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Insurance Australia Group ASX:IAG Stock Report

Last Price


Market Cap







25 Sep, 2022


Company Financials +
IAG fundamental analysis
Snowflake Score
Future Growth3/6
Past Performance2/6
Financial Health4/6

IAG Stock Overview

Insurance Australia Group Limited underwrites general insurance products and provides investment management services in Australia and New Zealand.

Insurance Australia Group Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Insurance Australia Group
Historical stock prices
Current Share PriceAU$4.41
52 Week HighAU$5.43
52 Week LowAU$4.02
1 Month Change-4.13%
3 Month Change0.23%
1 Year Change-8.13%
3 Year Change-44.39%
5 Year Change-32.43%
Change since IPO43.00%

Recent News & Updates

Shareholder Returns

IAGAU InsuranceAU Market

Return vs Industry: IAG underperformed the Australian Insurance industry which returned -5.9% over the past year.

Return vs Market: IAG exceeded the Australian Market which returned -11% over the past year.

Price Volatility

Is IAG's price volatile compared to industry and market?
IAG volatility
IAG Average Weekly Movement3.2%
Insurance Industry Average Movement3.8%
Market Average Movement9.6%
10% most volatile stocks in AU Market16.9%
10% least volatile stocks in AU Market4.3%

Stable Share Price: IAG is less volatile than 75% of Australian stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: IAG's weekly volatility (3%) has been stable over the past year.

About the Company

1920n/aNick Hawkins

Insurance Australia Group Limited underwrites general insurance products and provides investment management services in Australia and New Zealand. It offers personal and commercial insurance products, including bicycle, comprehensive motor, commercial and motor fleet, commercial property and liability, construction and engineering, consumer credit, compulsory third party, directors and officers, extended warranty, farm, crop, livestock, home and contents, income protection, marine, veteran, vintage and classic car, boat, caravan, travel, life, professional indemnity, public and product liability, security, workers’ compensation, motor vehicle, business, and rural and horticultural, as well as reinsurance. The company sells its products through branches and agencies, call centers, online facilities, brokers, agents, authorized representatives, and financial institutions; and third parties under the NRMA Insurance, SGIO, SGIC, RACV, CGU, ROLLiN, WFI, Swann Insurance, NZI, State, AMI, Lumley, and Coles Insurance brands.

Insurance Australia Group Fundamentals Summary

How do Insurance Australia Group's earnings and revenue compare to its market cap?
IAG fundamental statistics
Market CapAU$10.81b
Earnings (TTM)AU$347.00m
Revenue (TTM)AU$7.57b


P/E Ratio


P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IAG income statement (TTM)
Cost of RevenueAU$8.06b
Gross Profit-AU$485.00m
Other Expenses-AU$832.00m

Last Reported Earnings

Jun 30, 2022

Next Earnings Date

Feb 13, 2023

Earnings per share (EPS)0.14
Gross Margin-6.40%
Net Profit Margin4.58%
Debt/Equity Ratio31.6%

How did IAG perform over the long term?

See historical performance and comparison



Current Dividend Yield


Payout Ratio
We’ve recently updated our valuation analysis.


Is IAG undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score


Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for IAG?

Other financial metrics that can be useful for relative valuation.

IAG key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue1.7x
Enterprise Value/EBITDA18.8x
PEG Ratio1.6x

Price to Earnings Ratio vs Peers

How does IAG's PE Ratio compare to its peers?

IAG PE Ratio vs Peers
The above table shows the PE ratio for IAG vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average25x
SUN Suncorp Group
QBE QBE Insurance Group
MPL Medibank Private
SDF Steadfast Group
IAG Insurance Australia Group

Price-To-Earnings vs Peers: IAG is expensive based on its Price-To-Earnings Ratio (31.1x) compared to the peer average (25x).

Price to Earnings Ratio vs Industry

How does IAG's PE Ratio compare vs other companies in the Global Insurance Industry?

