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Randall & Quilter Investment Holdings

Market Cap

UK£473.1m

Last Updated

2021/04/19 19:06 UTC

Data Sources

Company Financials +

Executive Summary

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


Snowflake Analysis

High growth potential with adequate balance sheet and pays a dividend.

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

Stable Share Price: RQIH is less volatile than 75% of UK stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: RQIH's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

0%

RQIH

-0.6%

GB Insurance

1.6%

GB Market


1 Year Return

22.3%

RQIH

44.8%

GB Insurance

23.4%

GB Market

Return vs Industry: RQIH underperformed the UK Insurance industry which returned 44.8% over the past year.

Return vs Market: RQIH underperformed the UK Market which returned 23.4% over the past year.


Shareholder returns

RQIHIndustryMarket
7 Day0%-0.6%1.6%
30 Day-4.4%2.6%5.2%
90 Day-5.5%7.4%4.0%
1 Year24.8%22.3%52.7%44.8%30.4%23.4%
3 Year35.0%19.4%6.6%-12.2%17.3%2.6%
5 Year117.3%67.8%40.6%4.7%48.5%19.8%

Long-Term 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?

46.71x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: RQIH (£1.73) is trading above our estimate of fair value (£0.73)

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


Price To Earnings Ratio

PE vs Industry: RQIH is poor value based on its PE Ratio (46.7x) compared to the GB Insurance industry average (16.2x).

PE vs Market: RQIH is poor value based on its PE Ratio (46.7x) compared to the UK market (26.3x).


Price to Earnings Growth Ratio

PEG Ratio: RQIH is poor value based on its PEG Ratio (1.4x)


Price to Book Ratio

PB vs Industry: RQIH is good value based on its PB Ratio (0.9x) compared to the GB Insurance industry average (1.4x).


Future Growth

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

34.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RQIH's forecast earnings growth (34.6% per year) is above the savings rate (1%).

Earnings vs Market: RQIH's earnings (34.6% per year) are forecast to grow faster than the UK market (17.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: RQIH's revenue (32.6% per year) is forecast to grow faster than the UK market (5.8% per year).

High Growth Revenue: RQIH's revenue (32.6% 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 (13.3%).


Past Performance

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

43.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RQIH has a large one-off gain of £29.1M impacting its June 30 2020 financial results.

Growing Profit Margin: RQIH's current net profit margins (1.8%) are lower than last year (48.1%).


Past Earnings Growth Analysis

Earnings Trend: RQIH has become profitable over the past 5 years, growing earnings by 43.4% per year.

Accelerating Growth: RQIH's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: RQIH had negative earnings growth (-79.2%) over the past year, making it difficult to compare to the Insurance industry average (-13%).


Return on Equity

High ROE: RQIH's Return on Equity (1.8%) is considered low.


Financial Health

How is Randall & Quilter Investment Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: RQIH's short term assets (£1.5B) exceed its short term liabilities (£2.3M).

Long Term Liabilities: RQIH's short term assets (£1.5B) do not cover its long term liabilities (£1.8B).


Debt to Equity History and Analysis

Debt Level: RQIH's debt to equity ratio (29%) is considered satisfactory.

Reducing Debt: RQIH's debt to equity ratio has reduced from 29.7% to 29% over the past 5 years.

Debt Coverage: RQIH's debt is well covered by operating cash flow (35.6%).

Interest Coverage: Insufficient data to determine if RQIH's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

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

5.49%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: RQIH's dividend (5.49%) is higher than the bottom 25% of dividend payers in the UK market (1.34%).

High Dividend: RQIH's dividend (5.49%) is in the top 25% of dividend payers in the UK market (4.11%)


Stability and Growth of Payments

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 high payout ratio (261%), RQIH's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RQIH's dividends in 3 years are forecast to be covered by earnings (58.3% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

0.9yrs

Average management tenure


CEO

Alan Quilter (68 yo)

1.25yrs

Tenure

UK£1,399,000

Compensation

Mr. Alan Kevin Quilter co-founded Randall & Quilter group in 1991. He serves as Group Chief Executive Officer at Randall & Quilter Investment Holdings Ltd. He served as Chief Executive Officer at Randall &...


CEO Compensation Analysis

Compensation vs Market: Alan's total compensation ($USD1.93M) is above average for companies of similar size in the UK market ($USD717.46K).

Compensation vs Earnings: Alan's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

Experienced Management: RQIH's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.


Board Members

Experienced Board: RQIH's board of directors are not considered experienced ( 1.3 years average tenure), which suggests a new board.


Ownership

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

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 30.5%.


Top Shareholders

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£473.092m
  • Shares outstanding: 274.26m
  • Website: https://www.rqih.com

Number of Employees


Location

  • Randall & Quilter Investment Holdings Ltd
  • F. B. Perry Building
  • 2nd Floor
  • Hamilton
  • HM 12
  • Bermuda

Listings


Biography

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


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/19 19:06
End of Day Share Price2021/04/19 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


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.