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EMC Insurance Group

Nasdaq:EMCI
Snowflake Description

Average dividend payer with mediocre balance sheet.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
EMCI
Nasdaq
$693M
Market Cap
  1. Home
  2. US
  3. Insurance
Company description

EMC Insurance Group Inc., an insurance holding company, provides property and casualty insurance, and reinsurance products in the United States. The last earnings update was 6 days ago. More info.


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  • EMC Insurance Group has significant price volatility in the past 3 months.
EMCI Share Price and Events
7 Day Returns
-0.1%
NasdaqGS:EMCI
1%
US Insurance
0.5%
US Market
1 Year Returns
19.5%
NasdaqGS:EMCI
-0.4%
US Insurance
2%
US Market
EMCI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
EMC Insurance Group (EMCI) -0.1% 1.7% 33.6% 19.5% 33.1% 74.6%
US Insurance 1% 6.8% 3% -0.4% 36.5% 39.8%
US Market 0.5% 6.3% 1.9% 2% 45.1% 40.5%
1 Year Return vs Industry and Market
  • EMCI outperformed the Insurance industry which returned -0.4% over the past year.
  • EMCI outperformed the Market in United States of America which returned 2% over the past year.
Price Volatility
EMCI
Industry
5yr Volatility vs Market

EMCI Value

 Is EMC Insurance Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of EMC Insurance Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for EMC Insurance Group.

NasdaqGS:EMCI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= $27.08 * 6.8%
$1.84
Book Value of Equity per Share Weighted future Book Value estimates from 2 analysts. $27.08
Discount Rate (Cost of Equity) See below 8.5%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:EMCI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 7.3%
Insurance Unlevered Beta Simply Wall St/ S&P Global 0.74
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.743 (1 + (1- 21%) (3.61%))
0.764
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.8
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.8 * 7.27%)
8.55%

Discounted Cash Flow Calculation for NasdaqGS:EMCI using Excess Returns Model Model

The calculations below outline how an intrinsic value for EMC Insurance Group is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NasdaqGS:EMCI Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (6.8% – 8.55%) * $27.08)
$-0.48
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $-0.48 / (8.55% - 2.73%)
$-8.23
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $27.08 + $-8.23
$18.85
NasdaqGS:EMCI Discount to Share Price
Calculation Result
Value per share (USD) From above. $18.85
Current discount Discount to share price of $32.06
= -1 x ($32.06 - $18.85) / $18.85
-70.1%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of EMC Insurance Group is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for EMC Insurance Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are EMC Insurance Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:EMCI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $-0.35
NasdaqGS:EMCI Share Price ** NasdaqGS (2019-02-13) in USD $32.06
United States of America Insurance Industry PE Ratio Median Figure of 93 Publicly-Listed Insurance Companies 16.71x
United States of America Market PE Ratio Median Figure of 3,046 Publicly-Listed Companies 16.95x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of EMC Insurance Group.

NasdaqGS:EMCI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:EMCI Share Price ÷ EPS (both in USD)

= 32.06 ÷ -0.35

-92.51x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • EMC Insurance Group is loss making, we can't compare its value to the US Insurance industry average.
  • EMC Insurance Group is loss making, we can't compare the value of its earnings to the United States of America market.
Price based on expected Growth
Does EMC Insurance Group's expected growth come at a high price?
Raw Data
NasdaqGS:EMCI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section -92.51x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
75.5%per year
United States of America Insurance Industry PEG Ratio Median Figure of 67 Publicly-Listed Insurance Companies 0.99x
United States of America Market PEG Ratio Median Figure of 2,117 Publicly-Listed Companies 1.36x

*Line of best fit is calculated by linear regression .

