HCI GROUP INC (HCI) Stock Fundamental Analysis
USA - NYSE:HCI - US40416E1038 - Common Stock
204.01 USD
+2.01 (+1%)
204.01 USD
0 (0%)
HCI gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 147 industry peers in the Insurance industry. While HCI has a great profitability rating, there are some minor concerns on its financial health. HCI is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings could make HCI a good candidate for growth investing.
1. Profitability
1.1 Basic Checks
In the past year HCI was profitable.
HCI had a positive operating cash flow in the past year.
HCI had positive earnings in 4 of the past 5 years.
HCI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
HCI has a Return On Assets of 5.86%. This is amongst the best in the industry. HCI outperforms 89.12% of its industry peers.
HCI's Return On Equity of 18.16% is amongst the best of the industry. HCI outperforms 82.99% of its industry peers.
With an excellent Return On Invested Capital value of 7.66%, HCI belongs to the best of the industry, outperforming 91.16% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.86% | ||
| ROE | 18.16% | ||
| ROIC | 7.66% |
ROA(3y)1.97%
ROA(5y)1.77%
ROE(3y)4.34%
ROE(5y)5.31%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
HCI has a better Profit Margin (17.74%) than 87.07% of its industry peers.
HCI's Profit Margin has improved in the last couple of years.
The Operating Margin of HCI (29.59%) is better than 95.24% of its industry peers.
In the last couple of years the Operating Margin of HCI has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 29.59% | ||
| PM (TTM) | 17.74% | ||
| GM | N/A |
OM growth 3Y83.48%
OM growth 5Y3.9%
PM growth 3Y215.92%
PM growth 5Y6.5%
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), HCI is destroying value.
HCI has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, HCI has more shares outstanding
Compared to 1 year ago, HCI has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 1.84 indicates that HCI is not a great score, but indicates only limited risk for bankruptcy at the moment.
HCI has a better Altman-Z score (1.84) than 88.44% of its industry peers.
HCI has a debt to FCF ratio of 0.12. This is a very positive value and a sign of high solvency as it would only need 0.12 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.12, HCI belongs to the top of the industry, outperforming 91.84% of the companies in the same industry.
A Debt/Equity ratio of 0.07 indicates that HCI is not too dependend on debt financing.
The Debt to Equity ratio of HCI (0.07) is better than 78.23% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.12 | ||
| Altman-Z | 1.84 |
ROIC/WACC0.91
WACC8.41%
2.3 Liquidity
HCI has a Current Ratio of 0.05. This is a bad value and indicates that HCI is not financially healthy enough and could expect problems in meeting its short term obligations.
The Current ratio of HCI (0.05) is better than 62.59% of its industry peers.
HCI has a Quick Ratio of 0.05. This is a bad value and indicates that HCI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a decent Quick ratio value of 0.05, HCI is doing good in the industry, outperforming 62.59% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 |
3. Growth
3.1 Past
HCI shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -10.73%.
HCI shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 22.91% yearly.
Looking at the last year, HCI shows a quite strong growth in Revenue. The Revenue has grown by 9.93% in the last year.
Measured over the past years, HCI shows a very strong growth in Revenue. The Revenue has been growing by 25.22% on average per year.
EPS 1Y (TTM)-10.73%
EPS 3Y342.08%
EPS 5Y22.91%
EPS Q2Q%20.9%
Revenue 1Y (TTM)9.93%
Revenue growth 3Y22.37%
Revenue growth 5Y25.22%
Sales Q2Q%7.6%
3.2 Future
HCI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.02% yearly.
Based on estimates for the next years, HCI will show a quite strong growth in Revenue. The Revenue will grow by 12.90% on average per year.
EPS Next Y87.43%
EPS Next 2Y35.73%
EPS Next 3Y24.67%
EPS Next 5Y20.02%
Revenue Next Year17.76%
Revenue Next 2Y12.9%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
HCI is valuated rather expensively with a Price/Earnings ratio of 18.30.
Based on the Price/Earnings ratio, HCI is valued a bit more expensive than the industry average as 67.35% of the companies are valued more cheaply.
Compared to an average S&P500 Price/Earnings ratio of 26.19, HCI is valued a bit cheaper.
HCI is valuated correctly with a Price/Forward Earnings ratio of 12.82.
Compared to the rest of the industry, the Price/Forward Earnings ratio of HCI is on the same level as its industry peers.
The average S&P500 Price/Forward Earnings ratio is at 22.50. HCI is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.3 | ||
| Fwd PE | 12.82 |
4.2 Price Multiples
63.95% of the companies in the same industry are more expensive than HCI, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of HCI indicates a somewhat cheap valuation: HCI is cheaper than 70.75% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.49 | ||
| EV/EBITDA | 7.2 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of HCI may justify a higher PE ratio.
HCI's earnings are expected to grow with 24.67% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.21
PEG (5Y)0.8
EPS Next 2Y35.73%
EPS Next 3Y24.67%
5. Dividend
5.1 Amount
With a yearly dividend of 0.78%, HCI is not a good candidate for dividend investing.
HCI's Dividend Yield is slightly below the industry average, which is at 3.28.
With a Dividend Yield of 0.78, HCI pays less dividend than the S&P500 average, which is at 2.33.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.78% |
5.2 History
The dividend of HCI has a limited annual growth rate of 0.17%.
HCI has been paying a dividend for at least 10 years, so it has a reliable track record.
HCI has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)0.17%
Div Incr Years0
Div Non Decr Years14
5.3 Sustainability
12.60% of the earnings are spent on dividend by HCI. This is a low number and sustainable payout ratio.
