DB:SR9

Stock Analysis Report

Executive Summary

Swiss Re AG, together with its subsidiaries, provides wholesale reinsurance, insurance, and other insurance-based forms of risk transfer worldwide.

Snowflake

Fundamentals

Average dividend payer and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

0%

DB:SR9

-1.0%

DE Insurance

-0.6%

DE Market


1 Year Return

16.6%

DB:SR9

18.5%

DE Insurance

-7.8%

DE Market

SR9 underperformed the Insurance industry which returned 19.7% over the past year.

SR9 outperformed the Market in Germany which returned -7.4% over the past year.


Share holder returns

SR9IndustryMarket
7 Day0%-1.0%-0.6%
30 Day-0.6%1.0%0.1%
90 Day3.2%2.2%-3.5%
1 Year23.4%16.6%23.7%18.5%-4.9%-7.8%
3 Year36.1%15.6%82.6%60.6%18.2%8.0%
5 Year85.9%38.6%99.4%59.7%30.3%12.3%

Price Volatility Vs. Market

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


Simply Wall St News

No news available

Valuation

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

41%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

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

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


Price Based on Earnings

Swiss Re is overvalued based on earnings compared to the DE Insurance industry average.

Swiss Re is overvalued based on earnings compared to the Germany market.


Price Based on Expected Growth

Swiss Re is poor value based on expected growth next year.


Price Based on Value of Assets

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


Next Steps

Future Growth

How is Swiss Re expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

27.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Swiss Re's revenue is expected to grow by 1% yearly, however this is not considered high growth (20% yearly).

Swiss Re's earnings are expected to grow significantly at over 20% yearly.

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

Swiss Re's earnings growth is expected to exceed the Germany market average.

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


Earnings per Share Growth Estimates


Future Return on Equity

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


Next Steps

Past Performance

How has Swiss Re performed over the past 5 years?

-31.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Swiss Re's year on year earnings growth rate was negative over the past 5 years and the most recent earnings are below average.

Swiss Re's 1-year earnings growth exceeds its 5-year average (27.2% vs -31.8%)

Swiss Re's earnings growth has exceeded the DE Insurance industry average in the past year (27.2% vs 9.4%).


Return on Equity

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


Return on Assets

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


Return on Capital Employed

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


Next Steps

Financial Health

How is Swiss Re's financial position?


Financial Position Analysis

Swiss Re's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

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


Debt to Equity History and Analysis

Swiss Re's level of debt (38.6%) 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 (62.3% vs 38.6% today).

Debt is not well covered by operating cash flow (14.2%, less than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 2x annual interest expense, ideally 3x coverage).


Balance Sheet

Low level of unsold assets.

Debt is covered by short term assets, assets are 4x debt.


Next Steps

Dividend

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

6.28%

Expected Dividend Yield


Dividend Yield and Payments Analysis

Swiss Re's pays a higher dividend yield than the bottom 25% of dividend payers in Germany (1.46%).

Swiss Re's dividend is above the markets top 25% of dividend payers in Germany (3.9%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (0.2x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be covered by earnings (1.6x coverage).


Next Steps

Management

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

6.0yrs

Average management tenure


CEO

Christian Mumenthaler (50yo)

3.0yrs

Tenure

US$5,814,000

Compensation

Mr. Christian Mumenthaler has been Group Chief Executive Officer of Swiss Re Ltd. since July 1, 2016 and served as its Chief Executive Officer of Reinsurance since October 21, 2011 until July 1, 2016. Mr.  ...


CEO Compensation Analysis

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

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


Management Age and Tenure

6.0yrs

Average Tenure

56yo

Average Age

The average tenure for the Swiss Re management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

4.3yrs

Average Tenure

63yo

Average Age

The tenure for the Swiss Re board of directors is about average.


Insider Trading

No 3 month individual insider trading information.