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to calculate PEG ratio for EMC Insurance Group, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on EMC Insurance Group's assets?
Raw Data
NasdaqGS:EMCI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $26.18
NasdaqGS:EMCI Share Price * NasdaqGS (2019-02-13) in USD $32.06
United States of America Insurance Industry PB Ratio Median Figure of 116 Publicly-Listed Insurance Companies 1.29x
United States of America Market PB Ratio Median Figure of 5,122 Publicly-Listed Companies 1.81x
NasdaqGS:EMCI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:EMCI Share Price ÷ Book Value per Share (both in USD)

= 32.06 ÷ 26.18

1.22x

* Primary Listing of EMC Insurance Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • EMC Insurance Group is good value based on assets compared to the US Insurance industry average.
X
Value checks
We assess EMC Insurance Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check)
  5. EMC Insurance Group has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

EMCI Future Performance

 How is EMC Insurance Group expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
75.5%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is EMC Insurance Group expected to grow at an attractive rate?
  • EMC Insurance Group's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • EMC Insurance Group's earnings growth is expected to exceed the United States of America market average.
  • EMC Insurance Group's revenue growth is positive but not above the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:EMCI Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:EMCI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts 75.5%
NasdaqGS:EMCI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts 0.4%
United States of America Insurance Industry Earnings Growth Rate Market Cap Weighted Average 17.8%
United States of America Insurance Industry Revenue Growth Rate Market Cap Weighted Average 2.9%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 13.4%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:EMCI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:EMCI Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 656 34 2
2019-12-31 700 31 1
NasdaqGS:EMCI Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 652 -7
2018-09-30 686 69 40
2018-06-30 666 59 22
2018-03-31 666 66 32
2017-12-31 659 59 39
2017-09-30 653 58 34
2017-06-30 649 62 38
2017-03-31 645 74 38
2016-12-31 644 83 46
2016-09-30 624 78 35
2016-06-30 627 84 42
2016-03-31 626 86 44

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • EMC Insurance Group's earnings are expected to grow significantly at over 20% yearly.
  • EMC Insurance Group's revenue is expected to grow by 0.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:EMCI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from EMC Insurance Group Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:EMCI Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 1.57 1.60 1.53 2.00
2019-12-31 1.43 1.45 1.40 2.00
NasdaqGS:EMCI Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 -0.35
2018-09-30 1.87
2018-06-30 1.02
2018-03-31 1.51
2017-12-31 1.84
2017-09-30 1.62
2017-06-30 1.78
2017-03-31 1.82
2016-12-31 2.20
2016-09-30 1.66
2016-06-30 2.01
2016-03-31 2.15

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • EMC Insurance Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess EMC Insurance Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
EMC Insurance Group has a total score of 3/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

EMCI Past Performance

  How has EMC Insurance Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare EMC Insurance Group's growth in the last year to its industry (Insurance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • EMC Insurance Group does not make a profit and their year on year earnings growth rate was negative over the past 5 years.
  • Unable to compare EMC Insurance Group's 1-year earnings growth to the 5-year average as it is not currently profitable.
  • Unable to compare EMC Insurance Group's 1-year growth to the US Insurance industry average as it is not currently profitable.
Earnings and Revenue History
EMC Insurance Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from EMC Insurance Group Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:EMCI Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 651.57 -7.47
2018-09-30 686.26 40.26
2018-06-30 665.56 21.86
2018-03-31 666.09 32.36
2017-12-31 659.19 39.24
2017-09-30 652.73 34.35
2017-06-30 649.09 37.73
2017-03-31 644.96 38.35
2016-12-31 643.97 46.20
2016-09-30 624.17 34.81
2016-06-30 626.56 41.87
2016-03-31 625.78 44.49
2015-12-31 622.00 50.16
2015-09-30 623.80 56.42
2015-06-30 608.38 47.46
2015-03-31 596.27 39.73
2014-12-31 592.27 29.99
2014-09-30 594.60 29.67
2014-06-30 589.08 34.64
2014-03-31 579.88 39.84
2013-12-31 567.53 43.52
2013-09-30 544.65 40.68
2013-06-30 533.30 41.80
2013-03-31 515.64 33.02
2012-12-31 511.01 37.97
2012-09-30 509.19 34.97
2012-06-30 492.05 21.07
2012-03-31 485.89 10.75

