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IRBR

IRB-Brasil RessegurosBOVESPA:IRBR3 Stock Report

Market Cap

R$5.3b

7D

0%

1Y

-40.5%

Updated

25 Nov, 2021

Data

Company Financials +
IRBR3 fundamental analysis
Snowflake Score
Valuation1/6
Future Growth3/6
Past Performance0/6
Financial Health2/6
Dividends0/6

IRBR3 Stock Overview

IRB-Brasil Resseguros S.A., together with its subsidiaries, provides reinsurance products and services in Brazil and internationally.

Rewards

Earnings are forecast to grow 68.16% per year

Risk Analysis

No risks detected for IRBR3 from our risk checks.

IRB-Brasil Resseguros Competitors

Berkshire Hathaway

NYSE:BRK.A

US$643.1b

Allianz

XTRA:ALV

€82.8b

AXA

ENXTPA:CS

€60.8b

Zurich Insurance Group

SWX:ZURN

CHF58.8b

Price History & Performance

Summary of all time highs, changes and price drops for IRB-Brasil Resseguros
Historical stock prices
Current Share PriceR$4.21
52 Week HighR$8.52
52 Week LowR$3.96
Beta0.97
1 Month Change-13.37%
3 Month Change-20.11%
1 Year Change-40.45%
3 Year Change-83.29%
5 Year Changen/a
Change since IPO-56.88%

Recent News & Updates

Shareholder Returns

IRBR3BR InsuranceBR Market
7D0%-2.6%2.2%
1Y-40.5%-23.9%-7.8%

Return vs Industry: IRBR3 underperformed the BR Insurance industry which returned -25.5% over the past year.

Return vs Market: IRBR3 underperformed the BR Market which returned -9% over the past year.

Price Volatility

Is IRBR3's price volatile compared to industry and market?
IRBR3 volatility
IRBR3 Average Weekly Movement5.6%
Insurance Industry Average Movement5.6%
Market Average Movement6.5%
10% most volatile stocks in BR Market9.9%
10% least volatile stocks in BR Market3.0%

Stable Share Price: IRBR3 is not significantly more volatile than the rest of BR stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: IRBR3's weekly volatility (6%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1939386Raphael Afonso De Carvalhohttps://www.irbre.com

IRB-Brasil Resseguros S.A., together with its subsidiaries, provides reinsurance products and services in Brazil and internationally. It offers reinsurance solutions for aviation, engineering, agricultural, and miscellaneous risks; and surety, financial lines, oil and gas, property, casualty, cargo and marine, and life and pension reinsurance solutions. The company also provides asset and real estate management services.

IRB-Brasil Resseguros Fundamentals Summary

How do IRB-Brasil Resseguros's earnings and revenue compare to its market cap?
IRBR3 fundamental statistics
Market CapR$5.27b
Earnings (TTM)-R$995.83m
Revenue (TTM)R$8.84b

0.6x

P/S Ratio

-5.3x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
IRBR3 income statement (TTM)
RevenueR$8.84b
Cost of RevenueR$8.59b
Gross ProfitR$248.40m
ExpensesR$1.24b
Earnings-R$995.83m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.79
Gross Margin2.81%
Net Profit Margin-11.27%
Debt/Equity Ratio20.9%

How did IRBR3 perform over the long term?

See historical performance and comparison

Valuation

Is IRB-Brasil Resseguros undervalued compared to its fair value and its price relative to the market?

1.31x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: IRBR3 (R$4.21) is trading above our estimate of fair value (R$2.31)

Significantly Below Fair Value: IRBR3 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: IRBR3 is unprofitable, so we can't compare its PE Ratio to the BR Insurance industry average.

PE vs Market: IRBR3 is unprofitable, so we can't compare its PE Ratio to the BR market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate IRBR3's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: IRBR3 is good value based on its PB Ratio (1.3x) compared to the BR Insurance industry average (1.7x).


Future Growth

How is IRB-Brasil Resseguros forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

68.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: IRBR3 is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (9.1%).

Earnings vs Market: IRBR3 is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: IRBR3's is expected to become profitable in the next 3 years.

Revenue vs Market: IRBR3's revenue (3.3% per year) is forecast to grow slower than the BR market (7.6% per year).

High Growth Revenue: IRBR3's revenue (3.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: IRBR3's Return on Equity is forecast to be low in 3 years time (16.9%).


Past Performance

How has IRB-Brasil Resseguros performed over the past 5 years?

-43.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: IRBR3 is currently unprofitable.

Growing Profit Margin: IRBR3 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: IRBR3 is unprofitable, and losses have increased over the past 5 years at a rate of 43.5% per year.

Accelerating Growth: Unable to compare IRBR3's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: IRBR3 is unprofitable, making it difficult to compare its past year earnings growth to the Insurance industry (-12.8%).


Return on Equity

High ROE: IRBR3 has a negative Return on Equity (-24.74%), as it is currently unprofitable.


Financial Health

How is IRB-Brasil Resseguros's financial position?


Financial Position Analysis

Short Term Liabilities: IRBR3's short term assets (R$15.2B) do not cover its short term liabilities (R$18.3B).

Long Term Liabilities: IRBR3's short term assets (R$15.2B) exceed its long term liabilities (R$1.6B).


Debt to Equity History and Analysis

Debt Level: IRBR3 has more cash than its total debt.

Reducing Debt: Insufficient data to determine if IRBR3's debt to equity ratio has reduced over the past 5 years.

Debt Coverage: IRBR3's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: Insufficient data to determine if IRBR3's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

What is IRB-Brasil Resseguros's current dividend yield, its reliability and sustainability?

4.04%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate IRBR3's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate IRBR3's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if IRBR3's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if IRBR3's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: IRBR3 is not paying a notable dividend for the BR market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of IRBR3's dividend in 3 years as they are not forecast to pay a notable one for the BR market.


Next Steps

Management

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

1.2yrs

Average management tenure


CEO

Raphael Afonso De Carvalho (55 yo)

0.083

Tenure

Mr. Raphael Afonso Godinho de Carvalho serves as Interim Chief Underwriting Officer at IRB-Brasil Resseguros S.A. since 2021. He serves as Chief Executive Officer and Member of Executive Board at IRB-Brasi...


Leadership Team

Experienced Management: IRBR3's management team is not considered experienced ( 1.2 years average tenure), which suggests a new team.


Board Members

Experienced Board: IRBR3's board of directors are not considered experienced ( 1.5 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: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

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


Top Shareholders

Company Information

IRB-Brasil Resseguros S.A.'s employee growth, exchange listings and data sources


Key Information

  • Name: IRB-Brasil Resseguros S.A.
  • Ticker: IRBR3
  • Exchange: BOVESPA
  • Founded: 1939
  • Industry: Reinsurance
  • Sector: Insurance
  • Market Cap: R$5.272b
  • Shares outstanding: 1.26b
  • Website: https://www.irbre.com

Number of Employees


Location

  • IRB-Brasil Resseguros S.A.
  • Avenida Marechal Câmara
  • 171-Castelo
  • Rio de Janeiro
  • Rio de Janeiro
  • 20020-901
  • Brazil

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/11/25 22:58
End of Day Share Price2021/11/25 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


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.