93 | ||
| P/tB | N/A | ||
| EV/EBITDA | 3.26 |
EPS(TTM)3.83
EY11.47%
EPS(NY)5.82
Fwd EY17.42%
FCF(TTM)35.77
FCFY107.11%
OCF(TTM)35.9
OCFY107.49%
SpS41.2
BVpS35.83
TBVpS-25.65
PEG (NY)N/A
PEG (5Y)0.93
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%.