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • It is difficult to establish if EMC Insurance Group has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
  • It is difficult to establish if EMC Insurance Group has efficiently used its assets last year compared to the US Insurance industry average (Return on Assets) as it is loss-making.
  • It is difficult to establish if EMC Insurance Group improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
X
Past performance checks
We assess EMC Insurance Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
EMC Insurance Group has a total score of 0/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

EMCI Health

 How is EMC Insurance Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up EMC Insurance Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • EMC Insurance Group's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • EMC Insurance Group's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of EMC Insurance Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 3.9x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from EMC Insurance Group Company Filings, last reported 1 month ago.

NasdaqGS:EMCI Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 565.78 25.00 28.54
2018-09-30 574.61 25.00 50.52
2018-06-30 568.07 25.00 40.21
2018-03-31 581.35 25.00 44.30
2017-12-31 603.85 25.00 40.46
2017-09-30 575.06 25.00 42.16
2017-06-30 572.48 25.00 52.95
2017-03-31 564.27 25.00 42.48
2016-12-31 553.34 25.00 59.98
2016-09-30 562.41 25.00 59.81
2016-06-30 563.72 25.00 85.45
2016-03-31 551.07 25.00 65.99
2015-12-31 524.94 25.00 55.67
2015-09-30 519.93 25.00 50.22
2015-06-30 515.39 25.00 49.96
2015-03-31 527.20 25.00 47.64
2014-12-31 502.89 25.00 53.65
2014-09-30 485.88 25.00 70.37
2014-06-30 486.63 25.00 60.37
2014-03-31 476.60 25.00 60.89
2013-12-31 455.21 25.00 56.41
2013-09-30 408.00 25.00 65.17
2013-06-30 403.27 25.00 34.43
2013-03-31 420.26 25.00 61.39
2012-12-31 401.21 25.00 53.75
2012-09-30 392.61 25.00 50.16
2012-06-30 374.74 25.00 66.58
2012-03-31 375.86 25.00 102.19
  • EMC Insurance Group's level of debt (4.4%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has been reduced over the past 5 years (5.5% vs 4.4% today).
  • Debt is well covered by operating cash flow (277.9%, greater than 20% of total debt).
  • EMC Insurance Group is making a loss, therefore interest payments are not well covered by earnings.
X
Financial health checks
We assess EMC Insurance Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. EMC Insurance Group has a total score of 3/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

EMCI Dividends

 What is EMC Insurance Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.87%
Current annual income from EMC Insurance Group dividends. Estimated to be 2.93% next year.
If you bought $2,000 of EMC Insurance Group shares you are expected to receive $57 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • EMC Insurance Group's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.43%).
  • EMC Insurance Group's dividend is below the markets top 25% of dividend payers in United States of America (3.62%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:EMCI Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
United States of America Insurance Industry Average Dividend Yield Market Cap Weighted Average of 80 Stocks 2.6%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1997 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.6%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:EMCI Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.95 2.00
2019-12-31 0.93 1.00
NasdaqGS:EMCI Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2018-11-05 0.920 3.000
2018-08-23 0.880 3.582
2018-05-16 0.880 3.265
2018-03-02 0.880 3.307
2017-11-06 0.880 3.085
2017-08-17 0.840 2.971
2017-05-25 0.840 3.038
2017-03-02 0.840 3.045
2016-11-02 0.840 2.935
2016-08-18 0.760 2.827
2016-05-19 0.760 2.778
2016-03-02 0.760 2.954
2016-02-12 0.760 3.139
2015-08-27 0.680 2.797
2015-08-06 0.668 2.857
2015-05-13 0.667 2.721
2015-03-02 0.667 3.008
2014-11-05 0.667 3.082
2014-08-28 0.613 3.075
2014-05-22 0.613 2.971
2014-03-03 0.613 2.741
2013-11-15 0.613 3.108
2013-08-29 0.560 2.740
2013-05-23 0.560 3.000
2013-03-04 0.560 3.091
2012-11-02 0.560 3.563
2012-08-29 0.533 3.816
2012-08-08 0.533 4.092
2012-08-07 0.533 4.123
2012-05-25 0.533 3.962
2012-05-09 0.533 4.040
2012-05-08 0.533 3.982
2012-03-15 0.533 4.008
2012-03-14 0.533 3.821
2012-02-21 0.533 3.774
2011-11-04 0.533 3.853
2011-08-24 0.507 4.143
2011-08-09 0.507 4.167
2011-05-27 0.507 3.991
2011-05-10 0.507 3.781
2011-03-08 0.507 3.291
2011-02-24 0.507 3.112
2010-11-05 0.507 3.343
2010-08-24 0.480 3.387
2010-05-26 0.480 3.304
2010-03-09 0.480 3.133
2009-11-12 0.480 3.430
2009-08-25 0.480 3.369
2009-05-20 0.480 3.290
2009-03-10 0.480 3.351
2009-02-17 0.480 3.719

