CPSE:TRYG

Stock Analysis Report

Executive Summary

Tryg A/S, together with its subsidiaries, provides insurance products and services for private and corporate customers, and small and medium sized businesses in Denmark, the United Kingdom, the United States, and internationally.

Rewards

Trading at 15.7% below its fair value

Earnings are forecast to grow 0.98% per year

Risk Analysis

Dividend of 3.47% is not well covered by earnings or forecast to be in the next 3 years



Snowflake Analysis

Questionable track record with limited growth.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: TRYG has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0.8%

TRYG

0.9%

DK Insurance

1.7%

DK Market


1 Year Return

21.5%

TRYG

19.0%

DK Insurance

24.1%

DK Market

Return vs Industry: TRYG exceeded the Danish Insurance industry which returned 19% over the past year.

Return vs Market: TRYG underperformed the Danish Market which returned 24.1% over the past year.


Shareholder returns

TRYGIndustryMarket
7 Day0.8%0.9%1.7%
30 Day4.8%-0.6%2.8%
90 Day-1.2%4.3%10.1%
1 Year25.8%21.5%26.7%19.0%27.8%24.1%
3 Year86.3%53.5%38.6%18.2%58.4%44.9%
5 Year91.3%42.6%68.2%29.1%88.0%61.9%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Tryg undervalued compared to its fair value and its price relative to the market?

15.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: TRYG (DKK195.9) is trading below our estimate of fair value (DKK232.31)

Significantly Below Fair Value: TRYG is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: TRYG is poor value based on its PE Ratio (26.2x) compared to the Insurance industry average (12.3x).

PE vs Market: TRYG is poor value based on its PE Ratio (26.2x) compared to the Danish market (15.7x).


Price to Earnings Growth Ratio

PEG Ratio: TRYG is poor value based on its PEG Ratio (26.8x)


Price to Book Ratio

PB vs Industry: TRYG is overvalued based on its PB Ratio (5x) compared to the XE Insurance industry average (1.2x).


Next Steps

Future Growth

How is Tryg forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

1.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TRYG's forecast earnings growth (1% per year) is above the savings rate (-0.3%).

Earnings vs Market: TRYG's earnings (1% per year) are forecast to grow slower than the Danish market (12.3% per year).

High Growth Earnings: TRYG's earnings are forecast to grow, but not significantly.

Revenue vs Market: TRYG's revenue (2.8% per year) is forecast to grow slower than the Danish market (6.7% per year).

High Growth Revenue: TRYG's revenue (2.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TRYG's Return on Equity is forecast to be high in 3 years time (24.4%)


Next Steps

Past Performance

How has Tryg performed over the past 5 years?

-1.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: TRYG has high quality earnings.

Growing Profit Margin: TRYG's current net profit margins (10.8%) are lower than last year (12.4%).


Past Earnings Growth Analysis

Earnings Trend: TRYG's earnings have declined by -1.4% per year over the past 5 years.

Accelerating Growth: TRYG's earnings growth over the past year (4.8%) exceeds its 5-year average (-1.4% per year).

Earnings vs Industry: TRYG earnings growth over the past year (4.8%) underperformed the Insurance industry 8.5%.


Return on Equity

High ROE: TRYG's Return on Equity (18.9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Tryg's financial position? (This company is analysed differently as a bank or financial institution)


Financial Position Analysis


Debt to Equity History and Analysis


Balance Sheet

Inventory Level: TRYG has a low level of unsold assets or inventory.

Debt Coverage by Assets: TRYG's debt is covered by short term assets (assets are 1.9x debt).


Financial Institutions Analysis

Asset Level: TRYG's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if TRYG has a sufficient allowance for bad loans.

Low Risk Liabilities: TRYG reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if TRYG has an acceptable proportion of non-loan assets held.

Low Risk Deposits: TRYG has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if TRYG has an appropriate level of bad loans.


Next Steps

Dividend

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

3.47%

Current Dividend Yield


Dividend Yield vs Market

company3.5%marketbottom25%1.5%markettop25%5.0%industryaverage4.7%forecastin3Years4.0%

Current dividend yield vs market & industry

Notable Dividend: TRYG's dividend (3.47%) is higher than the bottom 25% of dividend payers in the Danish market (1.5%).

High Dividend: TRYG's dividend (3.47%) is low compared to the top 25% of dividend payers in the Danish market (5.01%).


Stability and Growth of Payments

Stable Dividend: TRYG's dividend payments have been volatile in the past 10 years.

Growing Dividend: TRYG's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (90.4%), TRYG's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: TRYG's dividends in 3 years are not forecast to be well covered by earnings (102.1% payout ratio).


Next Steps

Management

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

4.0yrs

Average management tenure


CEO

Morten Hübbe (47yo)

8.9yrs

Tenure

ø18,799,877

Compensation

Mr. Morten Hübbe serves as Vice Chairman of the Board at SimCorp A/S since March 27, 2019. He has been the Group Chief Executive Officer of TrygVesta A/S and Tryg A/S since Feburary 1, 2011 and has been it ...


