ISE:EG7

Stock Analysis Report

Executive Summary

FBD Holdings plc, through its subsidiaries, provides property and casualty insurance products to farmers, private individuals, and business owners in Ireland.


Snowflake Analysis

Undervalued with solid track record and pays a dividend.

Share Price & News

How has FBD Holdings's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: EG7's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-1.4%

EG7

13.8%

IE Insurance

8.5%

IE Market


1 Year Return

-24.6%

EG7

-23.3%

IE Insurance

-20.7%

IE Market

Return vs Industry: EG7 underperformed the Irish Insurance industry which returned -20.5% over the past year.

Return vs Market: EG7 underperformed the Irish Market which returned -16.3% over the past year.


Shareholder returns

EG7IndustryMarket
7 Day-1.4%13.8%8.5%
30 Day-24.1%-26.7%-26.4%
90 Day-18.5%-30.1%-31.1%
1 Year-20.3%-24.6%-18.4%-23.3%-18.7%-20.7%
3 Year-9.0%-15.7%-5.3%-18.8%-10.2%-14.7%
5 Year-28.3%-33.6%0.5%-22.5%10.6%1.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is FBD Holdings undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: EG7 (€6.8) is trading below our estimate of fair value (€30.83)

Significantly Below Fair Value: EG7 is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: EG7 is good value based on its PE Ratio (2.4x) compared to the Insurance industry average (9x).

PE vs Market: EG7 is good value based on its PE Ratio (2.4x) compared to the Irish market (12.5x).


Price to Earnings Growth Ratio

PEG Ratio: EG7's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: EG7 is good value based on its PB Ratio (0.6x) compared to the XE Insurance industry average (0.9x).


Next Steps

Future Growth

How is FBD Holdings forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

-50.5%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EG7's earnings are forecast to decline over the next 3 years (-50.5% per year).

Earnings vs Market: EG7's earnings are forecast to decline over the next 3 years (-50.5% per year).

High Growth Earnings: EG7's earnings are forecast to decline over the next 3 years.

Revenue vs Market: EG7's revenue is expected to decline over the next 3 years (-2.7% per year).

High Growth Revenue: EG7's revenue is forecast to decline over the next 3 years (-2.7% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EG7's Return on Equity is forecast to be low in 3 years time (8.2%).


Next Steps

Past Performance

How has FBD Holdings performed over the past 5 years?

65.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EG7 has a high level of non-cash earnings.

Growing Profit Margin: EG7's current net profit margins (26.8%) are higher than last year (12.1%).


Past Earnings Growth Analysis

Earnings Trend: EG7 has become profitable over the past 5 years, growing earnings by 65.8% per year.

Accelerating Growth: EG7's earnings growth over the past year (132.6%) exceeds its 5-year average (65.8% per year).

Earnings vs Industry: EG7 earnings growth over the past year (132.6%) exceeded the Insurance industry 9.5%.


Return on Equity

High ROE: EG7's Return on Equity (26.2%) is considered high.


Next Steps

Financial Health

How is FBD 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: EG7 has a low level of unsold assets or inventory.

Debt Coverage by Assets: EG7's debt is covered by short term assets (assets are 6.9x debt).


Financial Institutions Analysis

Asset Level: EG7's level of assets compared to its equity is low.

Allowance for Bad Loans: Insufficient data to determine if EG7 has a sufficient allowance for bad loans.

Low Risk Liabilities: EG7 reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if EG7 has an acceptable proportion of non-loan assets held.

Low Risk Deposits: EG7 has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if EG7 has an appropriate level of bad loans.


Next Steps

Dividend

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

14.70%

Current Dividend Yield


Upcoming Dividend Payment

TodayMar 28 2020Ex Dividend DateApr 09 2020Dividend Pay DateMay 15 202036 days from Ex DividendBuy in the next 11 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: EG7's dividend (14.71%) is higher than the bottom 25% of dividend payers in the Irish market (3.43%).

High Dividend: EG7's dividend (14.71%) is in the top 25% of dividend payers in the Irish market (6.03%)


Stability and Growth of Payments

Stable Dividend: EG7's dividend payments have been volatile in the past 10 years.

Growing Dividend: EG7's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (35.5%), EG7's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: EG7's dividends in 3 years are forecast to be well covered by earnings (49.3% payout ratio).


