Sagicor Group Jamaica (JMSE:SJ) - Share price, News & Analysis

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

SJ Stock Overview

Sagicor Group Jamaica Limited, together with its subsidiaries, provides various financial services in Jamaica, the Cayman Islands, the United States, and internationally.

Rewards

PE ratio (13.7x) is below the JM market (19.1x)

Earnings grew by 9% over the past year

Risk Analysis

Dividend of 3.66% is not well covered by earnings or forecast to be in the next 3 years

High level of non-cash earnings

Latest financial reports are more than 6 months old

Sagicor Group Jamaica Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Sagicor Group Jamaica
Historical stock prices
Current Share Price	JA$57.99
52 Week High	JA$68.00
52 Week Low	JA$48.60
Beta	0.23
1 Month Change	1.77%
3 Month Change	0.63%
1 Year Change	14.72%
3 Year Change	28.87%
5 Year Change	73.10%
Change since IPO	4,042.14%

Shareholder Returns

	SJ	JM Insurance	JM Market
7D	5.4%	5.1%	0.5%
1Y	14.7%	13.5%	5.0%

Return vs Industry: SJ exceeded the JM Insurance industry which returned 13.5% over the past year.

Return vs Market: SJ exceeded the JM Market which returned 5% over the past year.

Price Volatility

Is SJ's price volatile compared to industry and market?
SJ volatility
SJ Average Weekly Movement	6.6%
Insurance Industry Average Movement	4.9%
Market Average Movement	9.7%
10% most volatile stocks in JM Market	16.4%
10% least volatile stocks in JM Market	4.8%

Stable Share Price: SJ is less volatile than 75% of JM stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: SJ's weekly volatility (7%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
1840	n/a	Chris Zacca	https://www.sagicor.com

Sagicor Group Jamaica Limited, together with its subsidiaries, provides various financial services in Jamaica, the Cayman Islands, the United States, and internationally. It operates through Individual Lines, Employee Benefits, Commercial Banking, Investment Banking, and Other segments. The Individual Lines segment provides life insurance, and health and annuity products to individuals.

Sagicor Group Jamaica Fundamentals Summary

How do Sagicor Group Jamaica's earnings and revenue compare to its market cap?
SJ fundamental statistics
Market Cap	JA$226.30b
Earnings (TTM)	JA$16.48b
Revenue (TTM)	JA$98.82b

13.7x

P/E Ratio

2.3x

P/S Ratio

Is SJ overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
SJ income statement (TTM)
Revenue	JA$98.82b
Cost of Revenue	JA$47.27b
Gross Profit	JA$51.56b
Other Expenses	JA$35.08b
Earnings	JA$16.48b

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)	4.22
Gross Margin	52.17%
Net Profit Margin	16.67%
Debt/Equity Ratio	7.5%

How did SJ perform over the long term?

See historical performance and comparison

Dividends

3.7%

Current Dividend Yield

0%

Payout Ratio

Valuation

Is Sagicor Group Jamaica 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

13.73x

Price to Earnings (PE) ratio

Share Price vs. Fair Value

Below Fair Value: SJ (JMD57.99) is trading above our estimate of fair value (JMD8.5)

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

Price To Earnings Ratio

PE vs Industry: SJ is poor value based on its PE Ratio (13.7x) compared to the JM Insurance industry average (13.1x).

PE vs Market: SJ is good value based on its PE Ratio (13.7x) compared to the JM market (19.1x).

Price to Earnings Growth Ratio

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

Price to Book Ratio

PB vs Industry: SJ's PB Ratio (2x) is in line with the JM Insurance industry average.

Future Growth

How is Sagicor Group Jamaica 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

14.5%

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 Sagicor Group Jamaica 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 Sagicor Group Jamaica performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

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

6.2%

Historical annual earnings growth

Earnings and Revenue History

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

Growing Profit Margin: SJ's current net profit margins (16.7%) are lower than last year (16.8%).

Past Earnings Growth Analysis

Earnings Trend: SJ's earnings have grown by 6.2% per year over the past 5 years.

Accelerating Growth: SJ's earnings growth over the past year (9%) exceeds its 5-year average (6.2% per year).

Earnings vs Industry: SJ earnings growth over the past year (9%) exceeded the Insurance industry -3.7%.

Return on Equity

High ROE: SJ's Return on Equity (9.7%) is considered low.

Financial Health

How is Sagicor Group Jamaica'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: SJ's short term assets (JMD41.7B) exceed its short term liabilities (JMD33.9B).

Long Term Liabilities: SJ's short term assets (JMD41.7B) do not cover its long term liabilities (JMD344.8B).

Debt to Equity History and Analysis

Debt Level: SJ has more cash than its total debt.

Reducing Debt: SJ's debt to equity ratio has increased from 1.4% to 7.5% over the past 5 years.

Debt Coverage: SJ's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: SJ's interest payments on its debt are well covered by EBIT (4.9x coverage).

Balance Sheet

Dividend

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

Dividend Score

3/6

Dividend Score 3/6

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

3.66%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: SJ's dividend (3.66%) is higher than the bottom 25% of dividend payers in the JM market (1.05%).

High Dividend: SJ's dividend (3.66%) is in the top 25% of dividend payers in the JM market (2.86%)

Stability and Growth of Payments

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

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

Earnings Payout to Shareholders

Earnings Coverage: Unable to calculate sustainability of dividends as SJ has not reported any payouts.

Cash Payout to Shareholders

Cash Flow Coverage: SJ is paying a dividend but the company has no free 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?

2.3yrs

Average management tenure

CEO

Chris Zacca (60 yo)

5yrs

Tenure

Mr. Christopher W. Zacca, also known as Chris, B.Sc., M.B.A., CD, JP, serves as President & CEO of Sagicor Group Jamaica Limited. He serves as Chairman of the Board at Sagicor Investments Jamaica Limited s...

Leadership Team

Experienced Management: SJ's management team is considered experienced (2.3 years average tenure).

Board Members

Experienced Board: SJ's board of directors are seasoned and experienced ( 10.9 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.

Data	Last Updated (UTC time)
Company Analysis	2022/05/15 00:00
End of Day Share Price	2022/05/13 00:00
Earnings	2021/09/30
Annual Earnings	2020/12/31