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of EMC Insurance Group's earnings are paid to the shareholders as a dividend.
  • The company is paying a dividend however it is incurring a loss.
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.7x coverage).
X
Income/ dividend checks
We assess EMC Insurance Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can EMC Insurance Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. EMC Insurance Group has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

EMCI Management

 What is the CEO of EMC Insurance Group's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Bruce Kelley
COMPENSATION $2,266,696
AGE 64
TENURE AS CEO 27.1 years
CEO Bio

Mr. Bruce G. Kelley, J.D., CPCU, CLU, has been the President and Chief Executive Officer of EMC Insurance Group Inc. and Employers Mutual Casualty Company since 1992. Mr. Kelley has been Treasurer of EMC Insurance Group Inc. since 2014. Mr. Kelley has been Treasurer of Employers Mutual Casualty Company since 2014. He has been employed by Employers Mutual since 1985. He served as Treasurer of Employers Mutual Casualty Company from 1996 to 2000 and of EMC Insurance Group Inc. from 1991 to 1996. He served as the President and Chief Operating Officer of EMC Insurance Group Inc. and of Employers Mutual Casualty Company from 1991 to 1992 and served as an Executive Vice President for both companies from 1989 to 1991. He serves as the Chairman of Insurance Information Institute, Inc. He serves as the Chairperson of Iowa Public Employees' Retirement System. He serves as Vice Chairman of Hamilton Mutual Insurance Company. He has been a Director of Employers Mutual Casualty Company since 1984 and EMC Insurance Group Inc. since 1991. He served as a Director of NCCI Holdings, Inc.

CEO Compensation
  • Bruce's compensation has been consistent with company performance over the past year.
  • Bruce's remuneration is about average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the EMC Insurance Group management team in years:

5.1
Average Tenure
52
Average Age
  • The average tenure for the EMC Insurance Group management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Bruce Kelley

TITLE
President
COMPENSATION
$2M
AGE
64
TENURE
27.1 yrs

Mark Reese

TITLE
Senior VP & CFO
COMPENSATION
$733K
AGE
60
TENURE
22.1 yrs

Mick Lovell

TITLE
Executive Vice President of Operations
COMPENSATION
$1M
AGE
55
TENURE
1.1 yrs

Scott Jean

TITLE
Executive Vice President of Finance & Strategy
COMPENSATION
$1M
AGE
46
TENURE
10.1 yrs

Bradley Fredericks

TITLE
Senior VP & Chief Investment Officer
AGE
44
TENURE
5.1 yrs

Sanjeev Singh

TITLE
Senior VP & Chief Information Officer
TENURE
0.3 yrs

Robert Link

TITLE
Senior VP
AGE
60
TENURE
1.1 yrs

Steve Walsh

TITLE
Assistant VP & Director of Investor Relations
AGE
36
TENURE
7.1 yrs

Todd Strother

TITLE
Senior VP
AGE
49
TENURE
3.1 yrs

Lisa Arechavaleta

TITLE
Assistant VP & Corporate Compliance Manager
Board of Directors Tenure

Average tenure and age of the EMC Insurance Group board of directors in years:

