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Market Cap

UK£9.2b

Last Updated

2021/04/10 19:39 UTC

Data Sources

Company Financials +

Executive Summary

Admiral Group plc provides car insurance products primarily in the United Kingdom, Spain, Italy, France, India, and the United States. More Details


Snowflake Analysis

Outstanding track record with adequate balance sheet and pays a dividend.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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

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


Market Performance


7 Day Return

3.0%

ADM

1.1%

GB Insurance

2.7%

GB Market


1 Year Return

42.1%

ADM

38.5%

GB Insurance

24.4%

GB Market

Return vs Industry: ADM exceeded the UK Insurance industry which returned 38.5% over the past year.

Return vs Market: ADM exceeded the UK Market which returned 24.4% over the past year.


Shareholder returns

ADMIndustryMarket
7 Day3.0%1.1%2.7%
30 Day7.2%2.6%3.9%
90 Day6.3%6.3%2.4%
1 Year50.5%42.1%44.6%38.5%30.3%24.4%
3 Year96.5%64.5%7.9%-10.7%15.2%1.5%
5 Year119.6%63.1%41.6%5.7%42.8%15.7%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

8.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ADM (£31.5) is trading below our estimate of fair value (£34.4)

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


Price To Earnings Ratio

PE vs Industry: ADM is poor value based on its PE Ratio (18.4x) compared to the GB Insurance industry average (15.2x).

PE vs Market: ADM is good value based on its PE Ratio (18.4x) compared to the UK market (25.6x).


Price to Earnings Growth Ratio

PEG Ratio: ADM's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: ADM is overvalued based on its PB Ratio (8.2x) compared to the GB Insurance industry average (1.4x).


Future Growth

How is Admiral Group forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?

-8.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ADM's earnings are forecast to decline over the next 3 years (-8.9% per year).

Earnings vs Market: ADM's earnings are forecast to decline over the next 3 years (-8.9% per year).

High Growth Earnings: ADM's earnings are forecast to decline over the next 3 years.

Revenue vs Market: ADM's revenue is expected to decline over the next 3 years (-11.6% per year).

High Growth Revenue: ADM's revenue is forecast to decline over the next 3 years (-11.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ADM's Return on Equity is forecast to be high in 3 years time (37.3%)


Past Performance

How has Admiral Group performed over the past 5 years?

14.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ADM has high quality earnings.

Growing Profit Margin: ADM's current net profit margins (38.6%) are higher than last year (34.6%).


Past Earnings Growth Analysis

Earnings Trend: ADM's earnings have grown by 14.5% per year over the past 5 years.

Accelerating Growth: ADM's earnings growth over the past year (19.7%) exceeds its 5-year average (14.5% per year).

Earnings vs Industry: ADM earnings growth over the past year (19.7%) exceeded the Insurance industry -13%.


Return on Equity

High ROE: ADM's Return on Equity (44.7%) is considered outstanding.


Financial Health

How is Admiral Group's financial position?


Financial Position Analysis

Short Term Liabilities: ADM's short term assets (£5.0B) exceed its short term liabilities (£3.7B).

Long Term Liabilities: ADM's short term assets (£5.0B) exceed its long term liabilities (£3.1B).


Debt to Equity History and Analysis

Debt Level: ADM's debt to equity ratio (43.5%) is considered high.

Reducing Debt: ADM's debt to equity ratio has increased from 35.3% to 43.5% over the past 5 years.

Debt Coverage: ADM's debt is well covered by operating cash flow (124.6%).

Interest Coverage: ADM's interest payments on its debt are well covered by EBIT (29.2x coverage).


Balance Sheet


Dividend

What is Admiral Group current dividend yield, its reliability and sustainability?

4.97%

Current Dividend Yield


Upcoming Dividend Payment

TodayApr 11 2021Ex Dividend DateMay 06 2021Dividend Pay DateJun 04 202129 days from Ex DividendBuy in the next 25 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: ADM's dividend (4.97%) is higher than the bottom 25% of dividend payers in the UK market (1.39%).

High Dividend: ADM's dividend (4.97%) is in the top 25% of dividend payers in the UK market (4.24%)


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (69.5%), ADM's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: ADM's dividends in 3 years are not forecast to be well covered by earnings (108% payout ratio).


Next Steps

Management

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

1.9yrs

Average management tenure


CEO

Milena Mondini-de-Focatiis

0.25

Tenure

UK£1,608,803

Compensation

Ms. Milena Mondini-de-Focatiis has been Executive Director at Admiral Group plc since August 11, 2020 and its Chief Executive Officer since January 1, 2021. She is deeply embedded in the Admiral culture wi...


CEO Compensation Analysis

Compensation vs Market: Milena's total compensation ($USD2.21M) is below average for companies of similar size in the UK market ($USD3.58M).

Compensation vs Earnings: Insufficient data to compare Milena's compensation with company performance.


Leadership Team

Experienced Management: ADM's management team is not considered experienced ( 1.9 years average tenure), which suggests a new team.


Board Members

Experienced Board: ADM's board of directors are considered experienced (3.2 years average tenure).


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.


Top Shareholders

Company Information

Admiral Group plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Admiral Group plc
  • Ticker: ADM
  • Exchange: LSE
  • Founded: 1993
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Market Cap: UK£9.174b
  • Shares outstanding: 291.24m
  • Website: https://admiralgroup.co.uk

Number of Employees


Location

  • Admiral Group plc
  • Ty Admiral
  • David Street
  • Cardiff
  • South Glamorgan
  • CF10 2EH
  • United Kingdom

Listings


Biography

Admiral Group plc provides car insurance products primarily in the United Kingdom, Spain, Italy, France, India, and the United States. The company operates through UK Insurance, International Insurance, Ad...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/04/10 19:39
End of Day Share Price2021/04/09 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


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.