Price-To-Earnings vs Industry: IAG is expensive based on its Price-To-Earnings Ratio (31.1x) compared to the Global Insurance industry average (11.4x)

Price to Earnings Ratio vs Fair Ratio

What is IAG's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

IAG PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio31.1x
Fair PE Ratio33.6x

Price-To-Earnings vs Fair Ratio: IAG is good value based on its Price-To-Earnings Ratio (31.1x) compared to the estimated Fair Price-To-Earnings Ratio (33.6x).

Share Price vs Fair Value

What is the Fair Price of IAG when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: IAG (A$4.41) is trading below our estimate of fair value (A$9.13)

Significantly Below Fair Value: IAG is trading below fair value by more than 20%.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Future Growth

How is Insurance Australia Group forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

Future Growth Score


Future Growth Score 3/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: IAG's forecast earnings growth (19% per year) is above the savings rate (1.8%).

Earnings vs Market: IAG's earnings (19% per year) are forecast to grow faster than the Australian market (6.6% per year).

High Growth Earnings: IAG's earnings are forecast to grow, but not significantly.

Revenue vs Market: IAG's revenue (6% per year) is forecast to grow faster than the Australian market (3.7% per year).

High Growth Revenue: IAG's revenue (6% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: IAG's Return on Equity is forecast to be low in 3 years time (13.5%).

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Past Performance

How has Insurance Australia Group performed over the past 5 years?

Past Performance Score


Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: IAG has high quality earnings.

Growing Profit Margin: IAG became profitable in the past.

Past Earnings Growth Analysis

Earnings Trend: IAG's earnings have declined by 41.8% per year over the past 5 years.

Accelerating Growth: IAG has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: IAG has become profitable in the last year, making it difficult to compare its past year earnings growth to the Insurance industry (-20.4%).

Return on Equity

High ROE: IAG's Return on Equity (6.5%) is considered low.

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Financial Health

How is Insurance Australia Group's financial position?

Financial Health Score


Financial Health Score 4/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: IAG's short term assets (A$13.8B) do not cover its short term liabilities (A$17.3B).

Long Term Liabilities: IAG's short term assets (A$13.8B) exceed its long term liabilities (A$10.3B).

Debt to Equity History and Analysis

Debt Level: IAG's net debt to equity ratio (17.2%) is considered satisfactory.

Reducing Debt: IAG's debt to equity ratio has increased from 23.2% to 31.6% over the past 5 years.

Debt Coverage: IAG's debt is well covered by operating cash flow (43.7%).

Interest Coverage: IAG's interest payments on its debt are well covered by EBIT (6.9x coverage).

Balance Sheet

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What is Insurance Australia Group current dividend yield, its reliability and sustainability?

Dividend Score


Dividend Score 2/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: IAG's dividend (2.49%) isn’t notable compared to the bottom 25% of dividend payers in the Australian market (2.78%).

High Dividend: IAG's dividend (2.49%) is low compared to the top 25% of dividend payers in the Australian market (7.03%).

Stability and Growth of Payments

Stable Dividend: IAG's dividend payments have been volatile in the past 10 years.

Growing Dividend: IAG's dividend payments have fallen over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: At its current payout ratio (78%), IAG's payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonably low cash payout ratio (30%), IAG's dividend payments are well covered by cash flows.

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How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Nick Hawkins (54 yo)





Mr. Nicholas B. Hawkins, also known as Nick, BCom, CA, FCA, is Executive Director at IAG New Zealand Limited since November 18, 2020. He serves as Chief Executive Officer and Executive Director at Insuranc...

CEO Compensation Analysis

Compensation vs Market: Nick's total compensation ($USD2.25M) is about average for companies of similar size in the Australian market ($USD2.95M).

Compensation vs Earnings: Nick's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: IAG's management team is considered experienced (2.4 years average tenure).

