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Markel

LSE:0JYM
Snowflake Description

Adequate balance sheet with reasonable growth potential.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
0JYM
LSE
$14B
Market Cap
  1. Home
  2. GB
  3. Insurance
Company description

Markel Corporation, a diverse financial holding company, markets and underwrites specialty insurance products in the United States, the United Kingdom, Canada, and internationally. The last earnings update was 52 days ago. More info.


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0JYM Share Price and Events
7 Day Returns
0%
LSE:0JYM
3.5%
GB Insurance
0.6%
GB Market
1 Year Returns
-14.3%
LSE:0JYM
-5%
GB Insurance
1.1%
GB Market
0JYM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Markel (0JYM) 0% - - -14.3% - -
GB Insurance 3.5% 5.2% 10.1% -5% 14.9% 23.7%
GB Market 0.6% 1.9% 6.9% 1.1% 15.6% 6.2%
1 Year Return vs Industry and Market
  • 0JYM underperformed the Insurance industry which returned -5% over the past year.
  • 0JYM underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned 1.1% over the past year.
Price Volatility
0JYM
Industry
5yr Volatility vs Market

0JYM Value

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

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Markel to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Markel.

LSE:0JYM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= $732.41 * 4.9%
$35.54
Book Value of Equity per Share Weighted future Book Value estimates from 3 analysts. $732.41
Discount Rate (Cost of Equity) See below 6.6%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:0JYM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6%
Insurance Unlevered Beta Simply Wall St/ S&P Global 0.72
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.724 (1 + (1- 21%) (21.39%))
0.897
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.9
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (0.897 * 5.96%)
6.57%

Discounted Cash Flow Calculation for LSE:0JYM using Excess Returns Model Model

The calculations below outline how an intrinsic value for Markel is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

LSE:0JYM Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (4.9% – 6.57%) * $732.41)
$-12.61
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $-12.61 / (6.57% - 1.23%)
$-235.90
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $732.41 + $-235.90
$496.5
LSE:0JYM Discount to Share Price
Calculation Result
Non-primary Listing Adjustment Factor 1 share in LSE:0JYM represents 0.97537x of NYSE:MKL
(This could be a different class, a depositary receipt, a different currency, or all of these things.)
0.97537x
Value per Share
(Listing Adjusted, USD)
= Value per Share (USD) x Listing Adjustment Factor
= $ 496.50 x 0.97537
$484.27
Value per share (USD) From above. $484.27
Current discount Discount to share price of $989.83
= -1 x ($989.83 - $484.27) / $484.27
-104.4%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Markel is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Markel's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Markel's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:0JYM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $-9.55
NYSE:MKL Share Price ** NYSE (2019-03-26) in USD $1014.82
United Kingdom of Great Britain and Northern Ireland Insurance Industry PE Ratio Median Figure of 19 Publicly-Listed Insurance Companies 16.26x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 797 Publicly-Listed Companies 16.29x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Markel.

LSE:0JYM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:MKL Share Price ÷ EPS (both in USD)

= 1014.82 ÷ -9.55

-106.23x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Markel is loss making, we can't compare its value to the GB Insurance industry average.
  • Markel is loss making, we can't compare the value of its earnings to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Markel's expected growth come at a high price?
Raw Data
LSE:0JYM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -106.23x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts
66.5%per year
United Kingdom of Great Britain and Northern Ireland Insurance Industry PEG Ratio Median Figure of 16 Publicly-Listed Insurance Companies 1.54x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 564 Publicly-Listed Companies 1.48x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for Markel, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Markel's assets?
Raw Data
LSE:0JYM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $653.86
NYSE:MKL Share Price * NYSE (2019-03-26) in USD $1014.82
United Kingdom of Great Britain and Northern Ireland Insurance Industry PB Ratio Median Figure of 24 Publicly-Listed Insurance Companies 2.12x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,367 Publicly-Listed Companies 1.51x
LSE:0JYM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:MKL Share Price ÷ Book Value per Share (both in USD)

= 1014.82 ÷ 653.86

1.55x

* Primary Listing of Markel.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Markel is good value based on assets compared to the GB Insurance industry average.
X
Value checks
We assess Markel's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check)
  5. Markel has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

