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ITIC

Investors Title NasdaqGS:ITIC Stock Report

Last Price

US$153.43

Market Cap

US$291.1m

7D

2.5%

1Y

-11.9%

Updated

23 Jun, 2022

Data

Company Financials
ITIC fundamental analysis
Snowflake Score
Valuation4/6
Future Growth0/6
Past Performance3/6
Financial Health6/6
Dividends4/6

ITIC Stock Overview

Investors Title Company, through its subsidiaries, engages in the issuance of residential and commercial title insurance for residential, institutional, commercial, and industrial properties.

Investors Title Competitors

 

 

 

 

 

 

 

 

 

 

 

 

Price History & Performance

Summary of all time highs, changes and price drops for Investors Title
Historical stock prices
Current Share PriceUS$153.43
52 Week HighUS$248.00
52 Week LowUS$144.30
Beta0.76
1 Month Change-2.73%
3 Month Change-25.84%
1 Year Change-11.92%
3 Year Change-7.33%
5 Year Change-20.54%
Change since IPO2,568.35%

Recent News & Updates

Shareholder Returns

ITICUS InsuranceUS Market
7D2.5%2.2%4.0%
1Y-11.9%-1.0%-20.5%

Return vs Industry: ITIC underperformed the US Insurance industry which returned 1.2% over the past year.

Return vs Market: ITIC exceeded the US Market which returned -20.8% over the past year.

Price Volatility

Is ITIC's price volatile compared to industry and market?
ITIC volatility
ITIC Average Weekly Movement5.0%
Insurance Industry Average Movement5.0%
Market Average Movement7.9%
10% most volatile stocks in US Market16.5%
10% least volatile stocks in US Market3.1%

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

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

About the Company

FoundedEmployeesCEOWebsite
1972551James Finehttps://www.invtitle.com

Investors Title Company, through its subsidiaries, engages in the issuance of residential and commercial title insurance for residential, institutional, commercial, and industrial properties. The company underwrites land title insurance for owners and mortgagees as a primary insurer; and assumes the reinsurance of title insurance risks from other title insurance companies. It also provides services in connection with tax-deferred exchanges of like-kind property; acts as a qualified intermediary in tax-deferred exchanges of property; coordinates the exchange aspects of the real estate transaction, such as drafting standard exchange documents, holding the exchange funds between the sale of the old property and the purchase of the new property, and accepting the formal identification of the replacement property.

Investors Title Fundamentals Summary

How do Investors Title's earnings and revenue compare to its market cap?
ITIC fundamental statistics
Market CapUS$291.10m
Earnings (TTM)US$59.38m
Revenue (TTM)US$322.44m

4.9x

P/E Ratio

0.9x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ITIC income statement (TTM)
RevenueUS$322.44m
Cost of RevenueUS$146.40m
Gross ProfitUS$176.04m
Other ExpensesUS$116.66m
EarningsUS$59.38m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)31.30
Gross Margin54.60%
Net Profit Margin18.42%
Debt/Equity Ratio0%

How did ITIC perform over the long term?

See historical performance and comparison

Dividends

12.9%

Current Dividend Yield

6%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is ITIC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for ITIC?

Other financial metrics that can be useful for relative valuation.

ITIC key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.8x
Enterprise Value/EBITDA3.5x
PEG Ration/a

Price to Earnings Ratio vs Peers

How does ITIC's PE Ratio compare to its peers?

ITIC PE Ratio vs Peers
The above table shows the PE ratio for ITIC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average154.3x

Price-To-Earnings vs Peers: ITIC is good value based on its Price-To-Earnings Ratio (4.9x) compared to the peer average (154.3x).


Price to Earnings Ratio vs Industry

How does ITIC's PE Ratio compare vs other companies in the U.S. Insurance Industry?

Price-To-Earnings vs Industry: ITIC is good value based on its Price-To-Earnings Ratio (4.9x) compared to the US Insurance industry average (11x)


Price to Earnings Ratio vs Fair Ratio

What is ITIC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

ITIC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio4.9x
Fair PE Ration/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate ITIC's Price-To-Earnings Fair Ratio for valuation analysis.


Share Price vs Fair Value

What is the Fair Price of ITIC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: ITIC ($153.43) is trading below our estimate of fair value ($468.27)

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


Price to Earnings Growth Ratio

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


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Future Growth

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

Future Growth Score

0/6

Future Growth Score 0/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


10.1%

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 Investors Title 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.


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  • Examine whether Investors Title is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.

Past Performance

How has Investors Title performed over the past 5 years?

Past Performance Score

3/6

Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


25.1%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ITIC has high quality earnings.

Growing Profit Margin: ITIC's current net profit margins (18.4%) are lower than last year (21.6%).


Past Earnings Growth Analysis

Earnings Trend: ITIC's earnings have grown significantly by 25.1% per year over the past 5 years.

Accelerating Growth: ITIC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ITIC had negative earnings growth (-1.4%) over the past year, making it difficult to compare to the Insurance industry average (-2.6%).


Return on Equity

High ROE: ITIC's Return on Equity (25.5%) is considered high.


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Financial Health

How is Investors Title's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: ITIC's short term assets ($132.3M) exceed its short term liabilities ($79.0M).

Long Term Liabilities: ITIC's short term assets ($132.3M) exceed its long term liabilities ($16.9M).


Debt to Equity History and Analysis

Debt Level: ITIC is debt free.

Reducing Debt: ITIC has not had any debt for past 5 years.

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

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


Balance Sheet


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Dividend

What is Investors Title current dividend yield, its reliability and sustainability?

Dividend Score

4/6

Dividend Score 4/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


12.93%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: ITIC's dividend (12.93%) is higher than the bottom 25% of dividend payers in the US market (1.63%).

High Dividend: ITIC's dividend (12.93%) is in the top 25% of dividend payers in the US market (4.34%)


Stability and Growth of Payments

Stable Dividend: ITIC's dividend payments have been volatile in the past 10 years.

Growing Dividend: ITIC's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (5.9%), ITIC's dividend payments are thoroughly covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its high cash payout ratio (96%), ITIC's dividend payments are not well covered by cash flows.


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Management

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

3.1yrs

Average management tenure


CEO

James Fine (86 yo)

49.08yrs

Tenure

US$1,558,657

Compensation

Mr. James Allen Fine Founded Investors Title Co. in 1973 and has been its Chairman and Chief Executive Officer since 1973. Mr. Fine serves as the Chief Executive Officer of Northeast Investors Title Insura...


CEO Compensation Analysis

Compensation vs Market: James's total compensation ($USD1.56M) is about average for companies of similar size in the US market ($USD1.73M).

Compensation vs Earnings: James's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: ITIC's management team is considered experienced (3.1 years average tenure).


Board Members

Experienced Board: ITIC's board of directors are seasoned and experienced ( 23.1 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

Investors Title Company's employee growth, exchange listings and data sources


Key Information

  • Name: Investors Title Company
  • Ticker: ITIC
  • Exchange: NasdaqGS
  • Founded: 1972
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Implied Market Cap: US$291.096m
  • Shares outstanding: 1.90m
  • Website: https://www.invtitle.com

Number of Employees


Location

  • Investors Title Company
  • 121 North Columbia Street
  • Chapel Hill
  • North Carolina
  • 27514
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/23 00:00
End of Day Share Price2022/06/23 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


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.