AIM:RQIH

Stock Analysis Report

Randall & Quilter Investment Holdings

Executive Summary

Randall & Quilter Investment Holdings Ltd., together with its subsidiaries, owns and manages insurance companies worldwide.

Snowflake

Fundamentals

Proven track record average dividend payer.

Share Price & News

How has Randall & Quilter Investment Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-4.3%

RQIH

0.9%

GB Insurance

-0.4%

GB Market


1 Year Return

4.7%

RQIH

2.7%

GB Insurance

2.9%

GB Market

Return vs Industry: RQIH exceeded the UK Insurance industry which returned 2.7% over the past year.

Return vs Market: RQIH exceeded the UK Market which returned 2.9% over the past year.


Shareholder returns

RQIHIndustryMarket
7 Day-4.3%0.9%-0.4%
30 Day7.6%2.4%-1.4%
90 Day13.1%-5.7%-2.1%
1 Year12.3%4.7%7.8%2.7%8.0%2.9%
3 Year90.5%61.8%23.5%6.2%18.0%3.6%
5 Year92.5%46.3%39.3%9.9%35.8%6.4%

Price Volatility Vs. Market

How volatile is Randall & Quilter Investment Holdings's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Randall & Quilter Investment Holdings undervalued compared to its fair value and its price relative to the market?

8.19x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: RQIH (£1.99) is trading above our estimate of fair value (£1.22)

Significantly Below Fair Value: RQIH is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: RQIH is good value based on its PE Ratio (8.2x) compared to the Insurance industry average (14.8x).

PE vs Market: RQIH is good value based on its PE Ratio (8.2x) compared to the UK market (16.8x).


Price to Earnings Growth Ratio

PEG Ratio: RQIH is poor value based on its PEG Ratio (3.9x)


Price to Book Ratio

PB vs Industry: RQIH is good value based on its PB Ratio (1.1x) compared to the GB Insurance industry average (2x).


Next Steps

Future Growth

How is Randall & Quilter Investment Holdings forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

2.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RQIH's forecast earnings growth (2.1% per year) is above the savings rate (1.2%).

Earnings vs Market: RQIH's earnings (2.1% per year) are forecast to grow slower than the UK market (12.6% per year).

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

Revenue vs Market: RQIH's revenue (64.3% per year) is forecast to grow faster than the UK market (3.9% per year).

High Growth Revenue: RQIH's revenue (64.3% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: RQIH's Return on Equity is forecast to be low in 3 years time (11%).


Next Steps

Past Performance

How has Randall & Quilter Investment Holdings performed over the past 5 years?

57.3%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: RQIH's earnings have grown significantly by 57.3% per year over the past 5 years.

Accelerating Growth: RQIH's earnings growth over the past year (261.9%) exceeds its 5-year average (57.3% per year).

Earnings vs Industry: RQIH earnings growth over the past year (261.9%) exceeded the Insurance industry 15.2%.


Return on Equity

High ROE: RQIH's Return on Equity (11.9%) is considered low.


Return on Assets

ROA vs Industry: RQIH has a higher Return on Assets than the Insurance industry average last year.


Return on Capital Employed

ROCE Improving: RQIH is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Randall & Quilter Investment Holdings'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: RQIH has a low level of unsold assets or inventory.

Debt Coverage by Assets: RQIH's debt is covered by short term assets (assets are 10.035590x debt).


Financial Institutions Analysis

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

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

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

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

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

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


Next Steps

Dividend

What is Randall & Quilter Investment Holdings's current dividend yield, its reliability and sustainability?

4.62%

Current Dividend Yield


Dividend Yield vs Market

company4.6%marketbottom25%2.0%markettop25%5.4%industryaverage4.9%forecastin3Years5.3%

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: RQIH's dividend (4.62%) is higher than the bottom 25% of dividend payers in the UK market (2.01%).

High Dividend: RQIH's dividend (4.62%) is low compared to the top 25% of dividend payers in the UK market (5.36%).

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (38.7%), RQIH's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RQIH's dividends in 3 years are forecast to be covered by earnings (53.9% payout ratio).


Next Steps

Management

What is the CEO of Randall & Quilter Investment Holdings's salary, the management and board of directors tenure and is there insider trading?

0.3yrs

Average management tenure


CEO

Alan Quilter (67yo)

0.3yrs

Tenure

UK£305,000

Compensation

Mr. Alan Kevin Quilter is the Group Deputy Chairman and Group Chief Financial Officer of Randall & Quilter Investment Holdings plc and has been Joint Group Chief Executive Officer since June 19, 2019. Mr.  ...