0JYM Future Performance

 How is Markel expected to perform in the next 1 to 3 years based on estimates from 5 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
66.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Markel expected to grow at an attractive rate?
  • Markel's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • Markel's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
  • Markel's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:0JYM Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:0JYM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 5 Analysts 66.5%
LSE:0JYM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 5 Analysts 8.5%
United Kingdom of Great Britain and Northern Ireland Insurance Industry Earnings Growth Rate Market Cap Weighted Average 11.8%
United Kingdom of Great Britain and Northern Ireland Insurance Industry Revenue Growth Rate Market Cap Weighted Average 18.3%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 11%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 4.8%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:0JYM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:0JYM Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 8,208 516 5
2019-12-31 7,734 518 4
LSE:0JYM Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 6,841 893 -133
2018-09-30 7,461 1,023 1,041
2018-06-30 6,731 928 382
2018-03-31 6,225 904 248
2017-12-31 6,062 859 362
2017-09-30 5,828 809 65
2017-06-30 5,753 702 406
2017-03-31 5,648 651 338
2016-12-31 5,612 535 440
2016-09-30 5,604 425 511
2016-06-30 5,515 483 536
2016-03-31 5,444 524 554

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Markel's earnings are expected to grow significantly at over 20% yearly.
  • Markel's revenue is expected to grow by 8.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:0JYM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below

All data from Markel Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:0JYM Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 38.11 42.75 35.68 4.00
2019-12-31 37.63 39.28 36.60 3.00
LSE:0JYM Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 -9.55
2018-09-30 74.78
2018-06-30 27.39
2018-03-31 17.75
2017-12-31 25.89
2017-09-30 4.65
2017-06-30 29.01
2017-03-31 24.12
2016-12-31 31.41
2016-09-30 36.49
2016-06-30 38.31
2016-03-31 39.63

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Markel is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Markel's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Markel has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

0JYM Past Performance

  How has Markel performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Markel's growth in the last year to its industry (Insurance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Markel does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
  • Unable to compare Markel's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare Markel's 1-year growth to the GB Insurance industry average as it is not currently profitable.
Earnings and Revenue History
Markel's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Markel Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:0JYM Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 6,841.29 -133.01
2018-09-30 7,460.70 1,041.47
2018-06-30 6,730.90 381.63
2018-03-31 6,225.38 247.55
2017-12-31 6,061.66 361.53
2017-09-30 5,828.02 64.97
2017-06-30 5,753.15 406.28
2017-03-31 5,647.60 338.03
2016-12-31 5,612.03 440.22
2016-09-30 5,603.86 511.00
2016-06-30 5,515.34 536.03
2016-03-31 5,444.01 554.19
2015-12-31 5,369.98 586.92
2015-09-30 5,285.28 501.22
2015-06-30 5,241.80 471.87
2015-03-31 5,196.17 414.81
2014-12-31 5,133.67 313.00
2014-09-30 5,077.70 297.37
2014-06-30 4,970.08 288.43
2014-03-31 4,742.87 279.03
2013-12-31 4,323.08 282.98
2013-09-30 3,851.25 245.53
2013-06-30 3,425.36 231.29
2013-03-31 3,086.84 284.82
2012-12-31 3,000.11 250.28
2012-09-30 2,877.26 240.29
2012-06-30 2,787.57 242.19

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if Markel has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • Markel used its assets less efficiently than the GB Insurance industry average last year based on Return on Assets.
  • It is difficult to establish if Markel improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess Markel's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Markel has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

0JYM Health

 How is Markel's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Markel's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Markel is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Markel's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Markel's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 3.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Markel Company Filings, last reported 3 months ago.

LSE:0JYM Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 9,274.36 3,009.58 3,091.86
2018-09-30 9,938.89 2,993.24 4,265.73
2018-06-30 9,633.41 3,024.31 3,892.96
2018-03-31 9,476.87 3,048.10 4,086.21
2017-12-31 9,667.85 3,099.23 4,359.43
2017-09-30 9,060.15 2,471.42 4,071.83
2017-06-30 9,039.21 2,485.67 4,019.63
2017-03-31 8,739.19 2,581.61 4,030.77
2016-12-31 8,541.09 2,574.53 4,074.90
2016-09-30 8,604.94 2,589.35 4,145.70
2016-06-30 8,511.77 2,602.43 4,003.43
2016-03-31 8,314.23 2,299.76 3,608.56
2015-12-31 7,903.57 2,239.27 4,272.27
2015-09-30 7,754.09 2,240.52 4,585.18
2015-06-30 7,801.77 2,246.88 4,038.19
2015-03-31 7,932.51 2,249.55 3,689.96
2014-12-31 7,663.05 2,253.59 3,555.02
2014-09-30 7,240.62 2,273.80 3,452.28
2014-06-30 7,207.14 2,258.52 3,693.74
2014-03-31 6,961.10 2,255.82 3,499.65
2013-12-31 6,750.19 2,256.23 3,430.81
2013-09-30 6,533.83 2,250.48 3,274.78
2013-06-30 6,400.71 2,249.82 2,698.32
2013-03-31 4,230.92 1,732.25 2,279.39
2012-12-31 3,975.24 1,492.55 1,837.10
2012-09-30 3,893.66 1,510.60 1,563.87
2012-06-30 3,742.90 1,309.53 1,302.94
  • Markel's level of debt (32.5%) 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 (33.4% vs 32.5% today).
  • Debt is well covered by operating cash flow (29.7%, greater than 20% of total debt).
  • Markel is making a loss, therefore interest payments are not well covered by earnings.
X
Financial health checks
We assess Markel's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Markel has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

