NasdaqGS:JRVR

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James River Group Holdings

Executive Summary

James River Group Holdings, Ltd., through its subsidiaries, provides specialty insurance and reinsurance services in the United States. More Details


Snowflake Analysis

Reasonable growth potential with imperfect balance sheet.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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

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


Market Performance


7 Day Return

4.9%

JRVR

-1.3%

US Insurance

-3.4%

US Market


1 Year Return

13.9%

JRVR

7.0%

US Insurance

29.4%

US Market

Return vs Industry: JRVR exceeded the US Insurance industry which returned 7% over the past year.

Return vs Market: JRVR underperformed the US Market which returned 29.4% over the past year.


Shareholder returns

JRVRIndustryMarket
7 Day4.9%-1.3%-3.4%
30 Day10.4%9.4%0.6%
90 Day7.2%9.0%6.3%
1 Year17.3%13.9%9.9%7.0%32.2%29.4%
3 Year56.0%42.9%23.4%14.2%51.3%41.7%
5 Year89.1%56.3%76.8%54.8%119.6%95.2%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is James River Group Holdings undervalued compared to its fair value and its price relative to the market?

310.78x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: JRVR ($49.07) is trading above our estimate of fair value ($16.51)

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


Price To Earnings Ratio

PE vs Industry: JRVR is poor value based on its PE Ratio (310.8x) compared to the US Insurance industry average (14.7x).

PE vs Market: JRVR is poor value based on its PE Ratio (310.8x) compared to the US market (21.4x).


Price to Earnings Growth Ratio

PEG Ratio: JRVR is poor value based on its PEG Ratio (4.2x)


Price to Book Ratio

PB vs Industry: JRVR is overvalued based on its PB Ratio (1.9x) compared to the US Insurance industry average (1x).


Next Steps

Future Growth

How is James River Group Holdings forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?

73.1%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: JRVR's forecast earnings growth (73.1% per year) is above the savings rate (2%).

Earnings vs Market: JRVR's earnings (73.1% per year) are forecast to grow faster than the US market (19.6% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: JRVR's revenue (10.8% per year) is forecast to grow faster than the US market (10.1% per year).

High Growth Revenue: JRVR's revenue (10.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: JRVR's Return on Equity is forecast to be low in 3 years time (12.2%).


Next Steps

Past Performance

How has James River Group Holdings performed over the past 5 years?

-21.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JRVR has a high level of non-cash earnings.

Growing Profit Margin: JRVR's current net profit margins (0.7%) are lower than last year (4.2%).


Past Earnings Growth Analysis

Earnings Trend: JRVR's earnings have declined by 21.7% per year over the past 5 years.

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

Earnings vs Industry: JRVR had negative earnings growth (-87.2%) over the past year, making it difficult to compare to the Insurance industry average (-9.8%).


Return on Equity

High ROE: JRVR's Return on Equity (0.6%) is considered low.


Next Steps

Financial Health

How is James River Group Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: JRVR's short term assets ($2.6B) exceed its short term liabilities ($2.4B).

Long Term Liabilities: JRVR's short term assets ($2.6B) exceed its long term liabilities ($1.9B).


Debt to Equity History and Analysis

Debt Level: JRVR's debt to equity ratio (46%) is considered high.

Reducing Debt: JRVR's debt to equity ratio has increased from 28.2% to 46% over the past 5 years.

Debt Coverage: JRVR's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: JRVR's interest payments on its debt are not well covered by EBIT (2.4x coverage).


Balance Sheet


Next Steps

Dividend

What is James River Group Holdings's current dividend yield, its reliability and sustainability?

2.45%

Current Dividend Yield


Upcoming Dividend Payment


Dividend Yield vs Market

Notable Dividend: JRVR's dividend (2.45%) is higher than the bottom 25% of dividend payers in the US market (1.31%).

High Dividend: JRVR's dividend (2.45%) is low compared to the top 25% of dividend payers in the US market (3.69%).


Stability and Growth of Payments

Stable Dividend: JRVR has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: JRVR's dividend payments have increased, but the company has only paid a dividend for 6 years.


Current Payout to Shareholders

Dividend Coverage: With its high payout ratio (760%), JRVR's dividend payments are not well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: JRVR's dividends in 3 years are forecast to be well covered by earnings (42.3% payout ratio).


Next Steps

Management

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

3.4yrs

Average management tenure


CEO

Frank D’Orazio (51 yo)

0.33

Tenure

Mr. Frank N. D'Orazio has been Chief Executive Officer and Director of James River Group Holdings, Ltd. since November 2, 2020. Mr. D'Orazio was the President of Underwriting & Global Risk at Allied World ...


Leadership Team

NamePositionTenureCompensationOwnership
Robert Myron
President & COOno dataUS$1.96m0.71%
$ 10.8m
Sarah Doran
Chief Financial Officer4.17yrsUS$1.36m0.055%
$ 835.9k
Richard Schmitzer
President & CEO of the Excess and Surplus Lines Segment11yrsUS$1.28m0.57%
$ 8.6m
Daniel Heinlein
President & CEO of the Casualty Reinsurance Division2.92yrsUS$1.14m0.043%
$ 647.3k
Terence McCafferty
CEO & President of Specialty Admitted Insurance Segment2.42yrsUS$1.28m0.028%
$ 417.3k
Frank D’Orazio
CEO & Director0.33yrno datano data
Kevin Copeland
SVP Finance & Chief Investment Officer3.83yrsno datano data

3.4yrs

Average Tenure

51yo

Average Age

Experienced Management: JRVR's management team is considered experienced (3.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Frank D’Orazio
CEO & Director0.33yrno datano data
Jonathan Abram
Non-Executive Chairman13.25yrsUS$1.58m1.49%
$ 22.6m
Michael Oakes
Independent Director13.25yrsUS$176.49k0.048%
$ 729.2k
Janet Cowell
Independent Director4.83yrsUS$176.49k0.015%
$ 227.8k
Patricia Roberts
Independent Director1.67yrsUS$52.65k0.017%
$ 255.1k
Jerry Masters
Lead Independent Director1yrUS$201.49k0.072%
$ 1.1m
Sundar Srinivasan
Independent Director2.33yrsUS$174.98k0.0039%
$ 58.3k
Ollie Sherman
Independent Director4.83yrsUS$176.49k0.013%
$ 189.2k
Christopher Harris
Independent Director2.33yrsUS$174.98k0.0039%
$ 58.3k

2.3yrs

Average Tenure

55yo

Average Age

Experienced Board: JRVR'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: Insufficient data to determine if insiders have bought more shares than they have sold 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

James River Group Holdings, Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: James River Group Holdings, Ltd.
  • Ticker: JRVR
  • Exchange: NasdaqGS
  • Founded: 2002
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Market Cap: US$1.510b
  • Shares outstanding: 30.77m
  • Website: https://www.jrgh.net

Number of Employees


Location

  • James River Group Holdings, Ltd.
  • Wellesley House
  • 2nd Floor
  • Pembroke
  • HM 08
  • Bermuda

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JRVRNasdaqGS (Nasdaq Global Select)YesCommon SharesUSUSDDec 2014
0JRDB (Deutsche Boerse AG)YesCommon SharesDEEURDec 2014

Biography

James River Group Holdings, Ltd., through its subsidiaries, provides specialty insurance and reinsurance services in the United States. It operates through Excess and Surplus Lines, Specialty Admitted Insu...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/04 00:40
End of Day Share Price2021/03/03 00:00
Earnings2020/12/31
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.