10.1
Average Tenure
63
Average Age
  • The average tenure for the EMC Insurance Group board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

David Proctor

TITLE
Chairman of the Board

Bruce Kelley

TITLE
President
COMPENSATION
$2M
AGE
64
TENURE
27.8 yrs

Gretchen Tegeler

TITLE
Director
COMPENSATION
$146K
AGE
62
TENURE
11.5 yrs

Jonathan Fletcher

TITLE
Director
COMPENSATION
$120K
AGE
44
TENURE
8.8 yrs

Peter Christie

TITLE
Director
COMPENSATION
$35K
AGE
71
TENURE
1.3 yrs

Mary Murray

TITLE
Director
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by EMC Insurance Group insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
28. Jan 19 Buy Gregory Shepard Individual 21. Nov 18 25. Jan 19 349,900 $32.17 $11,255,653
07. Jun 18 Sell Lisa Simonetta Individual 05. Jun 18 05. Jun 18 -1,487 $26.20 $-38,724
10. May 18 Sell Elizabeth Nigut Individual 08. May 18 08. May 18 -1,342 $25.75 $-34,557
13. Apr 18 Sell Mark Reese Individual 06. Sep 16 06. Sep 16 -1,000 $28.10 $-28,075
X
Management checks
We assess EMC Insurance Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. EMC Insurance Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

EMCI News

Simply Wall St News

Interested In EMC Insurance Group Inc (NASDAQ:EMCI)? Here's What Its Recent Performance Looks Like

When EMC Insurance Group Inc (NASDAQ:EMCI) released its most recent earnings update (30 September 2018), I compared it against two factor: its historical earnings track record, and the performance of its industry peers on average. … Understanding how EMC Insurance Group performed requires a benchmark rather than trying to assess a standalone number at one point in time. … EMCI's trailing twelve-month earnings (from 30 September 2018) of US$40m has.

Simply Wall St -

Dividend Hunters Should Consider EMC Insurance Group Inc (NASDAQ:EMCI), With A 3.7% Yield

Over the past 10 years EMC Insurance Group Inc (NASDAQ:EMCI) has grown its dividend payouts from $0.48 to $0.88. … With a market cap of US$503m, EMC Insurance Group pays out 85% of its earnings, leading to a 3.7% yield. … Check out our latest analysis for EMC Insurance Group?

Simply Wall St -

Should Income Investors Buy EMC Insurance Group Inc (NASDAQ:EMCI) Before Its Ex-Dividend?

EMC Insurance Group Inc (NASDAQ:EMCI) will be distributing its dividend of US$0.22 per share on the 11 September 2018, and will start trading ex-dividend in 2 days time on the 31 August 2018. … Investors looking for higher income-generating stocks to add to their portfolio should keep reading, as I take a deeper dive into EMC Insurance Group's latest financial data to analyse its dividend attributes. … 5 checks you should use to assess a dividend stock?

Simply Wall St -

Does EMC Insurance Group Inc's (NASDAQ:EMCI) PE Ratio Warrant A Sell?

EMC Insurance Group Inc (NASDAQ:EMCI) is currently trading at a trailing P/E of 25.5x, which is higher than the industry average of 14.4x. … Although some investors may jump to the conclusion that you should avoid the stock or sell if you own it, understanding the assumptions behind the P/E ratio might change your mind. … I will explain what the P/E ratio is as well as what you should look out for when using it

Simply Wall St -

Financial Industry: A Dive Into EMC Insurance Group Inc (NASDAQ:EMCI)

EMC Insurance Group Inc (NASDAQ:EMCI), a US$614.79m. … which has recently experienced the impact of a softening commercial lines market, a problematic personal lines segment, and a low-yield investment climate … Agility has become the new normal as insurance companies are confronted by a marketplace that is continuously changing drastically

Simply Wall St -

What EMC Insurance Group Inc’s (NASDAQ:EMCI) Insiders Know That You Don't

EMC Insurance Group Inc., an insurance holding company, provides property and casualty insurance, and reinsurance products in the United States. … EMC Insurance Group is one of United States’s. … some insider selling over the past three months, with insiders divesting from.