Board Members

Experienced Board: IAG's board of directors are considered experienced (3.3 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: IAG insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

ASX:IAG Recent Insider Transactions by Companies or Individuals
DateValueNameEntityRoleSharesMax Price
30 Aug 22BuyAU$46,456George SartorelIndividual10,000AU$4.65
25 Aug 22BuyAU$22,735Scott PickeringIndividual5,000AU$4.55
25 Aug 22BuyAU$9,978Jonathan NicholsonIndividual2,200AU$4.54
15 Aug 22BuyAU$135,976Simon AllenIndividual30,000AU$4.53
20 Jul 22BuyAU$156,367,506Perpetual LimitedCompany34,978,418AU$4.86
20 Jul 22SellAU$43,178,591Perpetual LimitedCompany9,816,875AU$4.85
21 Jun 22BuyAU$28,099,926The Vanguard Group, Inc.Company5,744,017AU$4.92
20 Jun 22SellAU$12,081,607The Vanguard Group, Inc.Company2,464,801AU$4.93
23 Mar 22BuyAU$58,054,016State Street Global Advisors, Inc.Company10,862,333AU$5.45
23 Mar 22SellAU$42,849,617State Street Global Advisors, Inc.Company7,870,892AU$5.45
15 Feb 22BuyAU$60,125George SavvidesIndividual12,644AU$4.76
24 Jan 22BuyAU$92,985,081Perpetual LimitedCompany20,247,495AU$4.59
08 Dec 21SellAU$1,297,826Perpetual LimitedCompany273,260AU$4.75
30 Nov 21BuyAU$1,266,766Perpetual LimitedCompany283,687AU$4.47
30 Nov 21SellAU$12,475,795Perpetual LimitedCompany2,816,207AU$4.43
03 Nov 21BuyAU$179,762,707Perpetual LimitedCompany36,907,284AU$5.24
02 Nov 21BuyAU$49,469David ArmstrongIndividual10,650AU$4.64
01 Nov 21BuyAU$120,000Thomas PockettIndividual25,000AU$4.80
29 Oct 21BuyAU$48,100George SartorelIndividual10,000AU$4.81

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Top 25 shareholders own 36.83% of the company
OwnershipNameSharesCurrent ValueChange %Portfolio %
State Street Global Advisors, Inc.
Perpetual Limited
BlackRock, Inc.
The Vanguard Group, Inc.
Berkshire Hathaway Inc.
97,513,199A$430.0m0%no data
BNY Mellon Asset Management
Norges Bank Investment Management
Colonial First State Investments Limited
J.P. Morgan Asset Management, Inc.
Geode Capital Management, LLC
Commonwealth Superannuation Corporation
BetaShares Capital Limited
Franklin Resources, Inc.
Eastspring Investments (Singapore) Limited
UBS Asset Management
Australian Foundation Investment Company Limited
Teachers Insurance and Annuity Association-College Retirement Equities Fund
Charles Schwab Investment Management, Inc.
Milton Corporation Limited
Dimensional Fund Advisors LP
5,235,814A$23.1m5.35%no data
Van Eck Associates Corporation
MAM Pty Limited
Netwealth Investments Ltd.
Argo Investments Limited
Mutual Trust Pty Ltd, Asset Management Arm

Company Information

Insurance Australia Group Limited's employee growth, exchange listings and data sources

Key Information

  • Name: Insurance Australia Group Limited
  • Ticker: IAG
  • Exchange: ASX
  • Founded: 1920
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Implied Market Cap: AU$10.807b
  • Shares outstanding: 2.45b
  • Website:

Number of Employees


  • Insurance Australia Group Limited
  • Tower Two
  • Level 13
  • Sydney
  • New South Wales
  • 2000
  • Australia


TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
IAUG.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDAug 2000
IAGASX (Australian Securities Exchange)YesOrdinary SharesAUAUDAug 2000
NRMDB (Deutsche Boerse AG)YesOrdinary SharesDEEURAug 2000
IAGCHIA (Chi-X Australia)YesOrdinary SharesAUAUDAug 2000
IAGPDASX (Australian Securities Exchange)FRN CNV SUB PERP AUD100 'REGS'AUAUDFeb 2017

Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/09/25 00:00
End of Day Share Price2022/09/23 00:00
Annual Earnings2022/06/30

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.