KINSALE CAPITAL GROUP INC (KNSL) Stock Fundamental Analysis
NYSE:KNSL - New York Stock Exchange, Inc. - US49714P1084 - Common Stock - Currency: USD
Taking everything into account, KNSL scores 6 out of 10 in our fundamental rating. KNSL was compared to 144 industry peers in the Insurance industry. While KNSL belongs to the best of the industry regarding profitability, there are concerns on its financial health. KNSL shows excellent growth, but is valued quite expensive already.
1. Profitability
1.1 Basic Checks
KNSL had positive earnings in the past year.
KNSL had a positive operating cash flow in the past year.
In the past 5 years KNSL has always been profitable.
In the past 5 years KNSL always reported a positive cash flow from operatings.
1.2 Ratios
KNSL's Return On Assets of 8.65% is amongst the best of the industry. KNSL outperforms 95.07% of its industry peers.
KNSL has a better Return On Equity (28.51%) than 89.44% of its industry peers.
The Return On Invested Capital of KNSL (7.93%) is better than 89.44% of its industry peers.
KNSL had an Average Return On Invested Capital over the past 3 years of 7.21%. This is above the industry average of 4.61%.
The last Return On Invested Capital (7.93%) for KNSL is above the 3 year average (7.21%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.65% | ||
| ROE | 28.51% | ||
| ROIC | 7.93% |
ROA(3y)7.16%
ROA(5y)6.6%
ROE(3y)23.84%
ROE(5y)20.49%
ROIC(3y)7.21%
ROIC(5y)6.15%
1.3 Margins
KNSL's Profit Margin of 27.82% is amongst the best of the industry. KNSL outperforms 91.55% of its industry peers.
In the last couple of years the Profit Margin of KNSL has grown nicely.
The Operating Margin of KNSL (31.33%) is better than 92.96% of its industry peers.
KNSL's Operating Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 31.33% | ||
| PM (TTM) | 27.82% | ||
| GM | N/A |
OM growth 3Y18.57%
OM growth 5Y11.39%
PM growth 3Y8.45%
PM growth 5Y10.88%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
KNSL has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, KNSL has more shares outstanding
KNSL has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, KNSL has an improved debt to assets ratio.
2.2 Solvency
KNSL has a debt to FCF ratio of 0.19. This is a very positive value and a sign of high solvency as it would only need 0.19 years to pay back of all of its debts.
KNSL has a better Debt to FCF ratio (0.19) than 93.66% of its industry peers.
KNSL has a Debt/Equity ratio of 0.13. This is a healthy value indicating a solid balance between debt and equity.
With a decent Debt to Equity ratio value of 0.13, KNSL is doing good in the industry, outperforming 76.76% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 0.19 | ||
| Altman-Z | N/A |
ROIC/WACC0.87
WACC9.08%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
KNSL shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 36.42%, which is quite impressive.
KNSL shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 47.51% yearly.
KNSL shows a strong growth in Revenue. In the last year, the Revenue has grown by 33.39%.
The Revenue has been growing by 40.32% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)36.42%
EPS 3Y58.15%
EPS 5Y47.51%
EPS Q2Q%26.89%
Revenue 1Y (TTM)33.39%
Revenue growth 3Y39.79%
Revenue growth 5Y40.32%
Sales Q2Q%32.98%
3.2 Future
The Earnings Per Share is expected to grow by 19.14% on average over the next years. This is quite good.
KNSL is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 22.52% yearly.
EPS Next Y27.55%
EPS Next 2Y21.25%
EPS Next 3Y19.87%
EPS Next 5Y19.14%
Revenue Next Year34.89%
Revenue Next 2Y25.25%
Revenue Next 3Y22.52%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past 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
KNSL is valuated quite expensively with a Price/Earnings ratio of 28.86.
KNSL's Price/Earnings ratio is a bit more expensive when compared to the industry. KNSL is more expensive than 76.06% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.39, KNSL is valued at the same level.
With a Price/Forward Earnings ratio of 24.06, KNSL is valued on the expensive side.
Based on the Price/Forward Earnings ratio, KNSL is valued a bit more expensive than 72.54% of the companies in the same industry.
KNSL's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 24.37.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.86 | ||
| Fwd PE | 24.06 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KNSL is valued a bit more expensive than the industry average as 61.27% of the companies are valued more cheaply.
KNSL's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 10.72 | ||
| EV/EBITDA | 22.45 |
4.3 Compensation for Growth
KNSL's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
KNSL has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as KNSL's earnings are expected to grow with 19.87% in the coming years.
PEG (NY)1.05
PEG (5Y)0.61
EPS Next 2Y21.25%
EPS Next 3Y19.87%
5. Dividend
5.1 Amount
With a yearly dividend of 0.14%, KNSL is not a good candidate for dividend investing.
KNSL's Dividend Yield is slightly below the industry average, which is at 3.11.
Compared to an average S&P500 Dividend Yield of 2.27, KNSL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
5.2 History
The dividend of KNSL is nicely growing with an annual growth rate of 14.92%!
KNSL has been paying a dividend for over 5 years, so it has already some track record.
KNSL has not decreased its dividend in the past 5 years, so it has a somewhat stable track record.
