GOOSEHEAD INSURANCE INC -A (GSHD)
US38267D1090 - Common Stock
We assign a fundamental rating of 5 out of 10 to GSHD. GSHD was compared to 141 industry peers in the Insurance industry. GSHD has only an average score on both its financial health and profitability. GSHD is valued quite expensive, but it does show an excellent growth. These ratings would make GSHD suitable for growth investing!
1. Profitability
1.1 Basic Checks
GSHD had positive earnings in the past year.
GSHD had a positive operating cash flow in the past year.
In the past 5 years GSHD has always been profitable.
Each year in the past 5 years GSHD had a positive operating cash flow.
1.2 Ratios
The Return On Assets of GSHD (5.36%) is better than 82.86% of its industry peers.
The Return On Equity of GSHD (32.89%) is better than 95.00% of its industry peers.
GSHD has a better Return On Invested Capital (10.58%) than 95.00% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GSHD is in line with the industry average of 4.38%.
The 3 year average ROIC (5.11%) for GSHD is below the current ROIC(10.58%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.36% | ||
| ROE | 32.89% | ||
| ROIC | 10.58% |
ROA(3y)2.06%
ROA(5y)3.35%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.11%
ROIC(5y)8.92%
1.3 Margins
The Profit Margin of GSHD (6.77%) is comparable to the rest of the industry.
In the last couple of years the Profit Margin of GSHD has declined.
GSHD has a Operating Margin of 14.10%. This is in the better half of the industry: GSHD outperforms 62.14% of its industry peers.
In the last couple of years the Operating Margin of GSHD has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 14.1% | ||
| PM (TTM) | 6.77% | ||
| GM | N/A |
OM growth 3Y-9.48%
OM growth 5YN/A
PM growth 3Y-12.03%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
GSHD has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
GSHD has more shares outstanding than it did 1 year ago.
GSHD has more shares outstanding than it did 5 years ago.
GSHD has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 8.64 indicates that GSHD is not in any danger for bankruptcy at the moment.
GSHD has a better Altman-Z score (8.64) than 99.29% of its industry peers.
The Debt to FCF ratio of GSHD is 1.60, which is an excellent value as it means it would take GSHD, only 1.60 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of GSHD (1.60) is comparable to the rest of the industry.
GSHD has a Debt/Equity ratio of 1.45. This is a high value indicating a heavy dependency on external financing.
With a Debt to Equity ratio value of 1.45, GSHD is not doing good in the industry: 91.43% of the companies in the same industry are doing better.
Even though the debt/equity ratio score it not favorable for GSHD, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 1.6 | ||
| Altman-Z | 8.64 |
ROIC/WACC1.17
WACC9.08%
2.3 Liquidity
GSHD has a Current Ratio of 0.06. This is a bad value and indicates that GSHD is not financially healthy enough and could expect problems in meeting its short term obligations.
GSHD has a Current ratio of 0.06. This is in the better half of the industry: GSHD outperforms 65.00% of its industry peers.
A Quick Ratio of 0.06 indicates that GSHD may have some problems paying its short term obligations.
GSHD has a Quick ratio of 0.06. This is in the better half of the industry: GSHD outperforms 65.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.06 | ||
| Quick Ratio | 0.06 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 29.57% over the past year.
GSHD shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 38.39% yearly.
Looking at the last year, GSHD shows a quite strong growth in Revenue. The Revenue has grown by 10.92% in the last year.
Measured over the past years, GSHD shows a very strong growth in Revenue. The Revenue has been growing by 34.17% on average per year.
EPS 1Y (TTM)29.57%
EPS 3Y20.74%
EPS 5Y38.39%
EPS Q2Q%8.7%
Revenue 1Y (TTM)10.92%
Revenue growth 3Y30.71%
Revenue growth 5Y34.17%
Sales Q2Q%9.86%
3.2 Future
The Earnings Per Share is expected to grow by 27.85% on average over the next years. This is a very strong growth
GSHD is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 27.95% yearly.
EPS Next Y23.71%
EPS Next 2Y28.17%
EPS Next 3Y31.61%
EPS Next 5Y27.85%
Revenue Next Year12.16%
Revenue Next 2Y18.53%
Revenue Next 3Y21.65%
Revenue Next 5Y27.95%
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
GSHD is valuated quite expensively with a Price/Earnings ratio of 71.27.
Based on the Price/Earnings ratio, GSHD is valued expensively inside the industry as 83.57% of the companies are valued cheaper.
When comparing the Price/Earnings ratio of GSHD to the average of the S&P500 Index (27.20), we can say GSHD is valued expensively.
A Price/Forward Earnings ratio of 48.97 indicates a quite expensive valuation of GSHD.
Based on the Price/Forward Earnings ratio, GSHD is valued a bit more expensive than 79.29% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 23.73. GSHD is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 71.27 | ||
| Fwd PE | 48.97 |
4.2 Price Multiples
67.86% of the companies in the same industry are cheaper than GSHD, based on the Enterprise Value to EBITDA ratio.
75.71% of the companies in the same industry are cheaper than GSHD, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 66.64 | ||
| EV/EBITDA | 78.81 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates GSHD does not grow enough to justify the current Price/Earnings ratio.
GSHD has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as GSHD's earnings are expected to grow with 31.61% in the coming years.