CEO Compensation Analysis

Compensation vs Market: Morten's total compensation ($USD2.79M) is above average for companies of similar size in the Danish market ($USD2.13M).

Compensation vs Earnings: Morten's compensation has increased by more than 20% in the past year.


Management Age and Tenure

4.0yrs

Average Tenure

47.5yo

Average Age

Experienced Management: TRYG's management team is considered experienced (4 years average tenure).


Board Age and Tenure

7.8yrs

Average Tenure

60.5yo

Average Age

Experienced Board: TRYG's board of directors are considered experienced (7.8 years average tenure).


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Buyø2,241,48124 Jan 19
Lars Bonde
EntityIndividual
Role
Member of Management Board
Group COO & Member of Executive Board
Shares13,229
Max Priceø170.02
Buyø2,129,78422 Jan 19
Johan Brammer
EntityIndividual
Role
Member of Management Board
Group Chief Commercial Officer & Member of Executive Board
Shares12,907
Max Priceø165.01

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Management Team

  • Morten Hübbe (47yo)

    Group CEO & Member of Executive Board

    • Tenure: 8.9yrs
    • Compensation: ø18.80m
  • Jens Galsgaard

    Chief Internal Auditor

    • Tenure: 0yrs
  • Lars Bonde (54yo)

    Group COO & Member of Executive Board

    • Tenure: 13.9yrs
    • Compensation: ø9.69m
  • Linnéa Ecorcheville

    Managing Director and Country Manager of Moderna Forsakringar

    • Tenure: 4.1yrs
  • Gianandrea Roberti

    Head of IR

    • Tenure: 4.2yrs
  • Barbara Jensen (48yo)

    Group CFO & Member of Executive Board

    • Tenure: 0.8yrs
  • Jesper Joensen (56yo)

    Group Executive Vice President of Claims and Senior Vice President of Corporate DK

    • Tenure: 3.9yrs
  • Johan Brammer (43yo)

    Group Chief Commercial Officer & Member of Executive Board

    • Tenure: 1.9yrs
    • Compensation: ø10.20m
  • Espen Stroemme (45yo)

    Senior Vice President of Commercial for Norway

    • Tenure: 3.9yrs
  • Tanja Frederiksen

    Head of Communications

    • Tenure: 0yrs

Board Members

  • Carl-Viggo Östlund (64yo)

    Supervisory Board Member

    • Tenure: 4.8yrs
    • Compensation: ø600.00k
  • Lene Skole-Sørensen (60yo)

    Supervisory Board Member

    • Tenure: 9.9yrs
    • Compensation: ø650.00k
  • Bodil Andersen (79yo)

    Deputy Chairman of Insurance Group

    • Tenure: 13.7yrs
    • Compensation: ø237.64k
  • Mari Thjømøe (57yo)

    Supervisory Board Member

    • Tenure: 7.7yrs
    • Compensation: ø650.00k
  • Tina Snejbjerg (57yo)

    Employee Representative Supervisory Board Member

    • Tenure: 9.9yrs
    • Compensation: ø500.00k
  • Jukka Pertola (59yo)

    Supervisory Board Chairman

    • Tenure: 1.8yrs
    • Compensation: ø1.32m
  • Torben Nielsen (72yo)

    Supervisory Board Vice Chairman

    • Tenure: 8.9yrs
    • Compensation: ø1.16m
  • Lone Hansen (53yo)

    Employee Representative Supervisory Board Member

    • Tenure: 7.9yrs
    • Compensation: ø500.00k
  • Ida Jensen (61yo)

    Supervisory Board Member

    • Tenure: 6.9yrs
    • Compensation: ø600.00k
  • Tom Eileng (65yo)

    Employee Representative Supervisory Board Member

    • Tenure: 3.8yrs
    • Compensation: ø460.00k

Company Information

Tryg A/S's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Tryg A/S
  • Ticker: TRYG
  • Exchange: CPSE
  • Founded: 1731
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Market Cap: ø59.238b
  • Shares outstanding: 302.08m
  • Website: https://www.tryg.com

Number of Employees


Location

  • Tryg A/S
  • Klausdalsbrovej 601
  • Ballerup
  • Capital Region of Denmark
  • 2670
  • Denmark

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
TRYGCPSE (OMX Nordic Exchange Copenhagen)YesShare CapitalDKDKKOct 2005
T2V1DB (Deutsche Boerse AG)YesShare CapitalDEEUROct 2005
0R78LSE (London Stock Exchange)YesShare CapitalGBDKKOct 2005
TGVS.FOTCPK (Pink Sheets LLC)YesShare CapitalUSUSDOct 2005
TRYGCBATS-CHIXE (BATS 'Chi-X Europe')YesShare CapitalGBDKKOct 2005

Biography

Tryg A/S, together with its subsidiaries, provides insurance products and services for private and corporate customers, and small and medium sized businesses in Denmark, the United Kingdom, the United Stat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/09 20:52
End of Day Share Price2019/12/09 00:00
Earnings2019/09/30
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.