XTRA:TLX

Stock Analysis Report

Executive Summary

Talanx AG provides insurance and reinsurance products and services worldwide.

Snowflake

Fundamentals

Undervalued with adequate balance sheet.


Similar Companies

Share Price & News

How has Talanx's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.3%

XTRA:TLX

2.4%

DE Insurance

3.2%

DE Market


1 Year Return

17.4%

XTRA:TLX

12.9%

DE Insurance

-9.7%

DE Market

TLX outperformed the Insurance industry which returned 13.4% over the past year.

TLX outperformed the Market in Germany which returned -9.6% over the past year.


Share holder returns

TLXIndustryMarket
7 Day2.3%2.4%3.2%
30 Day-2.3%-4.3%-4.4%
90 Day5.5%0.9%-2.0%
1 Year22.4%17.4%17.8%12.9%-6.9%-9.7%
3 Year65.9%47.1%70.6%50.0%11.8%2.2%
5 Year77.8%43.8%96.1%57.0%26.9%9.5%

Price Volatility Vs. Market

How volatile is Talanx's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Talanx undervalued based on future cash flows and its price relative to the stock market?

50%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Talanx's share price is below the future cash flow value, and at a moderate discount (> 20%).

Talanx's share price is below the future cash flow value, and at a substantial discount (> 40%).


Price Based on Earnings

Talanx is good value based on earnings compared to the DE Insurance industry average.

Talanx is good value based on earnings compared to the Germany market.


Price Based on Expected Growth

Talanx is poor value based on expected growth next year.


Price Based on Value of Assets

Talanx is good value based on assets compared to the DE Insurance industry average.


Next Steps

Future Growth

How is Talanx expected to perform in the next 1 to 3 years based on estimates from 11 analysts?

7.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Talanx's revenue is expected to grow by 2.5% yearly, however this is not considered high growth (20% yearly).

Talanx's earnings are expected to grow by 7.6% yearly, however this is not considered high growth (20% yearly).

Talanx's revenue growth is positive but not above the Germany market average.

Talanx's earnings growth is positive but not above the Germany market average.

Talanx's earnings growth is expected to exceed the low risk savings rate of 0.2%.


Earnings per Share Growth Estimates


Future Return on Equity

Talanx is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Talanx performed over the past 5 years?

-1.0%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Talanx's year on year earnings growth rate was negative over the past 5 years, however the most recent earnings are above average.

Talanx's 1-year earnings growth exceeds its 5-year average (15.2% vs -1%)

Talanx's earnings growth has not exceeded the DE Insurance industry average in the past year (15.2% vs 17.2%).


Return on Equity

Talanx has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Talanx used its assets less efficiently than the DE Insurance industry average last year based on Return on Assets.


Return on Capital Employed

Talanx's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Talanx's financial position?


Financial Position Analysis

Talanx is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Talanx's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Talanx's level of debt (31.9%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (29.2% vs 31.9% today).

Debt is well covered by operating cash flow (104.7%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 5.9x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 4.2x debt.


Next Steps

Dividend

What is Talanx's current dividend yield, its reliability and sustainability?

4.43%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Talanx's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.51%).

Talanx's dividend is below the markets top 25% of dividend payers in Germany (4.17%).

Whilst dividend payments have been stable, Talanx has been paying a dividend for less than 10 years.

Dividend payments have increased, but Talanx only paid a dividend in the past 6 years.


Current Payout to Shareholders

Dividends paid are well covered by earnings (2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (2.2x coverage).


Next Steps

Management

What is the CEO of Talanx's salary, the management and board of directors tenure and is there insider trading?

1.3yrs

Average management tenure


CEO

Torsten Leue (53yo)

1.3yrs

Tenure

€3,815,680

Compensation

Mr. Torsten Leue serves as a Chairman of Supervisory Board at Hannover Rück SE since May 08, 2019 and HDI Global SE since March 9, 2018. He was its Vice Chairman of Supervisory Board of Hannover Rück SE ti ...


CEO Compensation Analysis

Torsten's remuneration is about average for companies of similar size in Germany.

