Executive Summary
Suncorp Group Limited provides insurance, banking, and wealth products and services to retail, corporate, and commercial sectors in Australia and New Zealand. More Details
Rewards
Risk Analysis
Snowflake Analysis
Average dividend payer and fair value.
Similar Companies
Share Price & News
How has Suncorp Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: SUN has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
1.0%
SUN
1.4%
AU Insurance
0.5%
AU Market
1 Year Return
-32.9%
SUN
-28.9%
AU Insurance
-5.6%
AU Market
Return vs Industry: SUN underperformed the Australian Insurance industry which returned -29.8% over the past year.
Return vs Market: SUN underperformed the Australian Market which returned -5.7% over the past year.
Shareholder returns
| SUN | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.0% | 1.4% | 0.5% |
| 30 Day | 2.5% | 4.5% | 5.0% |
| 90 Day | -2.6% | -7.0% | 2.9% |
| 1 Year | -30.7%-32.9% | -27.0%-28.9% | -2.3%-5.6% |
| 3 Year | -23.7%-36.0% | -11.5%-22.3% | 12.4%-1.2% |
| 5 Year | -13.1%-34.6% | 3.2%-18.0% | 41.5%12.9% |
Price Volatility Vs. Market
How volatile is Suncorp Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
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It Might Not Be A Great Idea To Buy Suncorp Group Limited (ASX:SUN) For Its Next DividendValuation
Is Suncorp Group undervalued compared to its fair value and its price relative to the market?
18.22x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: SUN (A$9) is trading above our estimate of fair value (A$6.8)
Significantly Below Fair Value: SUN is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: SUN is good value based on its PE Ratio (18.2x) compared to the AU Insurance industry average (24.5x).
PE vs Market: SUN is good value based on its PE Ratio (18.2x) compared to the Australian market (21.1x).
Price to Earnings Growth Ratio
PEG Ratio: SUN is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: SUN is good value based on its PB Ratio (0.9x) compared to the AU Insurance industry average (3x).
Next Steps
Future Growth
How is Suncorp Group forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?
14.5%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: SUN's forecast earnings growth (14.5% per year) is above the savings rate (2.3%).
Earnings vs Market: SUN's earnings (14.5% per year) are forecast to grow slower than the Australian market (17.5% per year).
High Growth Earnings: SUN's earnings are forecast to grow, but not significantly.
Revenue vs Market: SUN's revenue is expected to decline over the next 3 years (-15.8% per year).
High Growth Revenue: SUN's revenue is forecast to decline over the next 3 years (-15.8% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: SUN's Return on Equity is forecast to be low in 3 years time (8.3%).
Next Steps
Past Performance
How has Suncorp Group performed over the past 5 years?
-4.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: SUN has high quality earnings.
Growing Profit Margin: SUN's current net profit margins (4.2%) are lower than last year (6.8%).
Past Earnings Growth Analysis
Earnings Trend: SUN's earnings have declined by 4.3% per year over the past 5 years.
Accelerating Growth: SUN's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: SUN had negative earnings growth (-40.5%) over the past year, making it difficult to compare to the Insurance industry average (-33.8%).
Return on Equity
High ROE: SUN's Return on Equity (5.1%) is considered low.
Next Steps
Financial Health
How is Suncorp Group's financial position?
Financial Position Analysis
Short Term Liabilities: SUN's short term assets (A$10.6B) do not cover its short term liabilities (A$56.8B).
Long Term Liabilities: SUN's short term assets (A$10.6B) do not cover its long term liabilities (A$26.1B).
Debt to Equity History and Analysis
Debt Level: SUN's debt to equity ratio (182.2%) is considered high.
Reducing Debt: SUN's debt to equity ratio has reduced from 183.2% to 182.2% over the past 5 years.
Debt Coverage: SUN's debt is not well covered by operating cash flow (9.9%).
Interest Coverage: SUN's interest payments on its debt are not well covered by EBIT (2.1x coverage).
Balance Sheet
Next Steps
Dividend
What is Suncorp Group current dividend yield, its reliability and sustainability?
4.00%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: SUN's dividend (4%) is higher than the bottom 25% of dividend payers in the Australian market (2.15%).
High Dividend: SUN's dividend (4%) is low compared to the top 25% of dividend payers in the Australian market (5.51%).
Stability and Growth of Payments
Stable Dividend: SUN's dividend payments have been volatile in the past 10 years.