Next Steps

Management

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

3.2yrs

Average management tenure


CEO

Fiona Muldoon (51yo)

4.58s

Tenure

€993,000

Compensation

Ms. Fiona Muldoon has been Executive Director at FBD Holdings plc since January 19, 2015 and its Group Chief Executive Officer since August 2015. Ms. Muldoon serves as Chief Executive Officer at FBD Insura ...


CEO Compensation Analysis

Compensation vs Market: Fiona's total compensation ($USD1.09M) is about average for companies of similar size in the Irish market ($USD858.75K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Fiona Muldoon
Group CEO & Executive Director4.58yrs€993.00k0.13% 304.5k
John O'Grady
Group CFO & Executive Director3.67yrs€462.00kno data
Enda Kyne
Chief Technology & Operations Officer3.17yrsno datano data
Jackie McMahon
Chief Claims Officer1.5yrsno datano data
John Cahalan
Chief Commercial Officer2.83yrsno datano data
Kate Tobin
Chief Underwriting Officer1.5yrsno datano data
Derek Hall
Company Secretary3.25yrsno data0.021% 50.2k
David Kelly
Senior Executive Mngr & Director of the Board of FBD Property & Leisure Ltdno datano datano data
Noel Skelton
Senior Executive Manager & Director of FBD Insurance Brokers Limitedno datano datano data
Enda O'Brien
Senior Executive Manager and Director of FBD Property & Leisure Limitedno datano datano data

3.2yrs

Average Tenure

Experienced Management: EG7's management team is considered experienced (3.2 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Fiona Muldoon
Group CEO & Executive Director4.58yrs€993.00k0.13% 304.5k
John O'Grady
Group CFO & Executive Director3.67yrs€462.00kno data
David Kelly
Senior Executive Mngr & Director of the Board of FBD Property & Leisure Ltdno datano datano data
Noel Skelton
Senior Executive Manager & Director of FBD Insurance Brokers Limitedno datano datano data
Enda O'Brien
Senior Executive Manager and Director of FBD Property & Leisure Limitedno datano datano data
Liam Herlihy
Independent Chairman of the Board2.83yrs€119.00k0.023% 54.4k
Padraig Walshe
Non-Executive Director8.25yrs€50.00k0.0032% 7.5k
Mary Brennan
Independent Non-Executive Director3.58yrs€62.00kno data
Walter Bogaerts
Independent Non-Executive Director4.08yrs€71.00kno data
David O'Connor
Senior Independent Non-Executive Director1.17yrs€70.00k0.0043% 10.2k

3.7yrs

Average Tenure

61yo

Average Age

Experienced Board: EG7's board of directors are considered experienced (3.7 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

FBD Holdings plc's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FBD Holdings plc
  • Ticker: EG7
  • Exchange: ISE
  • Founded: 1969
  • Industry: Multi-line Insurance
  • Sector: Insurance
  • Market Cap: €237.065m
  • Shares outstanding: 34.86m
  • Website: https://www.fbdgroup.com

Number of Employees


Location

  • FBD Holdings plc
  • FBD House
  • Bluebell
  • Dublin
  • Co. Dublin
  • 12
  • Ireland

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
EG7ISE (Irish Stock Exchange)YesOrdinary SharesIEEURJan 1992
FBHLSE (London Stock Exchange)YesOrdinary SharesGBEURJan 1992
FBDH.FOTCPK (Pink Sheets LLC)YesOrdinary SharesUSUSDJan 1992
EG7IBATS-CHIXE (BATS 'Chi-X Europe')YesOrdinary SharesGBEURJan 1992
EG7BST (Boerse-Stuttgart)YesOrdinary SharesDEEURJan 1992

Biography

FBD Holdings plc, through its subsidiaries, provides property and casualty insurance products to farmers, private individuals, and business owners in Ireland. The company operates in two segments, Underwriting and Financial Services. It offers car, home, travel, business, and farm insurance products. The company also provides general insurance underwriting, investment, pension and life brokerage, and employee services, as well as insurance services for motor, fire, liability, and other damage to property. It serves customers through a network of 34 branches. FBD Holdings plc was founded in 1969 and is headquartered in Dublin, Ireland. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/27 20:45
End of Day Share Price2020/03/27 00:00
Earnings2019/12/31
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.