Essent Group Ltd., through its subsidiaries, provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States.
Undervalued with proven track record.
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's share price has been volatile over the past 3 months.
7 Day Return
1 Year Return
Return vs Industry: ESNT underperformed the US Mortgage industry which returned -26.6% over the past year.
Return vs Market: ESNT underperformed the US Market which returned 6.7% over the past year.
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 StWhat Kind Of Shareholders Own Essent Group Ltd. (NYSE:ESNT)?
3 weeks ago | Simply Wall StWhat Is Essent Group Ltd.'s (NYSE:ESNT) Share Price Doing?
1 month ago | Simply Wall StHow Does Essent Group's (NYSE:ESNT) P/E Compare To Its Industry, After Its Big Share Price Gain?
Is Essent Group undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: ESNT ($32.45) is trading below our estimate of fair value ($58.47)
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 (5.5x) compared to the US Mortgage industry average (10.8x).
PE vs Market: ESNT is good value based on its PE Ratio (5.5x) compared to the US market (16.2x).
Price to Earnings Growth Ratio
PEG Ratio: ESNT is good value based on its PEG Ratio (0.7x)
Price to Book Ratio
PB vs Industry: ESNT is overvalued based on its PB Ratio (1x) compared to the US Mortgage industry average (0.8x).
How is Essent Group forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: ESNT's forecast earnings growth (8.2% per year) is above the savings rate (2.2%).
Earnings vs Market: ESNT's earnings (8.2% per year) are forecast to grow slower than the US market (22.9% per year).
High Growth Earnings: ESNT's earnings are forecast to grow, but not significantly.
Revenue vs Market: ESNT's revenue (6.5% per year) is forecast to grow slower than the US market (9.4% per year).
High Growth Revenue: ESNT's revenue (6.5% 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 (13.3%).
How has Essent Group performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: ESNT has high quality earnings.
Growing Profit Margin: ESNT's current net profit margins (64.5%) are higher than last year (64.3%).
Past Earnings Growth Analysis
Earnings Trend: ESNT's earnings have grown significantly by 31% per year over the past 5 years.
Accelerating Growth: ESNT's earnings growth over the past year (19.3%) is below its 5-year average (31% per year).
Earnings vs Industry: ESNT earnings growth over the past year (19.3%) exceeded the Mortgage industry 4.9%.
Return on Equity
High ROE: ESNT's Return on Equity (18.6%) is considered low.
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
Financial Institutions Analysis
Asset Level: ESNT's Assets to Equity ratio (1.3x) 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, 100% of its liabilities are made up of higher risk sources of funding.
Loan Level: Insufficient data to determine if ESNT has an appropriate level of Loans to Assets ratio.
Low Risk Deposits: ESNT reports no customer deposits, loans are made up entirely of externally borrowed funds.
Level of Bad Loans: Insufficient data to determine if ESNT has an appropriate level of bad loans.
What is Essent Group current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: ESNT's dividend (1.97%) is higher than the bottom 25% of dividend payers in the US market (1.68%).
High Dividend: ESNT's dividend (1.97%) is low compared to the top 25% of dividend payers in the US market (4.6%).
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 (7.8%), 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 (13.1% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mark Casale (55yo)
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 ($USD8.06M) is above average for companies of similar size in the US market ($USD5.85M).
Compensation vs Earnings: Mark's compensation has increased by more than 20% in the past year.
|Senior VP & CFO||11.5yrs||US$1.71m||0.17% $6.2m|
|Senior Vice President of Corporate Development||no data||US$1.88m||0.14% $5.1m|
|Chief Risk Officer & Senior VP||11.5yrs||US$2.13m||0.16% $5.6m|
|Senior VP & Chief Business Officer||no data||US$2.01m||0.10% $3.8m|
|Senior VP & Chief Operations Officer||no data||no data||no data|
|Chief Accounting Officer & VP||11.5yrs||no data||no data|
|Senior VP & Chief Information Officer||no data||no data||no data|
|Senior VP & Chief Legal Officer||12.5yrs||US$1.62m||0.20% $7.0m|
|Senior Vice President||5.17yrs||US$1.60m||0.044% $1.6m|
|Senior Vice President of Strategic Initiatives||no data||no data||no data|
|Secretary||no data||no data||no data|
Experienced Management: ESNT's management team is seasoned and experienced (11.5 years average tenure).
|Lead Independent Director||no data||US$270.74k||0.025% $899.9k|
|Independent Director||12.5yrs||US$250.74k||0.035% $1.3m|
|Independent Director||7.5yrs||US$255.74k||0.022% $790.8k|
|Independent Director||6.58yrs||US$255.74k||0.025% $882.4k|
|Independent Director||2.17yrs||US$230.74k||0.0051% $184.2k|
|Independent Director||10.5yrs||US$230.74k||0.025% $899.9k|
|Independent Director||2.17yrs||US$230.74k||0.0051% $184.2k|
Experienced Board: ESNT's board of directors are considered experienced (7.5 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: ESNT insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 12.5%.
Essent Group Ltd.'s company bio, employee growth, exchange listings and data sources
- Name: Essent Group Ltd.
- Ticker: ESNT
- Exchange: NYSE
- Founded: 2008
- Industry: Thrifts and Mortgage Finance
- Sector: Banks
- Market Cap: US$3.590b
- Shares outstanding: 110.62m
- Website: https://www.essentgroup.com
Number of Employees
- Essent Group Ltd.
- Clarendon House
- 2 Church Street
- HM 11
|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|
Essent Group Ltd., through its subsidiaries, provides private mortgage insurance and reinsurance for mortgages secured by residential properties located in the United States. Its mortgage insurance products include primary, pool, and master policy. The company also provides information technology maintenance and development services; customer support-related services; and contract underwriting services. It serves the originators of residential mortgage loans, such as regulated depository institutions, mortgage banks, credit unions, and other lenders. The company was founded in 2008 and is based in Hamilton, Bermuda.
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2020/07/13 07:16|
|End of Day Share Price||2020/07/10 00:00|
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.