* Note: Prices are in Million (M) USD.
Description:
Hamilton Insurance Group, Ltd., engages in underwriting specialty insurance and reinsurance risks in Bermuda and internationally. The company is headquartered in Pembroke, Bermuda with additional locations in Dublin, Ireland; London, United Kingdom; Miami, Florida; New York, New York; and Glen Allen, Virginia.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $1,071 M
Debt : $150 M
EBITDA : $635 M
Since Cash is greater than Total Debt, 5 points assigned.
This criteria used industry in which company operates:
Sector: Financials
Industry: Insurance - reinsurance
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Message: Cannot calculate PE Ratio since EPS is either 0 or negative.
Using default values for calculation.
Forward PE Ratio (using default values): 20.00
Since Forward PE Ratio is between 20 - 25, 2 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 5 overlapping fiscal years (max 20).Average Free Cash Flow: $262 M
Average Revenue: $1,317 M
Revenue Converted To Free Cash Flow (%): 19.9%
Since Free Cash Flow (FCF) to Revenue percentage is greater than 15, 3 points assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $2,330 M
Revenue 4 Years Ago (2020-12-31): $690 M
Total Growth over 4 Years: 237.5%
4-Year Revenue CAGR (Historical): 35.5%
Forward 5-Year CAGR (Tapered): 17.8%
Since historical Revenue CAGR is greater than 20, 5 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $101 M
Share Count 5 Years Ago (2020-12-31): $103 M
Company is buying back its own shares, 3 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Message: Cannot calculate payout ratio because EPS is either 0 or negative.
Using default values for calculation.
Based on default values, 1 points assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 4 valid ROE years (max 20).Average ROE: 0.0%
Since Average ROE is non-positive, 0 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $24
52-Week Low: $17
Threshold Price (15% Above 52-Week Low): $19
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $2,382 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Warren Buffett's Owners' Earnings:
Owners' Earnings (FCF/Share) (TTM ending 2025-06-30): $6.88
Owners' Earnings (FCF/Share, latest positive annual) (2024-12-31): $7.48
Note: Many fast-growing companies reinvest heavily, so Owners' Earnings may appear low.
Consider other factors in your valuation.
Value-Trade has assigned 23 points to above Hamilton Insurance Group, Ltd. (HG) stock.
Last 2 Years Avg PE 7.41, Fair Value PE 15, Industry Based PE 11, Growth Based PE 17.77, RCFC Based PE 19.88, Risk-Free Anchored PE (25% MoS) 17.61. Based on these 6 values (after removing statistical outliers, n=5), average assigned is 16.25. The fair value of Hamilton Insurance Group, Ltd. (HG) stock cannot be calculated since EBITDA and EPS are either 0 or negative.
