RENAISSANCERE HOLDINGS LTD (RNR) Stock Fundamental Analysis
USA - NYSE:RNR - BMG7496G1033 - Common Stock
269.45 USD
+3.18 (+1.19%)
269.45 USD
0 (0%)
RNR gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 146 industry peers in the Insurance industry. RNR has only an average score on both its financial health and profitability. RNR may be a bit undervalued, certainly considering the very reasonable score on growth This makes RNR very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year RNR was profitable.
In the past year RNR had a positive cash flow from operations.
In multiple years RNR reported negative net income over the last 5 years.
In the past 5 years RNR always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 3.06%, RNR is in the better half of the industry, outperforming 66.44% of the companies in the same industry.
With a decent Return On Equity value of 14.51%, RNR is doing good in the industry, outperforming 69.18% of the companies in the same industry.
RNR has a Return On Invested Capital of 4.30%. This is in the better half of the industry: RNR outperforms 73.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.06% | ||
| ROE | 14.51% | ||
| ROIC | 4.3% |
ROA(3y)1.88%
ROA(5y)1.55%
ROE(3y)7.6%
ROE(5y)6.25%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
RNR has a Profit Margin of 13.59%. This is in the better half of the industry: RNR outperforms 77.40% of its industry peers.
RNR's Profit Margin has declined in the last couple of years.
RNR has a Operating Margin of 24.04%. This is amongst the best in the industry. RNR outperforms 88.36% of its industry peers.
In the last couple of years the Operating Margin of RNR has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 24.04% | ||
| PM (TTM) | 13.59% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5Y3.17%
PM growth 3YN/A
PM growth 5Y-2%
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), RNR is destroying value.
RNR has less shares outstanding than it did 1 year ago.
The number of shares outstanding for RNR has been increased compared to 5 years ago.
RNR has a better debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of 0.83, we must say that RNR is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of RNR (0.83) is better than 77.40% of its industry peers.
The Debt to FCF ratio of RNR is 0.56, which is an excellent value as it means it would take RNR, only 0.56 years of fcf income to pay off all of its debts.
RNR's Debt to FCF ratio of 0.56 is fine compared to the rest of the industry. RNR outperforms 78.77% of its industry peers.
A Debt/Equity ratio of 0.19 indicates that RNR is not too dependend on debt financing.
RNR's Debt to Equity ratio of 0.19 is fine compared to the rest of the industry. RNR outperforms 69.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 0.56 | ||
| Altman-Z | 0.83 |
ROIC/WACC0.53
WACC8.11%
2.3 Liquidity
A Current Ratio of 0.18 indicates that RNR may have some problems paying its short term obligations.
The Current ratio of RNR (0.18) is better than 67.81% of its industry peers.
RNR has a Quick Ratio of 0.18. This is a bad value and indicates that RNR is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of RNR (0.18) is better than 67.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 |
3. Growth
3.1 Past
RNR shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.99%.
The Earnings Per Share has been growing by 36.08% on average over the past years. This is a very strong growth
Looking at the last year, RNR shows a small growth in Revenue. The Revenue has grown by 6.33% in the last year.
RNR shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 23.24% yearly.
EPS 1Y (TTM)-25.99%
EPS 3Y208.53%
EPS 5Y36.08%
EPS Q2Q%52.69%
Revenue 1Y (TTM)6.33%
Revenue growth 3Y30.87%
Revenue growth 5Y23.24%
Sales Q2Q%-5.77%
3.2 Future
Based on estimates for the next years, RNR will show a decrease in Earnings Per Share. The EPS will decrease by -3.18% on average per year.
The Revenue is expected to grow by 1.02% on average over the next years.
EPS Next Y-27.67%
EPS Next 2Y-8.91%
EPS Next 3Y-3.18%
EPS Next 5YN/A
Revenue Next Year0.61%
Revenue Next 2Y-0.51%
Revenue Next 3Y1.02%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.81 indicates a rather cheap valuation of RNR.
Based on the Price/Earnings ratio, RNR is valued a bit cheaper than 70.55% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.67. RNR is valued rather cheaply when compared to this.
With a Price/Forward Earnings ratio of 7.57, the valuation of RNR can be described as very cheap.
Based on the Price/Forward Earnings ratio, RNR is valued a bit cheaper than the industry average as 71.92% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 31.86, RNR is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.81 | ||
| Fwd PE | 7.57 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, RNR is valued cheaply inside the industry as 81.51% of the companies are valued more expensively.
Based on the Price/Free Cash Flow ratio, RNR is valued cheaply inside the industry as 80.14% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.18 | ||
| EV/EBITDA | 4.41 |
4.3 Compensation for Growth
A cheap valuation may be justified as RNR's earnings are expected to decrease with -3.18% in the coming years.
PEG (NY)N/A
PEG (5Y)0.22
EPS Next 2Y-8.91%
EPS Next 3Y-3.18%
5. Dividend
5.1 Amount
RNR has a yearly dividend return of 0.60%, which is pretty low.
RNR's Dividend Yield is slightly below the industry average, which is at 3.25.
Compared to an average S&P500 Dividend Yield of 2.40, RNR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.6% |
5.2 History
The dividend of RNR has a limited annual growth rate of 0.22%.
RNR has been paying a dividend for at least 10 years, so it has a reliable track record.
RNR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)0.22%
Div Incr Years26
Div Non Decr Years26
5.3 Sustainability
6.75% of the earnings are spent on dividend by RNR. This is a low number and sustainable payout ratio.
