Randall & Quilter Investment Holdings (AIM:RQIH) - Share price, News & Analysis

RQIH fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	0/6
Past Performance	1/6
Financial Health	3/6
Dividends	0/6

RQIH Stock Overview

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

Risk Analysis

Large one-off items impacting financial results

Latest financial reports are more than 6 months old

Randall & Quilter Investment Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Randall & Quilter Investment Holdings
Historical stock prices
Current Share Price	UK£1.41
52 Week High	UK£1.91
52 Week Low	UK£1.36
Beta	0.42
1 Month Change	-9.50%
3 Month Change	-17.11%
1 Year Change	-17.84%
3 Year Change	-23.30%
5 Year Change	2.36%
Change since IPO	3.42%

Shareholder Returns

	RQIH	GB Insurance	GB Market
7D	-1.1%	2.3%	0.2%
1Y	-17.8%	-20.8%	-3.8%

Return vs Industry: RQIH exceeded the UK Insurance industry which returned -21.5% over the past year.

Return vs Market: RQIH underperformed the UK Market which returned -4.3% over the past year.

Price Volatility

Is RQIH's price volatile compared to industry and market?
RQIH volatility
RQIH Average Weekly Movement	5.5%
Insurance Industry Average Movement	5.0%
Market Average Movement	6.1%
10% most volatile stocks in GB Market	11.7%
10% least volatile stocks in GB Market	3.1%

Stable Share Price: RQIH is not significantly more volatile than the rest of UK stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: RQIH's weekly volatility (5%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1991	280	Alan Quilter	https://www.rqih.com

Randall & Quilter Investment Holdings Ltd., together with its subsidiaries, owns and manages insurance companies worldwide. It operates through Program Management, Legacy Insurance, and Other segments. The company acquires legacy portfolios and insurance debt; and provides capital support to Lloyd’s syndicates.

Randall & Quilter Investment Holdings Fundamentals Summary

How do Randall & Quilter Investment Holdings's earnings and revenue compare to its market cap?
RQIH fundamental statistics
Market Cap	US$473.10m
Earnings (TTM)	US$2.76m
Revenue (TTM)	US$257.37m

171.4x

P/E Ratio

1.8x

P/S Ratio

Is RQIH overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
RQIH income statement (TTM)
Revenue	US$257.37m
Cost of Revenue	US$175.86m
Gross Profit	US$81.51m
Other Expenses	US$78.75m
Earnings	US$2.76m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	0.01
Gross Margin	31.67%
Net Profit Margin	1.07%
Debt/Equity Ratio	75.0%

How did RQIH perform over the long term?

See historical performance and comparison

Dividends

1.6%

Current Dividend Yield

324%

Payout Ratio

Valuation

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

Valuation Score

1/6

Valuation Score 1/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

171.39x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: RQIH (£1.41) is trading above our estimate of fair value (£1.35)

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 (171.4x) compared to the UK Insurance industry average (15.6x).

PE vs Market: RQIH is poor value based on its PE Ratio (171.4x) compared to the UK market (15.3x).

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate RQIH's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: RQIH is good value based on its PB Ratio (1x) compared to the GB Insurance industry average (1.1x).

Future Growth

How is Randall & Quilter Investment Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

18.0%

Forecasted Insurance industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Randall & Quilter Investment Holdings has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

Past Performance

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

Past Performance Score

1/6

Past Performance Score 1/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

16.8%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: RQIH has a large one-off gain of $101.9M impacting its June 30 2021 financial results.

Growing Profit Margin: RQIH's current net profit margins (1.1%) are lower than last year (1.2%).

Past Earnings Growth Analysis

Earnings Trend: RQIH's earnings have grown by 16.8% per year over the past 5 years.

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 (-59.3%) over the past year, making it difficult to compare to the Insurance industry average (-13.9%).

Return on Equity

High ROE: RQIH's Return on Equity (0.6%) is considered low.

Financial Health

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

Financial Health Score

3/6

Financial Health Score 3/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: RQIH's short term assets ($2.4B) exceed its short term liabilities ($3.2M).

Long Term Liabilities: RQIH's short term assets ($2.4B) do not cover its long term liabilities ($3.5B).

Debt to Equity History and Analysis

Debt Level: RQIH's net debt to equity ratio (29.7%) is considered satisfactory.

Reducing Debt: RQIH's debt to equity ratio has increased from 43.9% to 75% over the past 5 years.

Debt Coverage: RQIH's debt is well covered by operating cash flow (32.2%).

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?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

1.57%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: RQIH's dividend (1.57%) isn’t notable compared to the bottom 25% of dividend payers in the UK market (1.83%).

High Dividend: RQIH's dividend (1.57%) is low compared to the top 25% of dividend payers in the UK market (4.84%).

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 fallen over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its high payout ratio (324.1%), RQIH's dividend payments are not well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Insufficient data to calculate cash payout ratio to determine if its dividend payments are covered by cash flows.

Next Steps

Explore strong dividend paying companies in the Insurance industry.

Management

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

1.3yrs

Average management tenure

CEO

Alan Quilter (69 yo)

31.33yrs

Tenure

US$2,801,595

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 ($USD2.80M) is above average for companies of similar size in the UK market ($USD983.52K).

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 ( 1.3 years average tenure), which suggests a new team.

Board Members

Experienced Board: RQIH's board of directors are not considered experienced ( 2.7 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 not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/05/13 00:00
End of Day Share Price	2022/05/13 00:00
Earnings	2021/06/30
Annual Earnings	2020/12/31