The dividend of HCI is growing, but earnings are growing more, so the dividend growth is sustainable.
DP12.6%
EPS Next 2Y35.73%
EPS Next 3Y24.67%
204.01
+2.01 (+1%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners79.38%
Inst Owner Change0.76%
Ins Owners14.26%
Ins Owner Change0.76%
Market Cap2.64B
Revenue(TTM)776.79M
Net Income(TTM)137.79M
Analysts86.67
Price Target206.55 (1.25%)
Short Float %4.7%
Short Ratio3.1
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.78% |
Yearly Dividend1.62
Dividend Growth(5Y)0.17%
DP12.6%
Div Incr Years0
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.37%
Min EPS beat(2)7.78%
Max EPS beat(2)10.96%
EPS beat(4)4
Avg EPS beat(4)51.02%
Min EPS beat(4)7.78%
Max EPS beat(4)111.92%
EPS beat(8)8
Avg EPS beat(8)114.31%
EPS beat(12)12
Avg EPS beat(12)224.92%
EPS beat(16)14
Avg EPS beat(16)112.32%
Revenue beat(2)1
Avg Revenue beat(2)0.03%
Min Revenue beat(2)-0.28%
Max Revenue beat(2)0.34%
Revenue beat(4)1
Avg Revenue beat(4)-2.75%
Min Revenue beat(4)-8.88%
Max Revenue beat(4)0.34%
Revenue beat(8)5
Avg Revenue beat(8)1.88%
Revenue beat(12)7
Avg Revenue beat(12)0.9%
Revenue beat(16)11
Avg Revenue beat(16)7.54%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)98.09%
EPS NQ rev (3m)34.24%
EPS NY rev (1m)-1.48%
EPS NY rev (3m)5.16%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-1.21%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.41%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.3 | ||
| Fwd PE | 12.82 | ||
| P/S | 3.4 | ||
| P/FCF | 5.49 | ||
| P/OCF | 5.44 | ||
| P/B | 3.49 | ||
| P/tB | 3.5 | ||
| EV/EBITDA | 7.2 |
EPS(TTM)11.15
EY5.47%
EPS(NY)15.92
Fwd EY7.8%
FCF(TTM)37.16
FCFY18.21%
OCF(TTM)37.49
OCFY18.38%
SpS59.94
BVpS58.53
TBVpS58.23
PEG (NY)0.21
PEG (5Y)0.8
Graham Number121.18
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.86% | ||
| ROE | 18.16% | ||
| ROCE | 10.44% | ||
| ROIC | 7.66% | ||
| ROICexc | 13.26% | ||
| ROICexgc | 20.67% | ||
| OM | 29.59% | ||
| PM (TTM) | 17.74% | ||
| GM | N/A | ||
| FCFM | 61.99% |
ROA(3y)1.97%
ROA(5y)1.77%
ROE(3y)4.34%
ROE(5y)5.31%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3Y65.67%
ROICexgc growth 5Y7.68%
ROICexc growth 3Y52.3%
ROICexc growth 5Y4.65%
OM growth 3Y83.48%
OM growth 5Y3.9%
PM growth 3Y215.92%
PM growth 5Y6.5%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.07 | ||
| Debt/FCF | 0.12 | ||
| Debt/EBITDA | 0.24 | ||
| Cap/Depr | 99.26% | ||
| Cap/Sales | 0.55% | ||
| Interest Coverage | 21.51 | ||
| Cash Conversion | 207.51% | ||
| Profit Quality | 349.48% | ||
| Current Ratio | 0.05 | ||
| Quick Ratio | 0.05 | ||
| Altman-Z | 1.84 |
F-Score5
WACC8.41%
ROIC/WACC0.91
Cap/Depr(3y)84.29%
Cap/Depr(5y)77.24%
Cap/Sales(3y)1%
Cap/Sales(5y)1.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-10.73%
EPS 3Y342.08%
EPS 5Y22.91%
EPS Q2Q%20.9%
EPS Next Y87.43%
EPS Next 2Y35.73%
EPS Next 3Y24.67%
EPS Next 5Y20.02%
Revenue 1Y (TTM)9.93%
Revenue growth 3Y22.37%
Revenue growth 5Y25.22%
Sales Q2Q%7.6%
Revenue Next Year17.76%
Revenue Next 2Y12.9%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-26.32%
EBIT growth 3Y124.51%
EBIT growth 5Y30.1%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y2441.01%
FCF growth 3Y52.08%
FCF growth 5Y45.02%
OCF growth 1Y3195.09%
OCF growth 3Y50.93%
OCF growth 5Y43.78%
HCI GROUP INC / HCI FAQ
Can you provide the ChartMill fundamental rating for HCI GROUP INC?
ChartMill assigns a fundamental rating of 6 / 10 to HCI.
What is the valuation status of HCI GROUP INC (HCI) stock?
ChartMill assigns a valuation rating of 5 / 10 to HCI GROUP INC (HCI). This can be considered as Fairly Valued.
How profitable is HCI GROUP INC (HCI) stock?
HCI GROUP INC (HCI) has a profitability rating of 7 / 10.
What are the PE and PB ratios of HCI GROUP INC (HCI) stock?
The Price/Earnings (PE) ratio for HCI GROUP INC (HCI) is 18.3 and the Price/Book (PB) ratio is 3.49.
What is the expected EPS growth for HCI GROUP INC (HCI) stock?
The Earnings per Share (EPS) of HCI GROUP INC (HCI) is expected to grow by 87.43% in the next year.