0JYM Dividends

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

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Markel dividends.
If you bought $2,000 of Markel shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Markel's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Markel's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:0JYM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 5 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Insurance Industry Average Dividend Yield Market Cap Weighted Average of 21 Stocks 4.5%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 706 Stocks 4.2%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.2%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:0JYM Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31
2019-12-31

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Markel has not reported any payouts.
  • Unable to verify if Markel's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Markel's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Markel has not reported any payouts.
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Markel's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Markel afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Markel has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

0JYM Management

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

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Tom Gayner
COMPENSATION $3,713,001
AGE 57
TENURE AS CEO 3.3 years
CEO Bio

Eagle Partners LLC. He served as an Equity Analyst at Davenport & Company LLC's Research Division. He serves as the Chairman of various funds in the fund complex of Davis Funds. He has been an Independent Director of Cable ONE, Inc. since June 5, 2015, Colfax Corporation since May 13, 2008 and WP Company LLC since January 18, 2007. He has been a Director of Markel Corp. since August 30, 2016. He serves as Lead Independent Director at Cable ONE, Inc. He has been an Independent Director at Graham Holdings Company since January 18, 2007. Mr. Gayner serves on the Board of Directors of the Community Foundation of Richmond. He serves as a Director of Diamond Healthcare Corporation. He served as a Director of Markel Gayner Asset Management Corporation until 2004. He served as a Director of Markel Corporation from 1998 to 2004. Mr. Gayner received a B.S. in Commerce from the McIntire School at the University of Virginia in 1983.

CEO Compensation
  • Tom's compensation has increased whilst company is loss making.
  • Tom's remuneration is about average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the Markel management team in years:

2.3
Average Tenure
57.5
Average Age
  • The tenure for the Markel management team is about average.
Management Team

Alan Kirshner

TITLE
Executive Chairman
COMPENSATION
$1M
AGE
82

Tom Gayner

TITLE
Co-CEO & Director
COMPENSATION
$4M
AGE
57
TENURE
3.3 yrs

Richie Whitt

TITLE
Co-CEO & Director
COMPENSATION
$4M
AGE
54
TENURE
3.3 yrs

Brad Kiscaden

TITLE
President & Chief Administrative Officer
COMPENSATION
$2M
AGE
55
TENURE
0.6 yrs

Bob Cox

TITLE
President & COO
COMPENSATION
$2M
AGE
60
TENURE
0.6 yrs

Jeremy Noble

TITLE
Senior VP & CFO
COMPENSATION
$1M
AGE
42
TENURE
0.6 yrs

Linda Schreiner

TITLE
Senior Vice President of Strategic Management
COMPENSATION
$1M
AGE
58
TENURE
3.3 yrs

Saurabh Madaan

TITLE
Managing Director of Investments
TENURE
1.3 yrs

Nora Crouch

TITLE
Chief Accounting Officer & Controller
AGE
58
TENURE
8.9 yrs

Bruce Kay

TITLE
Managing Director - Investor Relations
Board of Directors Tenure

Average tenure and age of the Markel board of directors in years:

10.2
Average Tenure
70.5
Average Age
  • The average tenure for the Markel board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Alan Kirshner

