Executive Summary
QBE Insurance Group Limited underwrites general insurance and reinsurance risks for personal, business, corporate, and institutional customers.
Snowflake Analysis
Fair value with moderate growth potential.
Similar Companies
Share Price & News
How has QBE Insurance Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: QBE's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
0.3%
QBE
-1.7%
AU Insurance
0.3%
AU Market
1 Year Return
-15.8%
QBE
-26.0%
AU Insurance
-7.8%
AU Market
Return vs Industry: QBE exceeded the Australian Insurance industry which returned -26% over the past year.
Return vs Market: QBE underperformed the Australian Market which returned -7.8% over the past year.
Shareholder returns
| QBE | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.3% | -1.7% | 0.3% |
| 30 Day | 3.8% | -4.5% | 1.3% |
| 90 Day | 31.5% | 6.2% | 13.4% |
| 1 Year | -12.2%-15.8% | -22.1%-26.0% | -4.0%-7.8% |
| 3 Year | -5.6%-15.3% | -8.6%-21.1% | 18.5%2.8% |
| 5 Year | -13.4%-29.0% | 6.3%-16.3% | 39.1%9.0% |
Price Volatility Vs. Market
How volatile is QBE Insurance Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
QBE Insurance Group (ASX:QBE) Share Prices Have Dropped 34% In The Last Five Years1 month ago | Simply Wall St
QBE Insurance Group Limited's (ASX:QBE) Dismal Stock Performance Reflects Weak Fundamentals4 months ago | Simply Wall St
A Sliding Share Price Has Us Looking At QBE Insurance Group Limited's (ASX:QBE) P/E RatioValuation
Is QBE Insurance Group undervalued compared to its fair value and its price relative to the market?
16.39x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: QBE (A$9.94) is trading above our estimate of fair value (A$2.22)
Significantly Below Fair Value: QBE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: QBE is good value based on its PE Ratio (16.4x) compared to the AU Insurance industry average (17.5x).
PE vs Market: QBE is poor value based on its PE Ratio (16.4x) compared to the Australian market (15.6x).
Price to Earnings Growth Ratio
PEG Ratio: QBE is good value based on its PEG Ratio (0.6x)
Price to Book Ratio
PB vs Industry: QBE is good value based on its PB Ratio (1.1x) compared to the AU Insurance industry average (2.5x).
Next Steps
Future Growth
How is QBE Insurance Group forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
28.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: QBE's forecast earnings growth (28.6% per year) is above the savings rate (2.3%).
Earnings vs Market: QBE's earnings (28.6% per year) are forecast to grow faster than the Australian market (14.2% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: QBE's revenue (1.3% per year) is forecast to grow slower than the Australian market (4.3% per year).
High Growth Revenue: QBE's revenue (1.3% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: QBE's Return on Equity is forecast to be low in 3 years time (9.5%).
Next Steps
Past Performance
How has QBE Insurance Group performed over the past 5 years?
-21.9%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: QBE has high quality earnings.
Growing Profit Margin: QBE's current net profit margins (4.5%) are lower than last year (4.7%).
Past Earnings Growth Analysis
Earnings Trend: QBE's earnings have declined by 21.9% per year over the past 5 years.
Accelerating Growth: QBE's earnings growth over the past year (0.7%) exceeds its 5-year average (-21.9% per year).
Earnings vs Industry: QBE earnings growth over the past year (0.7%) underperformed the Insurance industry 3.3%.
Return on Equity
High ROE: QBE's Return on Equity (7%) is considered low.
Next Steps
Financial Health
How is QBE Insurance Group's financial position?
Financial Position Analysis
Short Term Liabilities: QBE's short term assets ($8.4B) do not cover its short term liabilities ($15.4B).
Long Term Liabilities: QBE's short term assets ($8.4B) do not cover its long term liabilities ($16.5B).
Debt to Equity History and Analysis
Debt Level: QBE's debt to equity ratio (38%) is considered satisfactory.
Reducing Debt: QBE's debt to equity ratio has increased from 32.3% to 38% over the past 5 years.
Debt Coverage: QBE's debt is well covered by operating cash flow (57.5%).
Interest Coverage: QBE's interest payments on its debt are well covered by EBIT (3.9x coverage).
Balance Sheet
Next Steps
Dividend
What is QBE Insurance Group current dividend yield, its reliability and sustainability?