Growing Dividend: SUN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (72.9%), SUN's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: SUN's dividends in 3 years are forecast to be covered by earnings (76.6% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
2.3yrs
Average management tenure
CEO
Steve Johnston (53 yo)
1.42yrs
Tenure
AU$3,319,000
Compensation
Mr. Steve Johnston, B.Bus (Management), B.Bus (Public Administration), has been Group Chief Executive Officer and Managing Director of Suncorp Group Ltd., and Suncorp-Metway Ltd. since September 9, 2019. H ...
CEO Compensation Analysis
Compensation vs Market: Steve's total compensation ($USD2.35M) is about average for companies of similar size in the Australian market ($USD2.50M).
Compensation vs Earnings: Steve's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Group CEO | 1.42yrs | AU$3.32m | 0.010% A$ 1.2m | |
| Group Chief Financial Officer | 1.42yrs | AU$1.06m | 0.0013% A$ 144.8k | |
| Group Executive People & Culture | 4.58yrs | AU$1.58m | 0.0053% A$ 594.1k | |
| Chief Operating Officer of Insurance | 5.08yrs | AU$1.61m | 0.0049% A$ 553.4k | |
| Chief Risk Officer | 4yrs | AU$1.46m | 0.0025% A$ 279.5k | |
| Chief Executive Officer of Insurance Product & Portfolio | 3.25yrs | AU$1.20m | 0.0035% A$ 394.9k | |
| Chief Information Officer | 0.25yr | no data | no data | |
| Head of Investor Relations | no data | no data | no data | |
| Group General Counsel | 1yr | no data | no data | |
| Head of External Relations | no data | no data | no data | |
| CEO of Banking & Wealth | 0.17yr | no data | no data | |
| Company Secretary | 10.58yrs | no data | no data |
2.3yrs
Average Tenure
Experienced Management: SUN's management team is considered experienced (2.3 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Group CEO | 1.42yrs | AU$3.32m | 0.010% A$ 1.2m | |
| Independent Non-Executive Director | 0.75yr | AU$129.00k | 0.0027% A$ 310.1k | |
| Independent Non-Executive Director | 8.5yrs | AU$442.00k | 0.0032% A$ 361.0k | |
| Independent Non-Executive Director | 3.5yrs | AU$339.00k | 0.0047% A$ 531.9k | |
| Independent Non-Executive Director | 5yrs | AU$349.00k | 0.0031% A$ 355.3k | |
| Independent Non-Executive Director | 2.75yrs | AU$311.00k | 0.0015% A$ 165.2k | |
| Independent Non-Executive Director | 2.08yrs | AU$289.00k | 0.0013% A$ 148.2k | |
| Independent Chairman of the Board | 2.08yrs | AU$657.00k | 0.0038% A$ 431.2k | |
| Independent Non Executive Director | 2yrs | AU$307.00k | 0.0031% A$ 351.9k |
2.1yrs
Average Tenure
57yo
Average Age
Experienced Board: SUN's board of directors are not considered experienced ( 2.1 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: SUN insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Suncorp Group Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Suncorp Group Limited
- Ticker: SUN
- Exchange: ASX
- Founded: 1902
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: AU$11.316b
- Shares outstanding: 1.28b
- Website: https://www.suncorpgroup.com.au
Number of Employees
Location
- Suncorp Group Limited
- Brisbane Square
- Level 28
- Brisbane
- Queensland
- 4000
- Australia
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| SUN | ASX (Australian Securities Exchange) | Yes | Ordinary Shares | AU | AUD | Jan 1992 |
| SU4 | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Jan 1992 |
| SNMY.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Jan 1992 |
| SUN | CHIA (Chi-X Australia) | Yes | Ordinary Shares | AU | AUD | Jan 1992 |
| SNMC.Y | OTCPK (Pink Sheets LLC) | SPONSRED ADS | US | USD | Oct 2013 | |
| SUNPE | ASX (Australian Securities Exchange) | CNV PRF SHS (CPS3) | AU | AUD | May 2014 | |
| SUNPF | ASX (Australian Securities Exchange) | FRN CNV SUB PERP AUD1000 'REGS' | AU | AUD | May 2017 | |
| SUNPH | ASX (Australian Securities Exchange) | FRN CNV SNR PERP AUD100 | AU | AUD | Dec 2019 |
Biography
Suncorp Group Limited provides insurance, banking, and wealth products and services to retail, corporate, and commercial sectors in Australia and New Zealand. It operates through three segments: Insurance, ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/10/19 10:34 |
| End of Day Share Price | 2020/10/19 00:00 |
| Earnings | 2020/06/30 |
| Annual Earnings | 2020/06/30 |
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.