AMERISAFE Valuation

Is A3I undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of A3I when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: A3I (€49.2) is trading below our estimate of fair value (€66.02)

Significantly Below Fair Value: A3I is trading below fair value by more than 20%.


Key Valuation Metric

Which metric is best to use when looking at relative valuation for A3I?

Key metric: As A3I is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for A3I. This is calculated by dividing A3I's market cap by their current earnings.
What is A3I's PE Ratio?
PE Ratio16.3x
EarningsUS$61.42m
Market CapUS$999.03m

Price to Earnings Ratio vs Peers

How does A3I's PE Ratio compare to its peers?

The above table shows the PE ratio for A3I vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average15.2x
WUW Wüstenrot & Württembergische
25.3x34.6%€1.1b
NBG6 NÜRNBERGER Beteiligungs-AG
13.5x38.8%€562.2m
RLV RheinLand Holding
11.8xn/a€108.3m
2850 Shinkong Insurance
10.2xn/aNT$32.2b
A3I AMERISAFE
16.3x-21.9%€999.0m

Price-To-Earnings vs Peers: A3I is expensive based on its Price-To-Earnings Ratio (16.3x) compared to the peer average (15.1x).


Price to Earnings Ratio vs Industry

How does A3I's PE Ratio compare vs other companies in the European Insurance Industry?

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
A3I 16.3xIndustry Avg. 11.8xNo. of Companies14PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: A3I is expensive based on its Price-To-Earnings Ratio (16.3x) compared to the European Insurance industry average (11.8x).


Price to Earnings Ratio vs Fair Ratio

What is A3I'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.

A3I PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio16.3x
Fair PE Ratio5.7x

Price-To-Earnings vs Fair Ratio: A3I is expensive based on its Price-To-Earnings Ratio (16.3x) compared to the estimated Fair Price-To-Earnings Ratio (5.7x).


Analyst Price Targets

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

The above table shows the analyst A3I forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€49.20
€54.10
+10.0%
11.3%€62.42€48.02n/a3
Dec ’25€56.30
€54.10
-3.9%
11.3%€62.42€48.02n/a3
Nov ’25€48.76
€51.41
+5.4%
12.6%€60.03€44.33n/a3
Oct ’25€42.96
€49.56
+15.4%
14.9%€60.03€44.33n/a3
Sep ’25€45.56
€49.56
+8.8%
14.9%€60.03€44.33n/a3
Aug ’25€43.48
€49.56
+14.0%
14.9%€60.03€44.33n/a3
Jul ’25€40.06
€52.20
+30.3%
16.1%€60.59€43.81n/a2
Jun ’25€39.66
€52.20
+31.6%
16.1%€60.59€43.81n/a2
May ’25€41.20
€52.20
+26.7%
16.1%€60.59€43.81n/a2
Apr ’25€45.60
€49.79
+9.2%
14.6%€59.93€43.33n/a3
Mar ’25€48.40
€49.79
+2.9%
14.6%€59.93€43.33n/a3
Feb ’25€45.80
€48.90
+6.8%
18.2%€60.74€39.24n/a3
Jan ’25€42.20
€48.90
+15.9%
18.2%€60.74€39.24n/a3
Dec ’24€43.60
€48.90
+12.2%
18.2%€60.74€39.24€56.303
Nov ’24€47.40
€53.67
+13.2%
11.0%€61.57€47.36€48.763
Oct ’24€47.40
€52.24
+10.2%
11.0%€59.92€46.10€42.963
Sep ’24€47.00
€52.24
+11.2%
11.0%€59.92€46.10€45.563
Aug ’24€46.60
€52.24
+12.1%
11.0%€59.92€46.10€43.483
Jul ’24€48.60
€52.24
+7.5%
11.0%€59.92€46.10€40.063
Jun ’24€47.00
€52.24
+11.2%
11.0%€59.92€46.10€39.663
May ’24€49.60
€52.24
+5.3%
11.0%€59.92€46.10€41.203
Apr ’24€44.60
€52.24
+17.1%
11.0%€59.92€46.10€45.603
Mar ’24€51.00
€54.66
+7.2%
10.6%€61.61€47.40€48.403
Feb ’24€50.50
€53.33
+5.6%
13.0%€60.29€46.38€45.802
Jan ’24€49.20
€53.33
+8.4%
13.0%€60.29€46.38€42.202
Dec ’23€54.00
€53.33
-1.2%
13.0%€60.29€46.38€43.602

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


Discover undervalued companies

Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/23 12:19
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

AMERISAFE, Inc. is covered by 15 analysts. 3 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Robert FarnamBoenning & Scattergood, Inc.
Randolph BinnerB. Riley Securities, Inc.
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