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Aug 26
U.S. Insurance Industry Analysis
UpdatedAug 26, 2024
DataAggregated Company Financials
Companies124
- 7D1.4%
- 3M10.0%
- 1Y33.2%
- YTD23.1%
Arch Capital Group is up 5.8%, leading the way for the Insurance industry, which has gained 1.4%. This means that the industry has gained 33% over the past year. Looking forward, earnings are forecast to grow by 9.0% annually.
Industry Valuation and Performance
Has the U.S. Insurance Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Mon, 26 Aug 2024 | US$1.3t | US$855.4b | US$87.0b | 13.9x | 15.5x | 1.6x |
| Wed, 24 Jul 2024 | US$1.2t | US$825.8b | US$80.8b | 13x | 15.1x | 1.5x |
| Fri, 21 Jun 2024 | US$1.2t | US$823.4b | US$79.2b | 13.2x | 14.9x | 1.4x |
| Sun, 19 May 2024 | US$1.2t | US$823.1b | US$79.1b | 12.7x | 15.2x | 1.5x |
| Tue, 16 Apr 2024 | US$1.1t | US$795.6b | US$68.8b | 14.6x | 16.5x | 1.4x |
| Thu, 14 Mar 2024 | US$1.2t | US$792.4b | US$67.0b | 14.2x | 17.5x | 1.5x |
| Sat, 10 Feb 2024 | US$1.1t | US$785.9b | US$61.1b | 12.2x | 18.2x | 1.4x |
| Mon, 08 Jan 2024 | US$1.1t | US$790.2b | US$48.8b | 12.7x | 22.8x | 1.4x |
| Wed, 06 Dec 2023 | US$1.1t | US$792.8b | US$47.5b | 12.6x | 23.3x | 1.4x |
| Fri, 03 Nov 2023 | US$1.1t | US$806.7b | US$45.1b | 12.7x | 23.4x | 1.3x |
| Sun, 01 Oct 2023 | US$1.0t | US$799.1b | US$38.9b | 14.6x | 26.4x | 1.3x |
| Tue, 29 Aug 2023 | US$1.0t | US$799.2b | US$38.7b | 14.8x | 26.2x | 1.3x |
| Thu, 27 Jul 2023 | US$1.0t | US$786.9b | US$38.8b | 16.2x | 26.4x | 1.3x |
| Sat, 24 Jun 2023 | US$964.0b | US$774.5b | US$35.1b | 15.7x | 27.4x | 1.2x |
| Mon, 22 May 2023 | US$974.1b | US$774.5b | US$35.1b | 15.9x | 27.7x | 1.3x |
| Wed, 19 Apr 2023 | US$981.5b | US$759.1b | US$44.1b | 15.1x | 22.3x | 1.3x |
| Fri, 17 Mar 2023 | US$938.1b | US$759.8b | US$43.9b | 15.3x | 21.4x | 1.2x |
| Sun, 12 Feb 2023 | US$1.0t | US$767.1b | US$47.1b | 16.1x | 22.1x | 1.4x |
| Tue, 10 Jan 2023 | US$1.0t | US$777.9b | US$54.7b | 15x | 18.8x | 1.3x |
| Thu, 08 Dec 2022 | US$1.0t | US$774.5b | US$53.4b | 14.7x | 19.1x | 1.3x |
| Sat, 05 Nov 2022 | US$995.4b | US$653.7b | US$56.5b | 15.7x | 17.6x | 1.5x |
| Mon, 03 Oct 2022 | US$886.6b | US$767.1b | US$63.3b | 13.2x | 14x | 1.2x |
| Wed, 31 Aug 2022 | US$939.2b | US$767.2b | US$63.2b | 13.5x | 14.9x | 1.2x |
| Fri, 29 Jul 2022 | US$940.4b | US$783.7b | US$74.9b | 11.6x | 12.5x | 1.2x |
| Sun, 26 Jun 2022 | US$966.1b | US$787.8b | US$79.3b | 12x | 12.2x | 1.2x |
| Tue, 24 May 2022 | US$1.0t | US$787.9b | US$79.3b | 11.3x | 12.9x | 1.3x |
| Thu, 21 Apr 2022 | US$1.1t | US$788.2b | US$86.2b | 10.9x | 13.1x | 1.4x |
| Sat, 19 Mar 2022 | US$1.1t | US$817.5b | US$91.0b | 10.7x | 12.1x | 1.4x |
| Mon, 14 Feb 2022 | US$1.1t | US$799.2b | US$87.8b | 10.7x | 12.4x | 1.4x |
| Wed, 12 Jan 2022 | US$1.1t | US$801.0b | US$88.3b | 11.4x | 12.6x | 1.4x |
| Fri, 10 Dec 2021 | US$1.1t | US$801.0b | US$88.3b | 10.7x | 12x | 1.3x |
| Sun, 07 Nov 2021 | US$1.1t | US$797.5b | US$90.5b | 10.7x | 12x | 1.4x |
| Tue, 05 Oct 2021 | US$1.0t | US$771.4b | US$90.5b | 9.7x | 11.1x | 1.3x |
| Thu, 02 Sep 2021 | US$1.0t | US$771.8b | US$90.4b | 10x | 11.5x | 1.3x |
Price to Earnings Ratio
11.5x
Current Industry PE
- Investors are pessimistic on the American Insurance industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 15.5x which is lower than its 3-year average PE of 17.7x.
- The 3-year average PS ratio of 1.3x is lower than the industry's current PS ratio of 1.6x.
Past Earnings Growth
- The earnings for companies in the Insurance industry have remained mostly flat over the last three years.
- Meanwhile revenues for these companies have grown 3.5% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased and as a result, profits have held steady.
Industry Trends
Which industries have driven the changes within the U.S. Financials industry?
| US Market | 1.21% | |
| Financials | 1.45% | |
| Insurance | 1.43% | |
| Reinsurance | 3.10% | |
| General Insurance | 2.35% | |
| Property and Casualty Insurance | 1.73% | |
| Life and Health Insurance | 1.41% | |
| Insurance Brokers | 0.40% | |
Industry PE
- Investors are most optimistic about the Insurance Brokers industry, which is trading close to its 3-year average PE ratio of 34.7x.
- Analysts are expecting annual earnings growth of 16.3%, which is higher than its past year's earnings growth of 8.8% per year.
- Investors are most pessimistic about the Reinsurance industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average.
Forecasted Growth
- Analysts are most optimistic on the General Insurance industry, expecting annual earnings growth of 30% over the next 5 years.
- This is better than its past earnings decline of 24% per year.
- In contrast, the Property and Casualty Insurance industry is expected to see its earnings grow by 4.8% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| ACGL Arch Capital Group | US$109.02 | 5.8% +US$2.3b | 46.9% | PE7.6x | |
| PGR Progressive | US$241.25 | 1.5% +US$2.0b | 83.3% | PE20.6x | |
| AFL Aflac | US$107.34 | 2.0% +US$1.2b | 43.9% | PE11x | |
| CB Chubb | US$276.10 | 0.8% +US$836.1m | 37.5% | PE11.5x | |
| MET MetLife | US$74.34 | 1.5% +US$763.4m | 18.9% | PE19.2x |
