Insurance Australia Group Limited underwrites general insurance products in Australia and New Zealand.
Solid track record with excellent balance sheet and pays a dividend.
Share Price & News
How has Insurance Australia Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NRM has not had significant price volatility in the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: NRM underperformed the German Insurance industry which returned -8.7% over the past year.
Return vs Market: NRM underperformed the German Market which returned 3.9% over the past year.
Price Volatility Vs. Market
How volatile is Insurance Australia Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Is Insurance Australia Group undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: NRM (€3.34) is trading below our estimate of fair value (€4.44)
Significantly Below Fair Value: NRM is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: NRM is poor value based on its PE Ratio (14.8x) compared to the DE Insurance industry average (10.4x).
PE vs Market: NRM is good value based on its PE Ratio (14.8x) compared to the German market (21.1x).
Price to Earnings Growth Ratio
PEG Ratio: NRM is poor value based on its PEG Ratio (1.2x)
Price to Book Ratio
PB vs Industry: NRM is overvalued based on its PB Ratio (2.1x) compared to the DE Insurance industry average (1x).
How is Insurance Australia Group forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NRM's forecast earnings growth (12.1% per year) is above the savings rate (0.2%).
Earnings vs Market: NRM's earnings (12.1% per year) are forecast to grow slower than the German market (22.3% per year).
High Growth Earnings: NRM's earnings are forecast to grow, but not significantly.
Revenue vs Market: NRM's revenue (0.7% per year) is forecast to grow slower than the German market (5.9% per year).
High Growth Revenue: NRM's revenue (0.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: NRM's Return on Equity is forecast to be low in 3 years time (12.8%).
How has Insurance Australia Group performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NRM has high quality earnings.
Growing Profit Margin: NRM's current net profit margins (11%) are higher than last year (9.2%).
Past Earnings Growth Analysis
Earnings Trend: NRM's earnings have grown by 1.9% per year over the past 5 years.
Accelerating Growth: NRM's earnings growth over the past year (27%) exceeds its 5-year average (1.9% per year).
Earnings vs Industry: NRM earnings growth over the past year (27%) exceeded the Insurance industry 10%.
Return on Equity
High ROE: NRM's Return on Equity (14%) is considered low.
How is Insurance Australia Group's financial position?
Financial Position Analysis
Short Term Liabilities: NRM's short term assets (A$11.3B) do not cover its short term liabilities (A$19.3B).
Long Term Liabilities: NRM's short term assets (A$11.3B) exceed its long term liabilities (A$3.1B).
Debt to Equity History and Analysis
Debt Level: NRM's debt to equity ratio (23.2%) is considered satisfactory.
Reducing Debt: NRM's debt to equity ratio has reduced from 25.3% to 23.2% over the past 5 years.
Debt Coverage: NRM's debt is well covered by operating cash flow (26.6%).
Interest Coverage: NRM's interest payments on its debt are well covered by EBIT (13x coverage).
What is Insurance Australia Group current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: NRM's dividend (5.4%) is higher than the bottom 25% of dividend payers in the German market (1.24%).
High Dividend: NRM's dividend (5.4%) is in the top 25% of dividend payers in the German market (3.82%)
Stability and Growth of Payments
Stable Dividend: NRM's dividend payments have been volatile in the past 10 years.
Growing Dividend: NRM's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: At its current payout ratio (80%), NRM's payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NRM's dividends in 3 years are forecast to be covered by earnings (73.7% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
PG Harmer (60yo)
Mr. Peter G. Harmer, also known as PG, serves as Chief Executive Officer, Managing Director and Executive Director at Insurance Australia Group Limited since November 16, 2015. Mr. Harmer serves as an Exec ...
CEO Compensation Analysis
Compensation vs Market: PG's total compensation ($USD3.34M) is about average for companies of similar size in the German market ($USD3.68M).