Torsten's compensation has increased by more than 20% in the past year whilst earnings grew less than 20%.


Management Age and Tenure

1.3yrs

Average Tenure

53yo

Average Age

The average tenure for the Talanx management team is less than 2 years, this suggests a new team.


Board Age and Tenure

7.1yrs

Average Tenure

62.5yo

Average Age

The tenure for the Talanx board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Torsten Leue (53yo)

    Chairman of Management Board & CEO

    • Tenure: 1.3yrs
    • Compensation: €3.82m
  • Immo Querner (56yo)

    CFO & Member of Management Board

    • Tenure: 13.6yrs
    • Compensation: €1.67m
  • Carsten Werle

    Head of Investor Relations

    • Tenure: 0.0yrs
  • Jean-Jacques Henchoz (55yo)

    Member of the Management Board

    • Tenure: 0.3yrs
  • Sven Fokkema (49yo)

    Member of Management Board

    • Tenure: 1.3yrs
    • Compensation: €927.50k
  • Edgar Puls (46yo)

    Member of the Management Board

    • Tenure: 0.3yrs

Board Members

  • Norbert Steiner (65yo)

    Supervisory Board Member

    • Tenure: 6.3yrs
    • Compensation: €128.00k
  • Erhard Schipporeit (70yo)

    Supervisory Board Member

    • Tenure: 16.2yrs
    • Compensation: €206.00k
  • Herbert Haas (65yo)

    Chairman of the Supervisory Board

    • Tenure: 1.3yrs
    • Compensation: €7.20m
  • Dirk Lohmann (61yo)

    Supervisory Board Member

    • Tenure: 6.3yrs
    • Compensation: €99.00k
  • Thomas Lindner (68yo)

    Deputy Chairman of the Supervisory Board

    • Tenure: 1.3yrs
    • Compensation: €174.00k
  • Hermann Jung (64yo)

    Supervisory Board Member

    • Tenure: 6.3yrs
    • Compensation: €118.00k
  • Ralf Rieger (57yo)

    Deputy Chairman of Supervisory Board

    • Tenure: 10.2yrs
    • Compensation: €179.00k
  • Jutta Mück (57yo)

    Supervisory Board Member

    • Tenure: 10.2yrs
    • Compensation: €112.00k
  • Jutta Hammer (51yo)

    Supervisory Board Member

    • Tenure: 8.5yrs
    • Compensation: €126.00k
  • Antonia Aschendorf (56yo)

    Supervisory Board Member

    • Tenure: 7.9yrs
    • Compensation: €130.00k

Company Information

Talanx AG's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Talanx AG
  • Ticker: TLX
  • Exchange: XTRA
  • Founded: 1996
  • Industry: Multi-line Insurance
  • Sector: Insurance
  • Market Cap: €9.586b
  • Shares outstanding: 252.80m
  • Website: https://www.talanx.com

Number of Employees


Location

  • Talanx AG
  • HDI-Platz 1
  • Riethorst 2
  • Hanover
  • 30659
  • Germany

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TLXDB (Deutsche Boerse AG)YesRegistered SharesDEEUROct 2012
TLXXTRA (XETRA Trading Platform)YesRegistered SharesDEEUROct 2012
TLXDBATS-CHIXE (BATS 'Chi-X Europe')YesRegistered SharesGBEUROct 2012
0QA8LSE (London Stock Exchange)YesRegistered SharesGBEUROct 2012
TLXSWX (SIX Swiss Exchange)YesRegistered SharesCHCHFOct 2012
TNXWSE (Warsaw Stock Exchange)YesRegistered SharesPLPLNOct 2012
TLXWBAG (Wiener Boerse AG)YesRegistered SharesATEUROct 2012
TNXX.FOTCPK (Pink Sheets LLC)YesRegistered SharesUSUSDOct 2012

Biography

Talanx AG provides insurance and reinsurance products and services worldwide. The company offers life, casualty, liability, motor, aviation, legal protection, fire, burglary and theft, water damage, plate  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/22 21:39
End of Day Share Price2019/08/22 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.