Loews Valuation

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

Valuation Score

4/6

Valuation Score 4/6

  • 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 LTR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: LTR (€82.5) is trading below our estimate of fair value (€134.34)

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


Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for LTR. This is calculated by dividing LTR's market cap by their current earnings.
What is LTR's PE Ratio?
PE Ratio11.3x
EarningsUS$1.67b
Market CapUS$18.86b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for LTR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average11.8x
TLX Talanx
10.8x5.0%€20.4b
HNR1 Hannover Rück
13.2x5.7%€29.7b
MUV2 Münchener Rückversicherungs-Gesellschaft in München
11.3x2.9%€64.6b
ALV Allianz
11.7x5.9%€111.1b
LTR Loews
11.3xn/a€18.9b

Price-To-Earnings vs Peers: LTR is good value based on its Price-To-Earnings Ratio (11.3x) compared to the peer average (11.8x).


Price to Earnings Ratio vs Industry

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

1 CompanyPrice / EarningsEstimated GrowthMarket Cap
LTR 11.3xIndustry Avg. 11.8xNo. of Companies13PE0816243240+
1 CompanyEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: LTR is good value based on its Price-To-Earnings Ratio (11.3x) compared to the European Insurance industry average (12.1x).


Price to Earnings Ratio vs Fair Ratio

What is LTR'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.

LTR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.3x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate LTR's Price-To-Earnings Fair Ratio for valuation analysis.


Analyst Price Targets

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

Analyst Forecast: Insufficient data to show price forecast.


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