DP6.75%
EPS Next 2Y-8.91%
EPS Next 3Y-3.18%
269.45
+3.18 (+1.19%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners101.37%
Inst Owner Change-0.07%
Ins Owners1.13%
Ins Owner Change-1.3%
Market Cap12.68B
Revenue(TTM)12.28B
Net Income(TTM)1.67B
Analysts69.52
Price Target287.33 (6.64%)
Short Float %1.66%
Short Ratio1.82
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.6% |
Yearly Dividend2.26
Dividend Growth(5Y)0.22%
DP6.75%
Div Incr Years26
Div Non Decr Years26
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)40.9%
Min EPS beat(2)23.67%
Max EPS beat(2)58.13%
EPS beat(4)3
Avg EPS beat(4)19.84%
Min EPS beat(4)-15.92%
Max EPS beat(4)58.13%
EPS beat(8)7
Avg EPS beat(8)24.46%
EPS beat(12)11
Avg EPS beat(12)22.41%
EPS beat(16)13
Avg EPS beat(16)14.54%
Revenue beat(2)0
Avg Revenue beat(2)-4.45%
Min Revenue beat(2)-7.47%
Max Revenue beat(2)-1.43%
Revenue beat(4)1
Avg Revenue beat(4)-2.04%
Min Revenue beat(4)-8.02%
Max Revenue beat(4)8.76%
Revenue beat(8)2
Avg Revenue beat(8)-2.26%
Revenue beat(12)3
Avg Revenue beat(12)-1.65%
Revenue beat(16)3
Avg Revenue beat(16)-7.23%
PT rev (1m)1.06%
PT rev (3m)1.15%
EPS NQ rev (1m)92.14%
EPS NQ rev (3m)97.06%
EPS NY rev (1m)17.66%
EPS NY rev (3m)31.3%
Revenue NQ rev (1m)-3.67%
Revenue NQ rev (3m)-4.34%
Revenue NY rev (1m)2.36%
Revenue NY rev (3m)1.86%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.81 | ||
| Fwd PE | 7.57 | ||
| P/S | 1.03 | ||
| P/FCF | 3.18 | ||
| P/OCF | 3.18 | ||
| P/B | 1.1 | ||
| P/tB | 1.17 | ||
| EV/EBITDA | 4.41 |
EPS(TTM)34.48
EY12.8%
EPS(NY)35.58
Fwd EY13.2%
FCF(TTM)84.75
FCFY31.45%
OCF(TTM)84.75
OCFY31.45%
SpS260.86
BVpS244.37
TBVpS230.53
PEG (NY)N/A
PEG (5Y)0.22
Graham Number435.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.06% | ||
| ROE | 14.51% | ||
| ROCE | 5.45% | ||
| ROIC | 4.3% | ||
| ROICexc | 4.44% | ||
| ROICexgc | 5.06% | ||
| OM | 24.04% | ||
| PM (TTM) | 13.59% | ||
| GM | N/A | ||
| FCFM | 32.49% |
ROA(3y)1.88%
ROA(5y)1.55%
ROE(3y)7.6%
ROE(5y)6.25%
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 3YN/A
ROICexgc growth 5Y10.38%
ROICexc growth 3YN/A
ROICexc growth 5Y11.16%
OM growth 3YN/A
OM growth 5Y3.17%
PM growth 3YN/A
PM growth 5Y-2%
GM growth 3YN/A
GM growth 5YN/A
F-Score5
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.19 | ||
| Debt/FCF | 0.56 | ||
| Debt/EBITDA | 0.75 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 134.73% | ||
| Profit Quality | 239.06% | ||
| Current Ratio | 0.18 | ||
| Quick Ratio | 0.18 | ||
| Altman-Z | 0.83 |
F-Score5
WACC8.11%
ROIC/WACC0.53
Cap/Depr(3y)N/A
Cap/Depr(5y)N/A
Cap/Sales(3y)N/A
Cap/Sales(5y)N/A
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-25.99%
EPS 3Y208.53%
EPS 5Y36.08%
EPS Q2Q%52.69%
EPS Next Y-27.67%
EPS Next 2Y-8.91%
EPS Next 3Y-3.18%
EPS Next 5YN/A
Revenue 1Y (TTM)6.33%
Revenue growth 3Y30.87%
Revenue growth 5Y23.24%
Sales Q2Q%-5.77%
Revenue Next Year0.61%
Revenue Next 2Y-0.51%
Revenue Next 3Y1.02%
Revenue Next 5YN/A
EBIT growth 1Y-31.76%
EBIT growth 3YN/A
EBIT growth 5Y27.14%
EBIT Next YearN/A
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y87.07%
FCF growth 3Y49.97%
FCF growth 5Y14.27%
OCF growth 1Y87.07%
OCF growth 3Y49.97%
OCF growth 5Y14.27%
RENAISSANCERE HOLDINGS LTD / RNR FAQ
What is the ChartMill fundamental rating of RENAISSANCERE HOLDINGS LTD (RNR) stock?
ChartMill assigns a fundamental rating of 5 / 10 to RNR.
Can you provide the valuation status for RENAISSANCERE HOLDINGS LTD?
ChartMill assigns a valuation rating of 7 / 10 to RENAISSANCERE HOLDINGS LTD (RNR). This can be considered as Undervalued.
How profitable is RENAISSANCERE HOLDINGS LTD (RNR) stock?
RENAISSANCERE HOLDINGS LTD (RNR) has a profitability rating of 5 / 10.
What is the valuation of RENAISSANCERE HOLDINGS LTD based on its PE and PB ratios?
The Price/Earnings (PE) ratio for RENAISSANCERE HOLDINGS LTD (RNR) is 7.81 and the Price/Book (PB) ratio is 1.1.
Can you provide the dividend sustainability for RNR stock?
The dividend rating of RENAISSANCERE HOLDINGS LTD (RNR) is 4 / 10 and the dividend payout ratio is 6.75%.