Essent Group
Market Cap
US$5.3b
Last Updated
2019/11/17 00:33 UTC
Data Sources
Company Financials +
Executive Summary
Essent Group Ltd., through its subsidiaries, provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States.
Snowflake
Fundamentals
Good value with limited growth.
Similar Companies
Share Price & News
How has Essent Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: ESNT has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
0.1%
ESNT
0.03%
US Mortgage
0.7%
US Market
1 Year Return
33.5%
ESNT
18.0%
US Mortgage
12.9%
US Market
Return vs Industry: ESNT exceeded the US Mortgage industry which returned 18% over the past year.
Return vs Market: ESNT exceeded the US Market which returned 12.9% over the past year.
Shareholder returns
| ESNT | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.1% | 0.03% | 0.7% |
| 30 Day | 6.3% | 3.3% | 4.4% |
| 90 Day | 11.9% | 9.4% | 7.0% |
| 1 Year | 33.9%33.5% | 20.5%18.0% | 15.4%12.9% |
| 3 Year | 87.8%87.2% | 34.8%25.3% | 49.1%39.5% |
| 5 Year | 123.2%122.5% | 74.2%55.3% | 62.7%44.7% |
Price Volatility Vs. Market
How volatile is Essent Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Essent Group Ltd. Just Beat Earnings Expectations: Here's What Analysts Think Will Happen Next2 weeks ago | Simply Wall St
The Essent Group (NYSE:ESNT) Share Price Is Up 118% And Shareholders Are Boasting About It1 month ago | Simply Wall St
Should You Take Comfort From Insider Transactions At Essent Group Ltd. (NYSE:ESNT)?Valuation
Is Essent Group undervalued compared to its fair value and its price relative to the market?
48.2%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ESNT ($53.73) is trading below our estimate of fair value ($103.64)
Significantly Below Fair Value: ESNT is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: ESNT is good value based on its PE Ratio (9.8x) compared to the Mortgage industry average (14.4x).
PE vs Market: ESNT is good value based on its PE Ratio (9.8x) compared to the US market (18.2x).
Price to Earnings Growth Ratio
PEG Ratio: ESNT is poor value based on its PEG Ratio (1.3x)
Price to Book Ratio
PB vs Industry: ESNT is overvalued based on its PB Ratio (1.9x) compared to the US Mortgage industry average (1.1x).
Next Steps
Future Growth
How is Essent Group forecast to perform in the next 1 to 3 years based on estimates from 9 analysts?
7.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ESNT's forecast earnings growth (7.3% per year) is above the savings rate (2.7%).
Earnings vs Market: ESNT's earnings (7.3% per year) are forecast to grow slower than the US market (14.4% per year).
High Growth Earnings: ESNT's earnings are forecast to grow, but not significantly.
Revenue vs Market: ESNT's revenue (10.7% per year) is forecast to grow faster than the US market (7.3% per year).
High Growth Revenue: ESNT's revenue (10.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: ESNT's Return on Equity is forecast to be low in 3 years time (17.2%).
Next Steps
Past Performance
How has Essent Group performed over the past 5 years?
36.1%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ESNT has a high level of non-cash earnings.
Growing Profit Margin: ESNT's current net profit margins (64.6%) are lower than last year (73%).
Past Earnings Growth Analysis
Earnings Trend: ESNT's earnings have grown significantly by 36.1% per year over the past 5 years.
Accelerating Growth: ESNT's earnings growth over the past year (7.1%) is below its 5-year average (36.1% per year).
Earnings vs Industry: ESNT earnings growth over the past year (7.1%) underperformed the Mortgage industry 22.9%.
Return on Equity
High ROE: ESNT's Return on Equity (18.8%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Essent Group'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: ESNT has a low level of unsold assets or inventory.
Debt Coverage by Assets: ESNT's debt is covered by short term assets (assets are 2.7x debt).
Financial Institutions Analysis
Asset Level: ESNT's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if ESNT has a sufficient allowance for bad loans.
Low Risk Liabilities: ESNT reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if ESNT has an acceptable proportion of non-loan assets held.
Low Risk Deposits: ESNT has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if ESNT has an appropriate level of bad loans.
Next Steps
Dividend
What is Essent Group's current dividend yield, its reliability and sustainability?
1.12%
Current Dividend Yield
Upcoming Dividend Payment
Purchase Essent Group before the 'Buy Limit' to receive their next dividend payment.
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: ESNT's dividend (1.12%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.42%).
High Dividend: ESNT's dividend (1.12%) is low compared to the top 25% of dividend payers in the US market (3.65%).
