National General Holdings
Market Cap
US$2.5b
Last Updated
2020/02/16 01:47 UTC
Data Sources
Company Financials +
Executive Summary
National General Holdings Corp., a specialty personal lines insurance holding company, provides various insurance products and services in the United States, Bermuda, Luxembourg, and Sweden.
Rewards
Risk Analysis
Snowflake Analysis
Solid track record and slightly overvalued.
Similar Companies
Share Price & News
How has National General Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: NGHC has not had significant price volatility in the past 3 months.
Market Performance
7 Day Return
-0.5%
NGHC
0.9%
US Insurance
1.5%
US Market
1 Year Return
-14.2%
NGHC
19.2%
US Insurance
20.1%
US Market
Return vs Industry: NGHC underperformed the US Insurance industry which returned 19.2% over the past year.
Return vs Market: NGHC underperformed the US Market which returned 20.1% over the past year.
Shareholder returns
| NGHC | Industry | Market | |
|---|---|---|---|
| 7 Day | -0.5% | 0.9% | 1.5% |
| 30 Day | -3.9% | 3.3% | 1.4% |
| 90 Day | 6.3% | 6.8% | 8.7% |
| 1 Year | -13.5%-14.2% | 22.1%19.2% | 22.7%20.1% |
| 3 Year | -11.5%-13.4% | 37.3%26.8% | 50.1%40.5% |
| 5 Year | 22.9%19.0% | 73.7%52.9% | 73.1%54.1% |
Price Volatility Vs. Market
How volatile is National General Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 hours ago | Simply Wall St
Does National General Holdings Corp.'s (NASDAQ:NGHC) CEO Pay Reflect Performance?2 weeks ago | Simply Wall St
National General Holdings Corp. (NASDAQ:NGHC) Is An Attractive Dividend Stock - Here's Why1 month ago | Simply Wall St
How Did National General Holdings Corp.'s (NASDAQ:NGHC) 9.5% ROE Fare Against The Industry?Valuation
Is National General Holdings undervalued compared to its fair value and its price relative to the market?
10.53x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: NGHC ($21.89) is trading above our estimate of fair value ($20.02)
Significantly Below Fair Value: NGHC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: NGHC is good value based on its PE Ratio (10.5x) compared to the Insurance industry average (14x).
PE vs Market: NGHC is good value based on its PE Ratio (10.5x) compared to the US market (18.3x).
Price to Earnings Growth Ratio
PEG Ratio: NGHC is poor value based on its PEG Ratio (1x)
Price to Book Ratio
PB vs Industry: NGHC is overvalued based on its PB Ratio (1.2x) compared to the US Insurance industry average (1.1x).
Next Steps
Future Growth
How is National General Holdings forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
10.2%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: NGHC's forecast earnings growth (10.2% per year) is above the savings rate (1.7%).
Earnings vs Market: NGHC's earnings (10.2% per year) are forecast to grow slower than the US market (14.3% per year).
High Growth Earnings: NGHC's earnings are forecast to grow, but not significantly.
Revenue vs Market: NGHC's revenue (14% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: NGHC's revenue (14% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if NGHC's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has National General Holdings performed over the past 5 years?
12.7%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: NGHC has high quality earnings.
Growing Profit Margin: NGHC's current net profit margins (4.7%) are higher than last year (3.3%).
Past Earnings Growth Analysis
Earnings Trend: NGHC's earnings have grown by 12.7% per year over the past 5 years.
Accelerating Growth: NGHC's earnings growth over the past year (58.2%) exceeds its 5-year average (12.7% per year).
Earnings vs Industry: NGHC earnings growth over the past year (58.2%) exceeded the Insurance industry 19.8%.
Return on Equity
High ROE: NGHC's Return on Equity (9.5%) is considered low.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is National General 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: NGHC has a low level of unsold assets or inventory.
Debt Coverage by Assets: NGHC's debt is covered by short term assets (assets are 6.6x debt).
Financial Institutions Analysis
Asset Level: NGHC's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if NGHC has a sufficient allowance for bad loans.
Low Risk Liabilities: NGHC reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if NGHC has an acceptable proportion of non-loan assets held.
Low Risk Deposits: NGHC has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if NGHC has an appropriate level of bad loans.
Next Steps
Dividend
What is National General Holdings's current dividend yield, its reliability and sustainability?
0.91%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: NGHC's dividend (0.91%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.44%).
High Dividend: NGHC's dividend (0.91%) is low compared to the top 25% of dividend payers in the US market (3.68%).
Stability and Growth of Payments
Stable Dividend: Whilst dividend payments have been stable, NGHC has been paying a dividend for less than 10 years.
Growing Dividend: NGHC's dividend payments have increased, but the company has only paid a dividend for 6 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (8.2%), NGHC's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: NGHC's dividends in 3 years are forecast to be thoroughly covered by earnings (7% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.6yrs
Average management tenure
CEO
Barry Karfunkel (39yo)
3.8yrs
Tenure
US$5,892,270
Compensation
Mr. Barry Samuel Karfunkel has been Co-Chairman of the Board at National General Holdings Corporation since May 07, 2018 and its Chief Executive Officer and Director since April 2016 and 2010 respectively. ...
