NasdaqGS:PICO

Stock Analysis Report

Executive Summary

PICO Holdings, Inc., together with its subsidiaries, engages in the water resource and water storage activities in the southwestern United States.

Snowflake

Fundamentals

Flawless balance sheet and overvalued.

Share Price & News

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


Latest Share Price and Events


Market Performance


7 Day Return

1.5%

PICO

1.8%

US Commercial Services

0.5%

US Market


1 Year Return

-6.6%

PICO

18.7%

US Commercial Services

6.8%

US Market

Return vs Industry: PICO underperformed the US Commercial Services industry which returned 18.7% over the past year.

Return vs Market: PICO underperformed the US Market which returned 6.8% over the past year.


Shareholder returns

PICOIndustryMarket
7 Day1.5%1.8%0.5%
30 Day-0.4%2.5%-0.8%
90 Day0.6%2.6%-0.9%
1 Year-6.6%-6.6%23.1%18.7%9.2%6.8%
3 Year11.3%-19.7%73.5%61.6%45.6%36.2%
5 Year-31.8%-50.8%104.1%83.6%63.2%45.4%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

272.86x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: PICO ($10.41) is trading above our estimate of fair value ($0.02)

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


Price To Earnings Ratio

PE vs Industry: PICO is poor value based on its PE Ratio (272.9x) compared to the Commercial Services industry average (25.5x).

PE vs Market: PICO is poor value based on its PE Ratio (272.9x) compared to the US market (17.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: PICO is good value based on its PB Ratio (1.2x) compared to the US Commercial Services industry average (1.8x).


Next Steps

Future Growth

How is PICO Holdings forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

18.0%

Forecasted Commercial Services 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 PICO Holdings 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.


Next Steps

Past Performance

How has PICO Holdings performed over the past 5 years?

43.4%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: PICO has become profitable over the past 5 years, growing earnings by 43.4% per year.

Accelerating Growth: PICO has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: PICO has become profitable in the last year, making it difficult to compare its past year earnings growth to the Commercial Services industry (-2.4%).


Return on Equity

High ROE: PICO's Return on Equity (0.5%) is considered low.


Return on Assets

ROA vs Industry: PICO's Return on Assets is below or equal to the Commercial Services industry average last year.


Return on Capital Employed

ROCE Improving: PICO's Return on Capital Employed has declined over the past 3 years.


Next Steps

Financial Health

How is PICO Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: PICO's short term assets ($9.7M) exceeds its short term liabilities ($259.0K)

Long Term Liabilities: PICO's short term assets (9.7M) exceeds its long term liabilities (1.7M)


Debt to Equity History and Analysis

Debt Level: PICO is debt free.

Reducing Debt: PICO has no debt compared to 5 years ago when its debt to equity ratio was 24.2%.

Debt Coverage: PICO has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: PICO has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet

Inventory Level: PICO has a low level of unsold assets or inventory.

Debt Coverage by Assets: Insufficient data to determine if PICO's debt is covered by short term assets.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage1.6%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: Unable to evaluate PICO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate PICO's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.

Stable Dividend: Insufficient data to determine if PICO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if PICO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of PICO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

What is the CEO of PICO Holdings's salary, the management and board of directors tenure and is there insider trading?

1.6yrs

Average board tenure


CEO

Dorothy Timian-Palmer (61yo)

1.2yrs

Tenure

US$406,613

Compensation

Ms. Dorothy Ann Timian-Palmer, P.E. serves as President and Chief Executive Officer of Vidler Water Company, PICO Holdings, Inc. wholly-owned subsidiary which owns water resources and water storage operati ...


CEO Compensation Analysis

Compensation vs. Market: Dorothy has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.

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


Board Age and Tenure

1.6yrs

Average Tenure

52yo

Average Age

Experienced Board: PICO's board of directors are not considered experienced ( 1.6 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: PICO insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

BuyUS$45,15912 Sep 19
Eric Speron
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares4,305
Max PriceUS$10.49
BuyUS$474,34215 Aug 19
Bandera Partners LLC
EntityCompany
Shares50,000
Max PriceUS$9.55
BuyUS$9,76014 Aug 19
Eric Speron
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares1,000
Max PriceUS$9.76
BuyUS$51,53114 Aug 19
Dorothy Timian-Palmer
EntityIndividual
Role
Chief Executive Officer
President
Shares5,262
Max PriceUS$9.84

Ownership Breakdown


Management Team

  • Dorothy Timian-Palmer (61yo)

    President

    • Tenure: 1.2yrs
    • Compensation: US$406.61k

Board Members

  • Max Webb (58yo)

    Executive Chairman of the Board

    • Tenure: 2.9yrs
    • Compensation: US$386.48k
  • Dorothy Timian-Palmer (61yo)

    President

    • Tenure: 1.2yrs
    • Compensation: US$406.61k
  • Greg Bylinsky (52yo)

    Independent Director

    • Tenure: 2.4yrs
    • Compensation: US$43.75k
  • Eric Speron (39yo)

    Lead Independent Director

    • Tenure: 1.4yrs
    • Compensation: US$35.00k
  • Nicole Weymouth (44yo)

    Independent Director

    • Tenure: 1.6yrs
    • Compensation: US$35.60k

Company Information

PICO Holdings, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: PICO Holdings, Inc.
  • Ticker: PICO
  • Exchange: NasdaqGS
  • Founded: 1981
  • Industry: Environmental and Facilities Services
  • Sector: Commercial Services
  • Market Cap: US$208.729m
  • Shares outstanding: 20.05m
  • Website: https://www.picoholdings.com

Number of Employees


Location

  • PICO Holdings, Inc.
  • 3480 GS Richards Boulevard
  • Suite 101
  • Carson City
  • Nevada
  • 89703
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
PICONasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDNov 1996
PIDDB (Deutsche Boerse AG)YesCommon StockDEEURNov 1996

Biography

PICO Holdings, Inc., together with its subsidiaries, engages in the water resource and water storage activities in the southwestern United States. It engages in selling its water rights and storage credits ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/20 23:42
End of Day Share Price2019/10/18 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.