DB:GGK

Stock Analysis Report

Genworth Financial

Executive Summary

Genworth Financial, Inc. provides insurance and homeownership solutions in the United States and internationally.

Snowflake

Fundamentals

Undervalued with adequate balance sheet.

Risks

  • Genworth Financial is covered by less than 3 analysts.

Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

-7.1%

DB:GGK

0.5%

DE Insurance

-0.7%

DE Market


1 Year Return

-18.3%

DB:GGK

21.2%

DE Insurance

-7.6%

DE Market

GGK underperformed the Insurance industry which returned 21.2% over the past year.

GGK underperformed the Market in Germany which returned -7.6% over the past year.


Share holder returns

GGKIndustryMarket
7 Day-7.1%0.5%-0.7%
30 Day15.2%2.1%-0.8%
90 Day-2.9%2.1%-3.8%
1 Year-18.3%-18.3%26.5%21.2%-4.7%-7.6%
3 Year23.7%23.7%85.4%63.0%18.4%8.2%
5 Year-73.3%-73.3%101.2%61.1%28.8%11.1%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

27%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

Genworth Financial's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

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

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


Price Based on Expected Growth

Genworth Financial is good value based on expected growth next year.


Price Based on Value of Assets

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


Next Steps

Future Growth

How is Genworth Financial expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

16.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Genworth Financial's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.

Genworth Financial's earnings are expected to grow by 16.1% yearly, however this is not considered high growth (20% yearly).

Genworth Financial's revenues are expected to decrease over the next 1-3 years, this is below the Germany market average.

Genworth Financial's earnings growth is expected to exceed the Germany market average.

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


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Genworth Financial performed over the past 5 years?

39.9%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Genworth Financial has delivered over 20% year on year earnings growth in the past 5 years.

Genworth Financial's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Genworth Financial's 1-year earnings growth is negative, it can't be compared to the DE Insurance industry average.


Return on Equity

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


Return on Assets

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


Return on Capital Employed

Genworth Financial has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Genworth Financial's financial position?


Financial Position Analysis

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

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


Debt to Equity History and Analysis

Genworth Financial's level of debt (29.5%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (52.5% vs 29.5% today).

Debt is well covered by operating cash flow (37.7%, greater than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 2.9x annual interest expense, ideally 3x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 4.7x debt.


Next Steps

Dividend

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


Dividend Yield and Payments Analysis

Unable to evaluate Genworth Financial's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Genworth Financial's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Genworth Financial has not reported any payouts.

Unable to verify if Genworth Financial's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Genworth Financial has not reported any payouts.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


Next Steps

Management

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

4.5yrs

Average management tenure


CEO

Tom McInerney (62yo)

6.5yrs

Tenure

US$9,311,944

Compensation

Mr. Thomas Joseph McInerney, also known as Tom, has been the Chief Executive Officer, President, and Director of Genworth Financial, Inc., since January 1, 2013. Mr. McInerney serves as Senior Vice Preside ...


CEO Compensation Analysis

Tom's remuneration is higher than average for companies of similar size in Germany.

Tom's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.5yrs

Average Tenure

54yo

Average Age

The tenure for the Genworth Financial management team is about average.


Board Age and Tenure

6.5yrs

Average Tenure

68yo

Average Age

The tenure for the Genworth Financial board of directors is about average.


Insider Trading

No 3 month individual insider trading information.


Recent Insider Transactions

Sell€335,72229 May 19
Thomas McInerney
EntityIndividual
Role
President
Member of the Board of Directors
Shares111,097
Max Price€3.02
Buy€10,51824 Mar 19
Jerome Upton
EntityIndividual
Shares5,149
Max Price€2.04
Buy€6,46224 Mar 19
Stuart Take
EntityIndividual
Shares3,163
Max Price€2.04
Sell€12,20021 Mar 19
Kelly Groh
EntityIndividual
Role
Executive VP & CFO
Shares3,507
Max Price€3.48
Sell€2,27921 Mar 19
Matthew Farney
EntityIndividual
Shares655
Max Price€3.48
Sell€110,51018 Mar 19
Daniel Sheehan
EntityIndividual
Role
Executive VP & Chief Investment Officer
Shares31,203
Max Price€3.54
Sell€141,95618 Mar 19
Kevin Schneider
EntityIndividual
Role
Executive VP & COO
Shares40,082
Max Price€3.54
Sell€71,34618 Mar 19
Kelly Groh
EntityIndividual
Role
Executive VP & CFO
Shares20,145
Max Price€3.54
Sell€30,20718 Mar 19
Ward Bobitz
EntityIndividual
Role
Executive VP & General Counsel
Shares8,529
Max Price€3.54
Sell€30,20718 Mar 19
Lori Evangel
EntityIndividual
Shares8,529
Max Price€3.54
Sell€101,57727 Feb 19
Daniel Sheehan
EntityIndividual
Role
Executive VP & Chief Investment Officer
Shares28,746
Max Price€3.53
Sell€128,06527 Feb 19
Kevin Schneider
EntityIndividual
Role
Executive VP & COO
Shares36,242
Max Price€3.53
Sell€42,92327 Feb 19
Lori Evangel
EntityIndividual
Shares12,147
Max Price€3.53
Sell€64,49527 Feb 19
Kelly Groh
EntityIndividual
Role
Executive VP & CFO
Shares18,252
Max Price€3.53
Sell€31,43927 Feb 19
Ward Bobitz
EntityIndividual
Role
Executive VP & General Counsel
Shares8,897
Max Price€3.53
Buy€16,30017 Feb 19
Stuart Take
EntityIndividual
Shares4,001
Max Price€4.07
Sell€21,17617 Feb 19
Stuart Take
EntityIndividual
Shares9,199
Max Price€4.07
Buy€15,39114 Feb 19
Ward Bobitz
EntityIndividual
Role
Executive VP & General Counsel
Shares7,080
Max Price€2.17
Sell€31,19714 Feb 19
Ward Bobitz
EntityIndividual
Role
Executive VP & General Counsel
Shares16,420
Max Price€4.07
Sell€4,03305 Nov 18
Kelly Groh
EntityIndividual
Role
Executive VP & CFO
Shares1,128
Max Price€3.58