CEO Compensation Analysis
Compensation vs Market: Barry's total compensation ($USD5.89M) is about average for companies of similar size in the US market ($USD4.89M).
Compensation vs Earnings: Barry's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Co-Chairman | 3.8yrs | US$5.89m | 0.43% $10.7m | |
| President & Co-Chairman | 1.8yrs | US$5.29m | 0.38% $9.4m | |
| Executive VP & CFO | 10.1yrs | US$2.80m | 0.094% $2.3m | |
| Executive VP & COO | 4.6yrs | US$2.55m | no data | |
| Executive VP | 9.1yrs | US$2.69m | 0.029% $709.2k | |
| Chief Operating Officer | 4.6yrs | no data | no data | |
| Senior VP & Chief Accounting Officer | 2.8yrs | no data | 0.00058% $14.4k | |
| Executive VP & Chief Information Officer | 0yrs | no data | no data | |
| Director of Investor Relations | 0yrs | no data | no data | |
| Senior Vice President of Human Resources | 0yrs | no data | no data |
4.6yrs
Average Tenure
45yo
Average Age
Experienced Management: NGHC's management team is considered experienced (4.6 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| CEO & Co-Chairman | 3.8yrs | US$5.89m | 0.43% $10.7m | |
| President & Co-Chairman | 1.8yrs | US$5.29m | 0.38% $9.4m | |
| Independent Director | 10.1yrs | US$133.30k | 0.0049% $120.3k | |
| Independent Director | 2.3yrs | US$128.30k | 0.023% $569.1k | |
| Independent Director | 6.7yrs | US$138.30k | 0.0049% $120.3k | |
| Director | 6.7yrs | no data | 0.28% $7.0m | |
| Independent Director | 3.4yrs | US$143.30k | 0.0071% $175.1k | |
| Independent Director | 6.7yrs | US$128.30k | 0.0049% $120.3k |
5.0yrs
Average Tenure
63yo
Average Age
Experienced Board: NGHC's board of directors are considered experienced (5 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 5.1%.
Top Shareholders
Company Information
National General Holdings Corp.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: National General Holdings Corp.
- Ticker: NGHC
- Exchange: NasdaqGM
- Founded: 1939
- Industry: Multi-line Insurance
- Sector: Insurance
- Market Cap: US$2.481b
- Shares outstanding: 113.33m
- Website: https://www.nationalgeneral.com
Number of Employees
Location
- National General Holdings Corp.
- 59 Maiden Lane
- 38th Floor
- New York
- New York
- 10038
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| NTGK.P | OTCPK (Pink Sheets LLC) | DEP SHS PFD-B | US | USD | No data | |
| NGHC | NasdaqGM (Nasdaq Global Market) | Yes | Common Stock | US | USD | Jun 2013 |
| 5NAA | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jun 2013 |
| NGHC.P | NasdaqGM (Nasdaq Global Market) | PFD SER A % | US | USD | Jun 2014 | |
| NGHC.O | NasdaqGM (Nasdaq Global Market) | DEP SHS PFD-B | US | USD | Mar 2015 | |
| NGHC.N | NasdaqGM (Nasdaq Global Market) | DEP SHS PFD C | US | USD | Jun 2016 |
Biography
National General Holdings Corp., a specialty personal lines insurance holding company, provides various insurance products and services in the United States, Bermuda, Luxembourg, and Sweden. The company's Property and Casualty segment offers standard, preferred, and nonstandard automobile insurance products; and recreational vehicle (RV) insurance products that carry RV-specific endorsements comprising automatic personal effects coverage, optional replacement cost coverage, RV storage coverage, and full-time liability coverage. It also provides homeowners policies consisting of property and liability coverages for one-and two-family, and owner-occupied residences; and additional personal umbrella coverage to the homeowners. In addition, this segment offers small business automobile insurance products, which covers liability and physical damage caused by light-to-medium duty commercial vehicles; motorcycle insurance products for various types of motorcycles, golf carts, and all-terrain vehicles; and lender-placed insurance products, including fire, home, and flood products, as well as collateral protection insurance and guaranteed asset protection products for automobiles. It sells its products through retail store fronts, Web/mobile, phone contact centers, and kiosks; and agents and affinity partners. The company's Accident and Health segment provides accident and non-major medical health insurance products, such as accident/AD&D coverage in the event of bodily injury or death due to accidental means; hospital indemnity; short-term medical plans; cancer/critical illness policies; basic dental coverage; and life insurance products for individuals, as well as stop loss programs for employers. It sells its products through agents, managing general underwriters, employers, Internet; and directly. The company was formerly known as American Capital Acquisition Corporation. National General Holdings Corp. was founded in 1939 and is headquartered in New York, New York.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/16 01:47 |
| End of Day Share Price | 2020/02/14 00:00 |
| Earnings | 2019/09/30 |
| Annual Earnings | 2018/12/31 |
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.