NasdaqCM:AFH

Stock Analysis Report

Atlas Financial Holdings

Executive Summary

Atlas Financial Holdings, Inc., through its subsidiaries, engages in underwriting commercial automobile insurance policies in the United States.


Snowflake Analysis

Weak fundamentals or lack of information.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: AFH's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

-14.4%

AFH

-6.7%

US Insurance

-7.6%

US Market


1 Year Return

-93.5%

AFH

9.3%

US Insurance

10.2%

US Market

Return vs Industry: AFH underperformed the US Insurance industry which returned 10.2% over the past year.

Return vs Market: AFH underperformed the US Market which returned 10.5% over the past year.


Shareholder returns

AFHIndustryMarket
7 Day-14.4%-6.7%-7.6%
30 Day1.7%-2.8%-4.5%
90 Day8.4%-2.1%-0.6%
1 Year-93.5%-93.5%11.8%9.3%12.5%10.2%
3 Year-95.6%-95.6%25.3%15.8%37.1%28.3%
5 Year-96.6%-96.6%61.6%42.5%60.8%43.2%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

1.24x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: AFH ($0.62) is trading above our estimate of fair value ($0.31)

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


Price To Earnings Ratio

PE vs Industry: AFH is unprofitable, so we can't compare its PE Ratio to the Insurance industry average.

PE vs Market: AFH 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 AFH's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: AFH is overvalued based on its PB Ratio (1.3x) compared to the US Insurance industry average (1.1x).


Next Steps

Future Growth

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

3.1%

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 Atlas Financial 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 Atlas Financial Holdings performed over the past 5 years?

-106.2%

Last years earnings growth


Earnings and Revenue History

Quality Earnings: AFH is currently unprofitable.

Growing Profit Margin: AFH is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: Insufficient data to determine if AFH's year-on-year earnings growth rate was positive over the past 5 years.

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

Earnings vs Industry: AFH is unprofitable, making it difficult to compare its past year earnings growth to the Insurance industry (34.8%).


Return on Equity

High ROE: AFH has a negative Return on Equity (-1403.97%), as it is currently unprofitable.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Atlas Financial Holdings'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: AFH has a low level of unsold assets or inventory.

Debt Coverage by Assets: AFH's debt is covered by short term assets (assets are 10.2x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Insufficient data to determine if AFH has enough cash runway based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if AFH has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Financial Institutions Analysis

Asset Level: AFH's level of assets compared to its equity is very high.

Allowance for Bad Loans: Insufficient data to determine if AFH has a sufficient allowance for bad loans.

Low Risk Liabilities: AFH reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if AFH has an acceptable proportion of non-loan assets held.

Low Risk Deposits: AFH has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if AFH has an appropriate level of bad loans.


Next Steps

Dividend

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


Dividend Yield vs Market

companyn/amarketbottom25%1.5%markettop25%4.0%industryaverage2.4%forecastin3Yearsn/a

Current dividend yield vs market & industry

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

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


Stability and Growth of Payments

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

Growing Dividend: Insufficient data to determine if AFH'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 AFH's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

8.6yrs

Average management tenure


CEO

Scott Wollney (50yo)

9.2yrs

Tenure

US$609,319

Compensation

Mr. Scott David Wollney is the Chief Executive Officer, President and Director at American Country Insurance Company and American Service Insurance Company, Inc. Mr. Wollney has been the Chief Executive Of ...


CEO Compensation Analysis

Compensation vs Market: Scott's total compensation ($USD609.32K) is about average for companies of similar size in the US market ($USD524.26K).

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


Leadership Team

NamePositionTenureCompensationOwnership
Scott Wollney
CEO, President & Director9.2yrsUS$609.32k2.97% $209.2k
Paul Romano
VP, CFO & Principal Accounting Officer9.2yrsUS$290.88k0.81% $57.0k
Joseph Shugrue
Chief Operating Officer0.2yrsno data0.76% $53.5k
Adam Prior
Senior Vice President8.1yrsno datano data
Bruce Giles
Vice President of Underwriting0yrsno data0.73% $51.1k

8.6yrs

Average Tenure

56yo

Average Age

Experienced Management: AFH's management team is seasoned and experienced (8.6 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Scott Wollney
CEO, President & Director9.2yrsUS$609.32k2.97% $209.2k
Ronald Konezny
Independent Director1.6yrsUS$26.01kno data
Gordon Pratt
Independent Chairman of the Board9.2yrsUS$228.51kno data
Jordan Kupinsky
Independent Director10.2yrsUS$220.51k0.48% $34.1k
John Taylor Fitzgerald
Independent Director6.8yrsUS$69.00k0.54% $37.9k
Walter Walker
Independent Director7.1yrsUS$65.50k0.46% $32.4k

8.1yrs

Average Tenure

50.5yo

Average Age

Experienced Board: AFH's board of directors are considered experienced (8.1 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.


Top Shareholders

Company Information

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


Key Information

  • Name: Atlas Financial Holdings, Inc.
  • Ticker: AFH
  • Exchange: NasdaqCM
  • Founded:
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Market Cap: US$7.046m
  • Shares outstanding: 11.94m
  • Website: https://www.atlas-fin.com

Number of Employees


Location

  • Atlas Financial Holdings, Inc.
  • 953 American Lane
  • 3rd Floor
  • Schaumburg
  • Illinois
  • 60173
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
AFHNasdaqCM (Nasdaq Capital Market)YesOrdinary Voting Common SharesUSUSDJan 2011
AFHB.LOTCPK (Pink Sheets LLC)6.625 SR NT 22USUSDMay 2017

Biography

Atlas Financial Holdings, Inc., through its subsidiaries, engages in underwriting commercial automobile insurance policies in the United States. The company’s automobile insurance products provide insurance coverage in three primary areas, including liability, accident benefits, and physical damage. It focuses on the light commercial automobile sector, including taxi cabs, non-emergency para-transit, limousine, livery, and business autos. The company distributes its insurance products through a network of retail independent agents. Atlas Financial Holdings, Inc. is headquartered in Schaumburg, Illinois. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/27 01:12
End of Day Share Price2020/02/26 00:00
Earnings2018/12/31
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.