UNIVERSAL INSURANCE HOLDINGS (UVE)
US91359V1070 - Common Stock
We assign a fundamental rating of 5 out of 10 to UVE. UVE was compared to 140 industry peers in the Insurance industry. UVE has only an average score on both its financial health and profitability. UVE is not valued too expensively and it also shows a decent growth rate. UVE also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
UVE had positive earnings in the past year.
In the past year UVE had a positive cash flow from operations.
UVE had positive earnings in 4 of the past 5 years.
UVE had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a decent Return On Assets value of 2.75%, UVE is doing good in the industry, outperforming 63.31% of the companies in the same industry.
UVE's Return On Equity of 18.21% is fine compared to the rest of the industry. UVE outperforms 77.70% of its industry peers.
UVE's Return On Invested Capital of 3.24% is fine compared to the rest of the industry. UVE outperforms 70.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.75% | ||
| ROE | 18.21% | ||
| ROIC | 3.24% |
ROA(3y)1.03%
ROA(5y)1.38%
ROE(3y)5.53%
ROE(5y)6.05%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a Profit Margin value of 4.82%, UVE perfoms like the industry average, outperforming 43.17% of the companies in the same industry.
In the last couple of years the Profit Margin of UVE has declined.
UVE has a Operating Margin (7.26%) which is in line with its industry peers.
UVE's Operating Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.26% | ||
| PM (TTM) | 4.82% | ||
| GM | N/A |
OM growth 3Y44.39%
OM growth 5Y-18.15%
PM growth 3Y39.19%
PM growth 5Y-19.5%
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 UVE is destroying value.
Compared to 1 year ago, UVE has less shares outstanding
UVE has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, UVE has a worse debt to assets ratio.
2.2 Solvency
The Debt to FCF ratio of UVE is 0.44, which is an excellent value as it means it would take UVE, only 0.44 years of fcf income to pay off all of its debts.
Looking at the Debt to FCF ratio, with a value of 0.44, UVE belongs to the top of the industry, outperforming 86.33% of the companies in the same industry.
A Debt/Equity ratio of 0.25 indicates that UVE is not too dependend on debt financing.
UVE has a better Debt to Equity ratio (0.25) than 65.47% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 0.44 | ||
| Altman-Z | N/A |
ROIC/WACC0.39
WACC8.31%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
UVE shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -12.16%.
The earnings per share for UVE have been decreasing by -10.71% on average. This is quite bad
Looking at the last year, UVE shows a quite strong growth in Revenue. The Revenue has grown by 12.23% in the last year.
Measured over the past years, UVE shows a quite strong growth in Revenue. The Revenue has been growing by 11.05% on average per year.
EPS 1Y (TTM)-12.16%
EPS 3Y54.58%
EPS 5Y-10.71%
EPS Q2Q%-356.25%
Revenue 1Y (TTM)12.23%
Revenue growth 3Y9.06%
Revenue growth 5Y11.05%
Sales Q2Q%-3.98%
3.2 Future
The Earnings Per Share is expected to grow by 11.16% on average over the next years. This is quite good.
UVE is expected to show a decrease in Revenue. In the coming years, the Revenue will decrease by -0.10% yearly.
EPS Next Y-18.62%
EPS Next 2Y9.11%
EPS Next 3Y11.16%
EPS Next 5YN/A
Revenue Next Year-0.29%
Revenue Next 2Y-2.08%
Revenue Next 3Y-0.1%
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 accelerating.
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
Based on the Price/Earnings ratio of 11.58, the valuation of UVE can be described as reasonable.
Compared to the rest of the industry, the Price/Earnings ratio of UVE indicates a somewhat cheap valuation: UVE is cheaper than 61.15% of the companies listed in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 28.96, UVE is valued rather cheaply.
A Price/Forward Earnings ratio of 9.83 indicates a reasonable valuation of UVE.
65.47% of the companies in the same industry are more expensive than UVE, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of UVE to the average of the S&P500 Index (23.82), we can say UVE is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.58 | ||
| Fwd PE | 9.83 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, UVE is valued cheaper than 88.49% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UVE indicates a rather cheap valuation: UVE is cheaper than 84.89% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 2.76 | ||
| EV/EBITDA | 3.48 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.11%
EPS Next 3Y11.16%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.86%, UVE has a reasonable but not impressive dividend return.
UVE's Dividend Yield is a higher than the industry average which is at 4.25.
UVE's Dividend Yield is a higher than the S&P500 average which is at 2.23.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
5.2 History
The dividend of UVE has a limited annual growth rate of 1.35%.
UVE has paid a dividend for at least 10 years, which is a reliable track record.
As UVE did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)1.35%
Div Incr Years0
Div Non Decr Years5
5.3 Sustainability
UVE pays out 30.71% of its income as dividend. This is a sustainable payout ratio.
UVE's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP30.71%
EPS Next 2Y9.11%
EPS Next 3Y11.16%
UNIVERSAL INSURANCE HOLDINGS
NYSE:UVE (11/21/2024, 8:04:00 PM)
After market: 22.59 0 (0%)22.59
+0.31 (+1.39%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupInsurance
GICS IndustryInsurance
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap639.07M
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
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EPS beat(4)
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EPS beat(8)
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EPS beat(12)
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EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Revenue beat(4)
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Revenue beat(8)
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Revenue beat(12)
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Revenue beat(16)
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PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.58 | ||
| Fwd PE | 9.83 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.75% | ||
| ROE | 18.21% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 7.26% | ||
| PM (TTM) | 4.82% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.57
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)-12.16%
EPS 3Y54.58%
EPS 5Y
EPS Q2Q%
EPS Next Y-18.62%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)12.23%
Revenue growth 3Y9.06%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y