PEG (NY)3.01
PEG (5Y)1.86
EPS Next 2Y28.17%
EPS Next 3Y31.61%
5. Dividend
5.1 Amount
No dividends for GSHD!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
GOOSEHEAD INSURANCE INC -A
NASDAQ:GSHD (12/20/2024, 8:15:42 PM)
Premarket: 106.73 +0.54 (+0.51%)106.19
-1.5 (-1.39%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners112.01%
Inst Owner Change-1.14%
Ins Owners3.13%
Ins Owner Change-8.15%
Market Cap3.94B
Analysts72.94
Price Target108.23 (1.92%)
Short Float %13.84%
Short Ratio13.75
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)N/A
DP36.12%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.09%
Min EPS beat(2)7.84%
Max EPS beat(2)8.34%
EPS beat(4)3
Avg EPS beat(4)8.21%
Min EPS beat(4)-16.43%
Max EPS beat(4)33.08%
EPS beat(8)6
Avg EPS beat(8)56.11%
EPS beat(12)8
Avg EPS beat(12)46.79%
EPS beat(16)10
Avg EPS beat(16)34.46%
Revenue beat(2)1
Avg Revenue beat(2)-1.01%
Min Revenue beat(2)-5.14%
Max Revenue beat(2)3.12%
Revenue beat(4)1
Avg Revenue beat(4)-3.69%
Min Revenue beat(4)-9.51%
Max Revenue beat(4)3.12%
Revenue beat(8)5
Avg Revenue beat(8)0.4%
Revenue beat(12)7
Avg Revenue beat(12)0.19%
Revenue beat(16)10
Avg Revenue beat(16)1.23%
PT rev (1m)17.47%
PT rev (3m)30.64%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.31%
EPS NY rev (1m)0.04%
EPS NY rev (3m)5.17%
Revenue NQ rev (1m)2.02%
Revenue NQ rev (3m)-0.22%
Revenue NY rev (1m)-0.17%
Revenue NY rev (3m)-0.64%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 71.27 | ||
| Fwd PE | 48.97 | ||
| P/S | 13.9 | ||
| P/FCF | 66.64 | ||
| P/OCF | 54.3 | ||
| P/B | 67.54 | ||
| P/tB | 112.22 | ||
| EV/EBITDA | 78.81 |
EPS(TTM)1.49
EY1.4%
EPS(NY)2.17
Fwd EY2.04%
FCF(TTM)1.59
FCFY1.5%
OCF(TTM)1.96
OCFY1.84%
SpS7.64
BVpS1.57
TBVpS0.95
PEG (NY)3.01
PEG (5Y)1.86
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.36% | ||
| ROE | 32.89% | ||
| ROCE | 15.04% | ||
| ROIC | 10.58% | ||
| ROICexc | 12.89% | ||
| ROICexgc | 14.77% | ||
| OM | 14.1% | ||
| PM (TTM) | 6.77% | ||
| GM | N/A | ||
| FCFM | 20.85% |
ROA(3y)2.06%
ROA(5y)3.35%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)5.11%
ROIC(5y)8.92%
ROICexc(3y)6.03%
ROICexc(5y)11.34%
ROICexgc(3y)6.53%
ROICexgc(5y)12.01%
ROCE(3y)7.26%
ROCE(5y)12.67%
ROICexcg growth 3Y-3.97%
ROICexcg growth 5YN/A
ROICexc growth 3Y-5.92%
ROICexc growth 5YN/A
OM growth 3Y-9.48%
OM growth 5YN/A
PM growth 3Y-12.03%
PM growth 5YN/A
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.45 | ||
| Debt/FCF | 1.6 | ||
| Debt/EBITDA | 1.67 | ||
| Cap/Depr | 126.4% | ||
| Cap/Sales | 4.74% | ||
| Interest Coverage | 5.96 | ||
| Cash Conversion | 143.42% | ||
| Profit Quality | 308.13% | ||
| Current Ratio | 0.06 | ||
| Quick Ratio | 0.06 | ||
| Altman-Z | 8.64 |
F-Score7
WACC9.08%
ROIC/WACC1.17
Cap/Depr(3y)226.51%
Cap/Depr(5y)232.14%
Cap/Sales(3y)7.83%
Cap/Sales(5y)7.53%
Profit Quality(3y)1482.27%
Profit Quality(5y)1015.27%
High Growth Momentum
Growth
EPS 1Y (TTM)29.57%
EPS 3Y20.74%
EPS 5Y38.39%
EPS Q2Q%8.7%
EPS Next Y23.71%
EPS Next 2Y28.17%
EPS Next 3Y31.61%
EPS Next 5Y27.85%
Revenue 1Y (TTM)10.92%
Revenue growth 3Y30.71%
Revenue growth 5Y34.17%
Sales Q2Q%9.86%
Revenue Next Year12.16%
Revenue Next 2Y18.53%
Revenue Next 3Y21.65%
Revenue Next 5Y27.95%
EBIT growth 1Y20.95%
EBIT growth 3Y18.31%
EBIT growth 5YN/A
EBIT Next Year98.48%
EBIT Next 3Y51.76%
EBIT Next 5YN/A
FCF growth 1Y202.49%
FCF growth 3Y30.49%
FCF growth 5Y31.58%
OCF growth 1Y74.2%
OCF growth 3Y27.24%
OCF growth 5Y37.63%