NYSE:EQH

Stock Analysis Report

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Market Cap

US$13.2b

Last Updated

2021/08/01 22:34 UTC

Data Sources

Company Financials +

Executive Summary

Equitable Holdings, Inc., together with its consolidated subsidiaries, operates as a diversified financial services company worldwide. More Details


Snowflake Analysis

Exceptional growth potential with mediocre balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: EQH is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: EQH's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

5.0%

EQH

0.1%

US Diversified Financial

-0.4%

US Market


1 Year Return

50.9%

EQH

42.3%

US Diversified Financial

35.9%

US Market

Return vs Industry: EQH exceeded the US Diversified Financial industry which returned 42.3% over the past year.

Return vs Market: EQH exceeded the US Market which returned 35.9% over the past year.


Shareholder returns

EQHIndustryMarket
7 Day5.0%0.1%-0.4%
30 Day0.2%-0.3%-0.3%
90 Day-10.7%-0.7%3.1%
1 Year54.9%50.9%42.4%42.3%38.0%35.9%
3 Year52.6%40.6%37.4%36.9%62.9%52.7%
5 Yearn/a91.7%91.2%121.3%96.9%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Equitable 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: EQH ($30.87) is trading below our estimate of fair value ($152.3)

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


Price To Earnings Ratio

PE vs Industry: EQH is unprofitable, so we can't compare its PE Ratio to the US Diversified Financial industry average.

PE vs Market: EQH is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: EQH is overvalued based on its PB Ratio (1.4x) compared to the US Diversified Financial industry average (1x).


Future Growth

How is Equitable Holdings forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

114.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: EQH is forecast to become profitable over the next 3 years, which is considered faster growth than the savings rate (2%).

Earnings vs Market: EQH is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: EQH's is expected to become profitable in the next 3 years.

Revenue vs Market: EQH's revenue (21.9% per year) is forecast to grow faster than the US market (9.2% per year).

High Growth Revenue: EQH's revenue (21.9% per year) is forecast to grow faster than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: EQH's Return on Equity is forecast to be high in 3 years time (29.9%)


Past Performance

How has Equitable Holdings performed over the past 5 years?

-46.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: EQH is currently unprofitable.

Growing Profit Margin: EQH is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: EQH is unprofitable, and losses have increased over the past 5 years at a rate of 46.8% per year.

Accelerating Growth: Unable to compare EQH's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: EQH is unprofitable, making it difficult to compare its past year earnings growth to the Diversified Financial industry (64.1%).


Return on Equity

High ROE: EQH has a negative Return on Equity (-57.83%), as it is currently unprofitable.


Financial Health

How is Equitable Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: EQH's short term assets ($24.6B) exceed its short term liabilities ($15.9B).

Long Term Liabilities: EQH's short term assets ($24.6B) do not cover its long term liabilities ($248.5B).


Debt to Equity History and Analysis

Debt Level: EQH's debt to equity ratio (28.1%) is considered satisfactory.

Reducing Debt: EQH's debt to equity ratio has reduced from 67.4% to 28.1% over the past 5 years.

Debt Coverage: EQH's debt is not well covered by operating cash flow (14.2%).

Interest Coverage: Insufficient data to determine if EQH's interest payments on its debt are well covered by EBIT.


Balance Sheet


Dividend

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

2.33%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: EQH's dividend (2.33%) is higher than the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: EQH's dividend (2.33%) is low compared to the top 25% of dividend payers in the US market (3.55%).


Stability and Growth of Payments

Stable Dividend: Whilst dividend payments have been stable, EQH has been paying a dividend for less than 10 years.

Growing Dividend: EQH's dividend payments have increased, but the company has only paid a dividend for 3 years.


Current Payout to Shareholders

Dividend Coverage: EQH is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: EQH's dividends in 3 years are forecast to be thoroughly covered by earnings (12.3% payout ratio).


Next Steps

Management

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

1.4yrs

Average management tenure


CEO

Mark Pearson (63 yo)

no data

Tenure

US$14,874,954

Compensation

Mr. Mark Pearson serves as Director at AllianceBernstein L.P. since February 2011. He is currently President and Chief Executive Officer of Equitable Holdings, which comprises Equitable Financial Life Insu...


CEO Compensation Analysis

Compensation vs Market: Mark's total compensation ($USD14.87M) is above average for companies of similar size in the US market ($USD11.20M).

Compensation vs Earnings: Mark's compensation has increased whilst the company is unprofitable.


Leadership Team

Experienced Management: EQH's management team is not considered experienced ( 1.4 years average tenure), which suggests a new team.


Board Members

Experienced Board: EQH's board of directors are not considered experienced ( 2.3 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: EQH insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

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


Top Shareholders

Company Information

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


Key Information

  • Name: Equitable Holdings, Inc.
  • Ticker: EQH
  • Exchange: NYSE
  • Founded: 1859
  • Industry: Other Diversified Financial Services
  • Sector: Diversified Financials
  • Market Cap: US$13.221b
  • Shares outstanding: 428.27m
  • Website: https://www.equitableholdings.com

Number of Employees


Location

  • Equitable Holdings, Inc.
  • 1290 Avenue Of The Americas
  • New York
  • New York
  • 10104
  • United States

Listings


Biography

Equitable Holdings, Inc., together with its consolidated subsidiaries, operates as a diversified financial services company worldwide. The company operates through four segments: Individual Retirement, Gro...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/01 22:34
End of Day Share Price2021/07/30 00:00
Earnings2021/03/31
Annual Earnings2020/12/31


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.