CEO Compensation Analysis

Compensation vs. Market: Alan's total compensation ($USD0.00) is too low to compare against companies of similar size in the UK market ($USD875.35K).

Compensation vs Earnings: Alan's compensation has been consistent with company performance over the past year.


Management Age and Tenure

0.3yrs

Average Tenure

66yo

Average Age

Experienced Management: RQIH's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.


Board Age and Tenure

1.8yrs

Average Tenure

65.5yo

Average Age

Experienced Board: RQIH's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.


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

SellUK£720,00012 Jul 19
Alan Quilter
EntityIndividual
Role
Co-Chief Executive Officer
Deputy Chairman
Shares400,000
Max PriceUK£1.80
SellUK£940,00021 May 19
Alan Quilter
EntityIndividual
Role
Co-Chief Executive Officer
Deputy Chairman
Shares500,000
Max PriceUK£1.88
SellUK£5,580,00107 May 19
Kenneth Randall
EntityIndividual
Role
Chairman of the Board
Group Executive Chairman
Shares3,000,000
Max PriceUK£1.86
BuyUK£22,95006 Mar 19
Michael Smith
EntityIndividual
Shares15,000
Max PriceUK£1.53

Ownership Breakdown


Management Team

  • Alan Quilter (67yo)

    Deputy Chairman

    • Tenure: 0.3yrs
    • Compensation: UK£305.00k
  • Ken Randall (70yo)

    Group Executive Chairman

    • Tenure: 0yrs
    • Compensation: UK£387.00k
  • Pam Sellers-Hoelsken

    Executive Vice President of US Insurance Division

    • Tenure: 0yrs
  • Roger Sellek (65yo)

    Joint Group CEO & Executive Director

    • Tenure: 0.3yrs
  • Terry McGinness

    Group Chief Information Officer

    • Tenure: 0yrs
  • Mark Langridge (55yo)

    Head of Legacy & Executive Director

    • Tenure: 1.8yrs
  • Paul Corver

    Group Head of Legacy M&A

    • Tenure: 0yrs
  • Eric Haller

    Senior Vice President of M&A for North America - Insurance Acquisitions Department

    • Tenure: 0yrs
  • George Clarke

    Group General Counsel

    • Tenure: 0yrs
  • Sangeeta Johnson

    Head of Operations

    • Tenure: 0yrs

Board Members

  • Dennis Purkiss (66yo)

    Executive Chairman of Underwriting Management

    • Tenure: 0yrs
  • Alan Quilter (67yo)

    Deputy Chairman

    • Tenure: 0.3yrs
    • Compensation: UK£305.00k
  • Ken Randall (70yo)

    Group Executive Chairman

    • Tenure: 0yrs
    • Compensation: UK£387.00k
  • Roger Sellek (65yo)

    Joint Group CEO & Executive Director

    • Tenure: 0.3yrs
  • Nicholas Dove

    Chairman of R&Q Quest Management Services Limited

    • Tenure: 0yrs
  • Phil Barnes (58yo)

    Independent Non-Executive Director

    • Tenure: 6.4yrs
    • Compensation: UK£77.00k
  • Alastair H. Campbell (74yo)

    Independent Non-Executive Director

    • Tenure: 5.8yrs
    • Compensation: UK£75.00k
  • Mark Langridge (55yo)

    Head of Legacy & Executive Director

    • Tenure: 1.8yrs
  • Jo Fox (55yo)

    Non-Executive Director

    • Tenure: 0.4yrs

Company Information

Randall & Quilter Investment Holdings Ltd's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Randall & Quilter Investment Holdings Ltd
  • Ticker: RQIH
  • Exchange: AIM
  • Founded: 1991
  • Industry: Insurance Brokers
  • Sector: Insurance
  • Market Cap: UK£389.876m
  • Shares outstanding: 195.92m
  • Website: https://www.rqih.com

Number of Employees


Location

  • Randall & Quilter Investment Holdings Ltd
  • FB Perry Building
  • 40 Church Street
  • Hamilton
  • HM HX
  • Bermuda

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
RQIHAIM (London Stock Exchange AIM Market)YesOrdinary SharesGBGBPDec 2007

Biography

Randall & Quilter Investment Holdings Ltd., together with its subsidiaries, owns and manages insurance companies worldwide. The company operates through Live, Legacy, and Other segments. It acquires legacy ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 21:39
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
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.