Ownership Breakdown


Management Team

  • Jonathan Isherwood (53yo)

    Head Globals - Reinsurance

    • Tenure: 6.0yrs
  • Robert Solitro

    Head of Special Lines North America

  • Anette Bronder (52yo)

    Group Chief Executive Officer

  • John Dacey (59yo)

    Group Chief Financial Officer

    • Tenure: 1.3yrs
  • Beat Strebel

    Head of the Middle East & Africa business

    • Tenure: 0.3yrs
  • Guido Fürer (56yo)

    Group Chief Investment Officer

    • Tenure: 6.7yrs
  • Philippe Brahin

    Head Investor Relations and Head Governmental Affairs & Sustainability

  • Christian Mumenthaler (50yo)

    Group Chief Executive Officer

    • Tenure: 3.0yrs
    • Compensation: $5.81m
  • Nigel Fretwell (57yo)

    Chief Human Resources Officer

    • Tenure: 6.2yrs
  • Hermann Geiger (56yo)

    Group Chief Legal Officer and Head Legal & Compliance

    • Tenure: 10.5yrs

Board Members

  • Philip Ryan (63yo)

    Non-Executive

    • Tenure: 4.3yrs
    • Compensation: $894.00k
  • Raymond Ch'ien (67yo)

    Non-Executive

    • Tenure: 11.5yrs
    • Compensation: $439.00k
  • Jay Ralph (60yo)

    Non-Executive

    • Tenure: 2.3yrs
    • Compensation: $276.00k
  • Renato Fassbind (64yo)

    Vice Chairman & Lead Independent Director

    • Tenure: 7.3yrs
    • Compensation: $826.00k
  • Jacques de Vaucleroy (58yo)

    Non-Executive Independent Director

    • Tenure: 2.3yrs
    • Compensation: $633.00k
  • Sue Wagner (58yo)

    Non-Executive

    • Tenure: 5.3yrs
    • Compensation: $575.00k
  • Trevor Manuel (63yo)

    Non-Executive

    • Tenure: 4.3yrs
    • Compensation: $351.00k
  • Paul Tucker (61yo)

    Non-Executive

    • Tenure: 3.3yrs
    • Compensation: $325.00k
  • Joerg Reinhardt (63yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: $276.00k
  • Walter Kielholz (68yo)

    Non-Executive Chairman

    • Tenure: 10.2yrs
    • Compensation: $3.88m

Company Information

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


Key Information

  • Name: Swiss Re AG
  • Ticker: SR9
  • Exchange: DB
  • Founded: 1863
  • Industry: reinsurance
  • Sector: insurance
  • Market Cap: CHF28.828b
  • Listing Market Cap: CHF26.241b
  • Shares outstanding: 300.04m
  • Website: Click here

Number of Employees


Location

  • Swiss Re AG
  • Mythenquai 50/60
  • Zurich
  • Zurich
  • 8022
  • Switzerland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SR9DB (Deutsche Boerse AG)YesNew Common StockDEEURDec 1993
SSRE.FOTCPK (Pink Sheets LLC)YesNew Common StockUSUSDDec 1993
SREN NBMV (Bolsa Mexicana de Valores)YesNew Common StockMXMXNDec 1993
SR9XTRA (XETRA Trading Platform)YesNew Common StockDEEURDec 1993
SRENSWX (SIX Swiss Exchange)YesNew Common StockCHCHFDec 1993
0QL6LSE (London Stock Exchange)YesNew Common StockGBCHFDec 1993
SSRE.YOTCPK (Pink Sheets LLC)SPON ADR EACH REPR 1 ORD SHSUSUSDMay 2011
SR9ADB (Deutsche Boerse AG)SPON ADR EACH REPR 1 ORD SHSDEEURMay 2011
SRENESWX (SIX Swiss Exchange)CHF0.10 (2ND BUY BACK LINE)CHCHFNov 2015

Biography

Swiss Re AG, together with its subsidiaries, provides wholesale reinsurance, insurance, and other insurance-based forms of risk transfer worldwide. The company operates through four segments: Property & Ca ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/07/24 00:29
End of Day Share Price2019/06/28 00:00
Earnings2018/12/31
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.