Simply Wall St -

With An ROE Of 5.57%, Can EMC Insurance Group Inc (NASDAQ:EMCI) Catch Up To The Industry?

This analysis is intended to introduce important early concepts to people who are starting to invest. … and looking to gauge the potential return on investment in EMC Insurance Group Inc (NASDAQ:EMCI). … EMC Insurance Group Inc’s (NASDAQ:EMCI) most recent return on equity was a substandard 5.57% relative to its industry performance of 9.42% over the past year.

Simply Wall St -

Brief Commentary On EMC Insurance Group Inc's (NASDAQ:EMCI) Fundamentals

EMC Insurance Group Inc (NASDAQ:EMCI) is a company with exceptional fundamental characteristics. … Upon building up an investment case for a stock, we should look at various aspects. … Below, I've touched on some key aspects you should know on a high level

Simply Wall St -

Is Buying EMC Insurance Group Inc (NASDAQ:EMCI) For Its Upcoming $0.22 Dividend A Good Choice?

View our latest analysis for EMC Insurance Group Here's how I find good dividend stocks Whenever I am looking at a potential dividend stock investment, I always check these five metrics: Is it paying an annual yield above 75% of dividend payers? … Furthermore, analysts have not forecasted a dividends per share for the future, which makes it hard to determine the yield shareholders should expect, and whether the current payout is sustainable, moving forward. … Relative to peers, EMC Insurance Group produces a yield of 3.47%, which is high for Insurance stocks but still below the market's top dividend payers.

Simply Wall St -

Should You Buy EMC Insurance Group Inc (NASDAQ:EMCI) Now?

EMC Insurance Group Inc (NASDAQ:EMCI), a insurance company based in United States, saw significant share price volatility over the past couple of months on the NasdaqGS, rising to the highs of $28.72 and falling to the lows of $26.1. … Another thing to keep in mind is that EMC Insurance Group’s share price is quite stable relative to the rest of the market, as indicated by its low beta. … This means that if you believe the current share price should move towards its intrinsic value over time, a low beta could suggest it is not likely to reach that level anytime soon, and once it’s there, it may be hard to fall back down into an attractive buying range again.

Simply Wall St -

EMCI Company Info

Map
Description

EMC Insurance Group Inc., an insurance holding company, provides property and casualty insurance, and reinsurance products in the United States. It operates through two segments, Property and Casualty Insurance, and Reinsurance. The Property and Casualty Insurance segment underwrites commercial and personal lines of insurance products. Its commercial lines of insurance products comprise automobile, property, workers’ compensation, and liability, as well as other products that provide protection with respect to burglary and theft loss, aircraft, marine, and other types of losses; and personal lines of insurance products include automobile, homeowners, and umbrella policies. The Reinsurance segment provides reinsurance for other insurers and reinsurers. EMC Insurance Group Inc. offers its products to small and medium-sized businesses, institutions, and individual consumers through independent insurance agents. The company was founded in 1974 and is based in Des Moines, Iowa. EMC Insurance Group Inc. is a subsidiary of Employers Mutual Casualty Company.

Details
Name: EMC Insurance Group Inc.
EMCI
Exchange: NasdaqGS
Founded: 1974
$692,860,650
21,611,374
Website: http://www.emcins.com
Address: EMC Insurance Group Inc.
717 Mulberry Street,
Des Moines,
Iowa, 50309,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS EMCI Common Stock Nasdaq Global Select US USD 04. Feb 1982
Number of employees
Current staff
Staff numbers
0
EMC Insurance Group employees.
Industry
Property and Casualty Insurance
Insurance
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/02/13 23:39
End of day share price update: 2019/02/13 00:00
Last estimates confirmation: 2019/02/07
Last earnings filing: 2019/02/07
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.