Stability and Growth of Payments
Stable Dividend: Too early to tell whether ESNT's dividend payments have been stable as they only just started paying a dividend.
Growing Dividend: Too early to tell if ESNT's dividend payments are increasing as they only just started paying a dividend.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (2.7%), ESNT's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: ESNT's dividends in 3 years are forecast to be thoroughly covered by earnings (11.9% payout ratio).
Next Steps
Management
What is the CEO of Essent Group's salary, the management and board of directors tenure and is there insider trading?
10.8yrs
Average management tenure
CEO
Mark Casale (54yo)
11.8yrs
Tenure
US$6,702,015
Compensation
Mr. Mark Anthony Casale has been the Chief Executive Officer of Essent US Holdings, Inc. since 2008 and serves as its President. Mr. Casale serves as Chairman, Chief Executive Officer and President at Esse ...
CEO Compensation Analysis
Compensation vs Market: Mark's total compensation ($USD6.70M) is about average for companies of similar size in the US market ($USD6.73M).
Compensation vs Earnings: Mark's compensation has been consistent with company performance over the past year.
Management Age and Tenure
10.8yrs
Average Tenure
54yo
Average Age
Experienced Management: ESNT's management team is seasoned and experienced (10.8 years average tenure).
Board Age and Tenure
6.8yrs
Average Tenure
55yo
Average Age
Experienced Board: ESNT's board of directors are considered experienced (6.8 years average tenure).
Insider Trading
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Member of the Board of Directors Independent Director |
| Shares | 2,000 |
| Max Price | US$36.48 |
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Management Team
Mark Casale (54yo)
Chairman
- Tenure: 11.8yrs
- Compensation: US$6.70m
Larry McAlee (55yo)
Senior VP & CFO
- Tenure: 10.8yrs
- Compensation: US$1.69m
Chris Curran
Senior Vice President of Corporate Development
- Tenure: 0yrs
- Compensation: US$1.73m
Bill Kaiser
Senior VP & Chief Operations Officer
- Tenure: 0yrs
Jeff Cashmer (48yo)
Senior VP & Chief Business Officer
- Tenure: 0yrs
- Compensation: US$2.09m
Vijay Bhasin (54yo)
Chief Risk Officer & Senior VP
- Tenure: 10.8yrs
- Compensation: US$2.08m
Joseph Hissong (55yo)
Senior VP & President of Essent Reinsurance Ltd.
- Tenure: 4.5yrs
- Compensation: US$1.60m
Mary Gibbons (57yo)
Chief Legal Officer
- Tenure: 11.8yrs
- Compensation: US$1.62m
David Weinstock (54yo)
Chief Accounting Officer & Vice President
- Tenure: 10.8yrs
Theodore Gray
Senior VP & Chief Information Officer
- Tenure: 0yrs
Board Members
William Spiegel (57yo)
Lead Director
- Tenure: 0yrs
- Compensation: US$230.02k
Rob Glanville (53yo)
Independent Director
- Tenure: 11.8yrs
- Compensation: US$215.02k
Roy Kasmar (63yo)
Independent Director
- Tenure: 6.8yrs
- Compensation: US$212.52k
Doug Pauls (60yo)
Independent Director
- Tenure: 5.9yrs
- Compensation: US$220.02k
Mark Casale (54yo)
Chairman
- Tenure: 11.8yrs
- Compensation: US$6.70m
Angie Heise (44yo)
Independent Director
- Tenure: 1.5yrs
- Compensation: US$143.35k
Aditya Dutt (43yo)
Independent Director
- Tenure: 9.8yrs
- Compensation: US$210.02k
Jane Chwick (56yo)
Independent Director
- Tenure: 1.5yrs
- Compensation: US$143.35k
Company Information
Essent Group Ltd.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Essent Group Ltd.
- Ticker: ESNT
- Exchange: NYSE
- Founded: 2008
- Industry: Thrifts and Mortgage Finance
- Sector: Banks
- Market Cap: US$5.287b
- Shares outstanding: 98.39m
- Website: https://www.essentgroup.com
Number of Employees
Location
- Essent Group Ltd.
- Clarendon House
- 2 Church Street
- Hamilton
- HM 11
- Bermuda
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| ESNT | NYSE (New York Stock Exchange) | Yes | Common Shares | US | USD | Nov 2013 |
| 0U95 | LSE (London Stock Exchange) | Yes | Common Shares | GB | USD | Nov 2013 |
Biography
Essent Group Ltd., through its subsidiaries, provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States. The company also provides info ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/11/17 00:33 |
| End of Day Share Price | 2019/11/15 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.