Dividend Growth(5Y)14.92%
Div Incr Years8
Div Non Decr Years8
5.3 Sustainability
3.35% of the earnings are spent on dividend by KNSL. This is a low number and sustainable payout ratio.
KNSL's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP3.35%
EPS Next 2Y21.25%
EPS Next 3Y19.87%
KINSALE CAPITAL GROUP INC
NYSE:KNSL (1/28/2025, 4:23:06 PM)
After market: 442.1 0 (0%)442.1
-2.18 (-0.49%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners88.88%
Inst Owner Change0.1%
Ins Owners5.34%
Ins Owner Change-1.23%
Market Cap10.30B
Analysts71.58
Price Target489.6 (10.74%)
Short Float %5.81%
Short Ratio8.16
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.14% |
Yearly Dividend0.56
Dividend Growth(5Y)14.92%
DP3.35%
Div Incr Years8
Div Non Decr Years8
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)9.34%
Min EPS beat(2)4.29%
Max EPS beat(2)14.39%
EPS beat(4)4
Avg EPS beat(4)8.29%
Min EPS beat(4)2.67%
Max EPS beat(4)14.39%
EPS beat(8)8
Avg EPS beat(8)11.09%
EPS beat(12)12
Avg EPS beat(12)13.13%
EPS beat(16)16
Avg EPS beat(16)19.27%
Revenue beat(2)2
Avg Revenue beat(2)1.73%
Min Revenue beat(2)1.19%
Max Revenue beat(2)2.26%
Revenue beat(4)4
Avg Revenue beat(4)2.57%
Min Revenue beat(4)1.19%
Max Revenue beat(4)3.46%
Revenue beat(8)5
Avg Revenue beat(8)0.46%
Revenue beat(12)9
Avg Revenue beat(12)1.41%
Revenue beat(16)12
Avg Revenue beat(16)1.72%
PT rev (1m)3.03%
PT rev (3m)5.59%
EPS NQ rev (1m)0%
EPS NQ rev (3m)4.61%
EPS NY rev (1m)0%
EPS NY rev (3m)3.49%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.74%
Revenue NY rev (1m)-0.31%
Revenue NY rev (3m)0.56%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.86 | ||
| Fwd PE | 24.06 | ||
| P/S | 7 | ||
| P/FCF | 10.72 | ||
| P/OCF | 10.56 | ||
| P/B | 7.18 | ||
| P/tB | 7.19 | ||
| EV/EBITDA | 22.45 |
EPS(TTM)15.32
EY3.47%
EPS(NY)18.38
Fwd EY4.16%
FCF(TTM)41.24
FCFY9.33%
OCF(TTM)41.86
OCFY9.47%
SpS63.15
BVpS61.61
TBVpS61.46
PEG (NY)1.05
PEG (5Y)0.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.65% | ||
| ROE | 28.51% | ||
| ROCE | 9.82% | ||
| ROIC | 7.93% | ||
| ROICexc | 8.13% | ||
| ROICexgc | 8.95% | ||
| OM | 31.33% | ||
| PM (TTM) | 27.82% | ||
| GM | N/A | ||
| FCFM | 65.31% |
ROA(3y)7.16%
ROA(5y)6.6%
ROE(3y)23.84%
ROE(5y)20.49%
ROIC(3y)7.21%
ROIC(5y)6.15%
ROICexc(3y)7.58%
ROICexc(5y)6.52%
ROICexgc(3y)8.41%
ROICexgc(5y)7.23%
ROCE(3y)8.92%
ROCE(5y)7.62%
ROICexcg growth 3Y22.61%
ROICexcg growth 5Y11.6%
ROICexc growth 3Y22.57%
ROICexc growth 5Y12.35%
OM growth 3Y18.57%
OM growth 5Y11.39%
PM growth 3Y8.45%
PM growth 5Y10.88%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.31
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 0.19 | ||
| Debt/EBITDA | 0.4 | ||
| Cap/Depr | 435.64% | ||
| Cap/Sales | 0.97% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 210.05% | ||
| Profit Quality | 234.79% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC9.08%
ROIC/WACC0.87
Cap/Depr(3y)237.31%
Cap/Depr(5y)1135.54%
Cap/Sales(3y)0.77%
Cap/Sales(5y)3.24%
Profit Quality(3y)295.31%
Profit Quality(5y)283.22%
High Growth Momentum
Growth
EPS 1Y (TTM)36.42%
EPS 3Y58.15%
EPS 5Y47.51%
EPS Q2Q%26.89%
EPS Next Y27.55%
EPS Next 2Y21.25%
EPS Next 3Y19.87%
EPS Next 5Y19.14%
Revenue 1Y (TTM)33.39%
Revenue growth 3Y39.79%
Revenue growth 5Y40.32%
Sales Q2Q%32.98%
Revenue Next Year34.89%
Revenue Next 2Y25.25%
Revenue Next 3Y22.52%
Revenue Next 5YN/A
EBIT growth 1Y38.25%
EBIT growth 3Y65.75%
EBIT growth 5Y56.31%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y72.78%
FCF growth 3Y51.15%
FCF growth 5Y52.72%
OCF growth 1Y73.5%
OCF growth 3Y45.36%
OCF growth 5Y52.58%