TITLE
Executive Chairman
COMPENSATION
$1M
AGE
82
TENURE
32.6 yrs

Tom Gayner

TITLE
Co-CEO & Director
COMPENSATION
$4M
AGE
57
TENURE
2.7 yrs

Richie Whitt

TITLE
Co-CEO & Director
COMPENSATION
$4M
AGE
54
TENURE
2.7 yrs

Steve Markel

TITLE
Vice Chairman
COMPENSATION
$1M
AGE
69
TENURE
27.1 yrs

Tony Markel

TITLE
Vice Chairman
COMPENSATION
$690K
AGE
76
TENURE
10.9 yrs

Al Broaddus

TITLE
Director
COMPENSATION
$229K
AGE
78
TENURE
14.7 yrs

Lem Lewis

TITLE
Director
COMPENSATION
$244K
AGE
71
TENURE
12.2 yrs

Debora Wilson

TITLE
Director
COMPENSATION
$233K
AGE
61
TENURE
9.5 yrs

Stewart Kasen

TITLE
Lead Director
COMPENSATION
$255K
AGE
78
TENURE
7.9 yrs

Darrell Martin

TITLE
Director
COMPENSATION
$234K
AGE
70
TENURE
9.5 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Markel insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
18. Mar 19 Buy Lemuel Lewis Individual 15. Mar 19 15. Mar 19 100 $1,013.00 $101,300
11. Mar 19 Buy K. Connell Individual 07. Mar 19 07. Mar 19 200 $968.78 $193,756
07. Mar 19 Sell Nora Crouch Individual 06. Mar 19 06. Mar 19 -50 $985.27 $-49,263
16. Nov 18 Buy Lemuel Lewis Individual 15. Nov 18 15. Nov 18 250 $1,096.50 $274,125
06. Nov 18 Sell Anthony Markel Individual 05. Nov 18 05. Nov 18 -149 $1,090.00 $-162,410
06. Nov 18 Buy Nora Crouch Individual 05. Nov 18 05. Nov 18 9 $1,099.26 $9,893
07. Sep 18 Sell Richard Whitt Individual 05. Sep 18 05. Sep 18 -500 $1,202.81 $-601,398
24. May 18 Sell Nora Crouch Individual 22. May 18 22. May 18 -90 $1,151.58 $-103,983
X
Management checks
We assess Markel's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Markel has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

0JYM News

Simply Wall St News

0JYM Company Info

Description

Markel Corporation, a diverse financial holding company, markets and underwrites specialty insurance products in the United States, the United Kingdom, Canada, and internationally. Its Insurance segment offers general and professional liability, property, personal lines, marine and energy, specialty programs, and workers' compensation insurance products. This segment also offers contract, commercial, and court bonds; coverage on automobiles or other vehicles held as collateral for loans; coverages for horse mortality, theft, infertility, transit, and specified perils; crime coverage; property and liability package coverage to small and medium sized businesses; accident and health coverage; coverage for legal expenses; and short-term trade credit coverage for commercial risks. The company’s Reinsurance segment offers general liability, professional liability, workers' compensation, medical malpractice, environmental impairment liability, and auto liability; property treaty products for catastrophe, per risk, and retrocessional exposures; and specialty treaty reinsurance products comprising structured and whole turnover credit, political risk, mortgage and contract, and commercial surety reinsurance programs. Its Markel Ventures segment provides equipment used in baking systems and food processing; portable dredges; over-the-road car haulers and equipment; laminated oak and composite wood flooring; storage and transportation equipment for specialty gas; dormitory furniture, wall systems, medical casework, and marine panels; ornamental plants; fashion handbags; residential homes; and behavioral healthcare, concierge health programs, retail intelligence, and management and technology consulting services, as well as leases and manages manufactured housing communities. The company’s Other segment operates as an insurance-linked securities investment fund manager. Markel Corporation was founded in 1930 and is headquartered in Glen Allen, Virginia.

Details
Name: Markel Corporation
0JYM
Exchange: LSE
Founded: 1930
$14,070,797,953
13,865,314
Website: http://www.markelcorp.com
Address: Markel Corporation
4521 Highwoods Parkway,
Glen Allen,
Virginia, 23060,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE MKL Common Shares New York Stock Exchange US USD 12. Dec 1986
DB MKV Common Shares Deutsche Boerse AG DE EUR 12. Dec 1986
LSE 0JYM Common Shares London Stock Exchange GB USD 12. Dec 1986
BMV MKL * Common Shares Bolsa Mexicana de Valores MX MXN 12. Dec 1986
Number of employees
Current staff
Staff numbers
17,400
Markel employees.
Industry
Property and Casualty Insurance
Insurance
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/04/21 22:08
End of day share price update: 2019/03/26 00:00
Last estimates confirmation: 2019/04/17
Last earnings filing: 2019/02/28
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.