Ownership Breakdown


Management Team

  • Kelly Groh (50yo)

    Executive VP & CFO

    • Tenure: 3.8yrs
    • Compensation: $1.83m
  • Pamela Harrison (54yo)

    Executive Vice President of Human Resources

    • Tenure: 1.5yrs
  • Dan Sheehan (53yo)

    Executive VP & Chief Investment Officer

    • Tenure: 5.6yrs
    • Compensation: $2.61m
  • Kevin Schneider (57yo)

    Executive VP & COO

    • Tenure: 3.5yrs
    • Compensation: $2.55m
  • Kazutoshi Kuwahara

    Managing Director of Japanese Operations

  • Luke Oxenham

    Director Corporate Finance & Investor Relations

    • Tenure: 4.5yrs
  • Tom McInerney (62yo)

    President

    • Tenure: 6.5yrs
    • Compensation: $9.31m
  • John Apostle

    Chief Compliance Officer

    • Tenure: 15.2yrs
  • Robert Vrolyk

    Chief Actuary and Senior Vice President

    • Tenure: 10.4yrs
  • Ward Bobitz (54yo)

    Executive VP & General Counsel

    • Tenure: 4.5yrs
    • Compensation: $2.04m

Board Members

  • G. Conrad (71yo)

    Director

    • Tenure: 6.3yrs
    • Compensation: $214.23k
  • James Riepe (75yo)

    Non-Executive Chairman of the Board

    • Tenure: 7.2yrs
    • Compensation: $383.68k
  • Bill Bolinder (75yo)

    Director

    • Tenure: 8.8yrs
    • Compensation: $226.73k
  • Bob Restrepo (68yo)

    Director

    • Tenure: 2.6yrs
    • Compensation: $233.89k
  • Tom Moloney (75yo)

    Director

    • Tenure: 9.8yrs
    • Compensation: $226.73k
  • Tom McInerney (62yo)

    President

    • Tenure: 6.5yrs
    • Compensation: $9.31m
  • Melina Higgins (51yo)

    Director

    • Tenure: 5.8yrs
    • Compensation: $214.73k
  • Debra Perry (68yo)

    Director

    • Tenure: 2.6yrs
    • Compensation: $208.98k
  • David Moffett (67yo)

    Director

    • Tenure: 6.6yrs
    • Compensation: $230.73k

Company Information

Genworth Financial, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Genworth Financial, Inc.
  • Ticker: GGK
  • Exchange: DB
  • Founded: 1871
  • Industry: life and health insurance
  • Sector: insurance
  • Market Cap: US$1.892b
  • Listing Market Cap: US$1.687b
  • Shares outstanding: 503.31m
  • Website: Click here

Number of Employees


Location

  • Genworth Financial, Inc.
  • 6620 West Broad Street
  • Richmond
  • Virginia
  • 23230
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
GNWNYSE (New York Stock Exchange)YesClass A Common StockUSUSDMay 2004
GGKDB (Deutsche Boerse AG)YesClass A Common StockDEEURMay 2004
GNW *BMV (Bolsa Mexicana de Valores)YesClass A Common StockMXMXNMay 2004

Biography

Genworth Financial, Inc. provides insurance and homeownership solutions in the United States and internationally. It operates through five segments: U.S. Mortgage Insurance, Canada Mortgage Insurance, Aust ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/20 20:32
End of Day Share Price2019/07/19 00:00
Earnings2019/03/31
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.