Compensation vs Earnings: PG's compensation has been consistent with company performance over the past year.
|MD, CEO & Executive Director||4.67yrs||AU$4.78m||0.054% A$4.2m|
|Deputy Chief Executive Officer||0.25yr||AU$2.91m||0.0077% A$598.1k|
|Chief Strategy & Innovation Officer||4.58yrs||AU$1.65m||0.0041% A$318.2k|
|Chief Executive of New Zealand||4.58yrs||AU$1.88m||0.012% A$903.8k|
|Chief Risk Officer||1.83yrs||AU$1.21m||no data|
|Chief Executive of Australia||3yrs||AU$2.87m||0.0047% A$369.6k|
|Acting Group Chief Financial Officer||0.25yr||no data||no data|
|Group Executive of Technology & Digital||2.42yrs||no data||no data|
|Senior Manage of Investor Relations||no data||no data||no data|
|Group General Counsel & Company Secretary||0.58yr||no data||no data|
|Chief Marketing Officer||3.42yrs||no data||no data|
|Group Executive of People||1yr||no data||no data|
Experienced Management: NRM's management team is considered experienced (2.4 years average tenure).
|MD, CEO & Executive Director||4.67yrs||AU$4.78m||0.054% A$4.2m|
|Independent Non-Executive Director||3.58yrs||AU$243.00k||0.0012% A$91.2k|
|Independent Non-Executive Director||3.58yrs||AU$292.00k||0.0014% A$109.2k|
|Independent Non-Executive Director||1.08yrs||AU$12.00k||0.00038% A$29.6k|
|Independent Non Executive Director||0.67yr||no data||no data|
|Independent Chairman of the Board||4.33yrs||AU$788.00k||0.0041% A$316.6k|
|Independent Non-Executive Director||5.5yrs||AU$267.00k||0.0014% A$110.0k|
|Independent Non-Executive Director||2.33yrs||AU$210.00k||0.0010% A$80.3k|
|Independent Non-Executive Director||4.83yrs||AU$267.00k||0.0015% A$115.4k|
|Independent Non-Executive Director||2.33yrs||AU$230.00k||0.00064% A$49.9k|
Experienced Board: NRM's board of directors are considered experienced (3.6 years average tenure).
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.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Insurance Australia Group Limited's company bio, employee growth, exchange listings and data sources
- Name: Insurance Australia Group Limited
- Ticker: NRM
- Exchange: DB
- Founded: 1925
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: AU$12.690b
- Listing Market Cap: AU$7.798b
- Shares outstanding: 2.28b
- Website: https://www.iag.com.au
Number of Employees
- Insurance Australia Group Limited
- Tower Two
- Level 13
- New South Wales
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|IAUG.F||OTCPK (Pink Sheets LLC)||Yes||Ordinary Shares||US||USD||Aug 2000|
|IAG||ASX (Australian Securities Exchange)||Yes||Ordinary Shares||AU||AUD||Aug 2000|
|NRM||DB (Deutsche Boerse AG)||Yes||Ordinary Shares||DE||EUR||Aug 2000|
|IAG||CHIA (Chi-X Australia)||Yes||Ordinary Shares||AU||AUD||Aug 2000|
|IAUG.Y||OTCPK (Pink Sheets LLC)||UNSPNSRD ADS NEW||US||USD||Oct 2008|
|IAGPD||ASX (Australian Securities Exchange)||FRN CNV PERP AUD100||AU||AUD||Feb 2017|
Insurance Australia Group Limited underwrites general insurance products in Australia and New Zealand. The company offers short-tail insurance, including motor vehicle, home and contents, business packages, farm and crop, commercial property, construction and engineering, commercial motor and fleet motor, and marine insurance, as well as lifestyle and leisure, such as boat, veteran and classic car, and caravan insurance. It also provides business insurance products comprising compulsory third party, workers' compensation, professional indemnity, directors' and officers', and public and products liability insurance. In addition, the company offers pleasure craft, travel, rural and horticultural, personal liability and commercial liability, and life insurance, as well as income protection and reinsurance products. It sells its products through branches, call centers, the Internet, representatives, brokers, agents, and financial institutions, as well as directly through call center and online channels; and third parties under the NRMA Insurance, SGIO, SGIC, RACV, Coles Insurance, CGU Insurance, WFI, Swann Insurance, NZI, State, AMI, and Lumley, as well as AmAssurance, Kurnia, and SBI General brands. The company was formerly known as NRMA Insurance Group Limited and changed its name to Insurance Australia Group Limited in 2002. Insurance Australia Group Limited was founded in 1925 and is headquartered in Sydney, Australia.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/07/13 21:36|
|End of Day Share Price||2020/07/13 00:00|
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.