4.21%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: QBE's dividend (4.21%) is higher than the bottom 25% of dividend payers in the Australian market (2.42%).
High Dividend: QBE's dividend (4.21%) is low compared to the top 25% of dividend payers in the Australian market (6.6%).
Stability and Growth of Payments
Stable Dividend: QBE's dividend payments have been volatile in the past 10 years.
Growing Dividend: QBE's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (84.3%), QBE's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: QBE's dividends in 3 years are forecast to be covered by earnings (64.7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.3yrs
Average management tenure
CEO
Pat Regan (54 yo)
2.58yrs
Tenure
US$4,428,000
Compensation
Mr. Patrick C. Regan, also known as Pat, BSc, FCA, has been Group Chief Executive Officer of QBE Insurance Group Limited since January 1, 2018. Mr. Regan served Chief Executive Officer of Australian & New ...
CEO Compensation Analysis
Compensation vs Market: Pat's total compensation ($USD4.43M) is about average for companies of similar size in the Australian market ($USD4.01M).
Compensation vs Earnings: Pat's compensation has been consistent with company performance over the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Group CEO & Executive Director | 2.58yrs | US$4.43m | 0.072% $ 10.7m | |
| Group Chief Financial Officer | 2.33yrs | US$1.82m | 0.0022% $ 318.7k | |
| Group Chief Underwriting Officer | 1.58yrs | US$1.75m | 0.011% $ 1.7m | |
| Group Chief Risk Officer | 2.08yrs | US$1.61m | no data | |
| Chief Executive Officer of North America | 0.83yr | US$3.05m | no data | |
| Chief Executive Officer of International | 6.83yrs | US$3.58m | 0.014% $ 2.0m | |
| Chief Executive Officer of Australia Pacific | 2.5yrs | US$2.30m | 0.0030% $ 444.7k | |
| Global Chief Information Officer | 2.33yrs | no data | no data | |
| Group Head of Investor Relations | no data | no data | no data | |
| Group General Counsel & Company Secretary | 4.58yrs | no data | no data | |
| Chief Human Resources Officer | 0.25yr | no data | no data | |
| Head of Legal for European Operations | 10.17yrs | no data | no data |
2.3yrs
Average Tenure
55yo
Average Age
Experienced Management: QBE's management team is considered experienced (2.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Group CEO & Executive Director | 2.58yrs | US$4.43m | 0.072% $ 10.7m | |
| Independent Chairman | 0.42yr | US$252.00k | 0.0039% $ 584.1k | |
| Independent Deputy Chairman | 5.58yrs | US$309.00k | no data | |
| Independent Non-Executive Director | 5.83yrs | US$288.00k | 0.0043% $ 634.5k | |
| Independent Non-Executive Director | 3.92yrs | US$254.00k | 0.0026% $ 386.9k | |
| Independent Non-Executive Director | 4.42yrs | US$272.00k | 0.0041% $ 613.7k | |
| Independent Non-Executive Director | 6.17yrs | US$257.00k | 0.0022% $ 318.7k | |
| Independent Non-Executive Director | 5.83yrs | US$367.00k | 0.0044% $ 646.3k |
5.7yrs
Average Tenure
65yo
Average Age
Experienced Board: QBE's board of directors are considered experienced (5.7 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: QBE insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 11.8%.
Top Shareholders
Company Information
QBE Insurance Group Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: QBE Insurance Group Limited
- Ticker: QBE
- Exchange: ASX
- Founded: 1886
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: AU$14.824b
- Shares outstanding: 1.47b
- Website: https://www.qbe.com
Number of Employees
Location
- QBE Insurance Group Limited
- 8 Chifley Square
- Level 27
- Sydney
- New South Wales
- 2000
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| QBEI.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jan 1992 |
| QBE | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Jan 1992 |
| QBE | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jan 1992 |
| QBE | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Jan 1992 |
| QBIE.Y | OTCPK (Pink Sheets LLC) | SPONSORED ADR | US | USD | Oct 2008 |
Biography
QBE Insurance Group Limited underwrites general insurance and reinsurance risks for personal, business, corporate, and institutional customers. The company offers range of commercial, personal, and special ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/08/07 10:50 |
| End of Day Share Price | 2020/08/07 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.