State Auto Financial Corporation, through its subsidiaries, engages in writing personal and business insurance products in the United States. More Details
Moderate growth potential with mediocre balance sheet.
Share Price & News
How has State Auto Financial's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: STFC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: STFC's weekly volatility has decreased from 11% to 5% over the past year.
7 Day Return
1 Year Return
Return vs Industry: STFC underperformed the US Insurance industry which returned 3.5% over the past year.
Return vs Market: STFC underperformed the US Market which returned 34.1% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is State Auto Financial's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 days ago | Simply Wall StIs State Auto Financial Corporation (NASDAQ:STFC) At Risk Of Cutting Its Dividend?
1 month ago | Simply Wall StHow Much Did State Auto Financial's(NASDAQ:STFC) Shareholders Earn From Share Price Movements Over The Last Year?
Is State Auto Financial undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: Insufficient data to calculate STFC's fair value to establish if it is undervalued.
Significantly Below Fair Value: Insufficient data to calculate STFC's fair value to establish if it is undervalued.
Price To Earnings Ratio
PE vs Industry: STFC is poor value based on its PE Ratio (60.4x) compared to the US Insurance industry average (14.4x).
PE vs Market: STFC is poor value based on its PE Ratio (60.4x) compared to the US market (21.5x).
Price to Earnings Growth Ratio
PEG Ratio: STFC is good value based on its PEG Ratio (1x)
Price to Book Ratio
PB vs Industry: STFC is good value based on its PB Ratio (0.8x) compared to the US Insurance industry average (1x).
How is State Auto Financial forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: STFC's forecast earnings growth (60.6% per year) is above the savings rate (2%).
Earnings vs Market: STFC's earnings (60.6% per year) are forecast to grow faster than the US market (20.4% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: STFC's revenue (4.2% per year) is forecast to grow slower than the US market (10.5% per year).
High Growth Revenue: STFC's revenue (4.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: STFC's Return on Equity is forecast to be low in 3 years time (5.6%).
How has State Auto Financial performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: STFC has high quality earnings.
Growing Profit Margin: STFC's current net profit margins (0.9%) are lower than last year (6.1%).
Past Earnings Growth Analysis
Earnings Trend: STFC's earnings have declined by 16.5% per year over the past 5 years.
Accelerating Growth: STFC's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: STFC had negative earnings growth (-84.7%) over the past year, making it difficult to compare to the Insurance industry average (-2.5%).
Return on Equity
High ROE: STFC's Return on Equity (1.3%) is considered low.
How is State Auto Financial's financial position?
Financial Position Analysis
Short Term Liabilities: STFC's short term assets ($168.7M) do not cover its short term liabilities ($1.8B).
Long Term Liabilities: STFC's short term assets ($168.7M) do not cover its long term liabilities ($318.7M).
Debt to Equity History and Analysis
Debt Level: STFC's debt to equity ratio (12.1%) is considered satisfactory.
Reducing Debt: STFC's debt to equity ratio has increased from 11.4% to 12.1% over the past 5 years.
Debt Coverage: STFC's debt is well covered by operating cash flow (40.1%).
Interest Coverage: STFC's interest payments on its debt are well covered by EBIT (4.1x coverage).
What is State Auto Financial current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: STFC's dividend (2.21%) is higher than the bottom 25% of dividend payers in the US market (1.34%).
High Dividend: STFC's dividend (2.21%) is low compared to the top 25% of dividend payers in the US market (3.75%).
Stability and Growth of Payments
Stable Dividend: STFC's dividend payments have been volatile in the past 10 years.
Growing Dividend: STFC's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (133.4%), STFC's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: STFC's dividends in 3 years are forecast to be well covered by earnings (30.4% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Mike LaRocco (63 yo)
Mr. Michael Edward LaRocco, also known as Mike, has been the President, Chief Executive Officer and Director of State Auto Financial Corporation since May 2015 and its Chairman since January 2016. He serve...
CEO Compensation Analysis
Compensation vs Market: Mike's total compensation ($USD5.04M) is above average for companies of similar size in the US market ($USD2.21M).
Compensation vs Earnings: Mike's compensation has been consistent with company performance over the past year.
|Senior VP & CFO||14.17yrs||US$2.05m||0.094% |
|Senior VP and Chief Information & Strategy Officer||5.5yrs||US$1.48m||0.045% |
|Senior VP of Personal & Commercial Lines and MD of State Auto Labs||5.5yrs||US$1.64m||0.42% |
|Senior VP and Chief Claims & Risk Engineering Officer||5.42yrs||US$1.26m||0.084% |
|VP & Chief Investment Officer||8.92yrs||no data||0.023% |
|VP, Chief Accounting Officer & Treasurer||7.83yrs||no data||0.010% |
|Vice President of Financial||no data||no data||no data|
|Director of Investor Relations||no data||no data||no data|
|Senior VP||5.25yrs||no data||0.044% |
|Vice President of Corporate Development||no data||US$212.06k||no data|
|Assistant Vice President of Marketing & Communication||5yrs||no data||no data|
Experienced Management: STFC's management team is seasoned and experienced (5.5 years average tenure).
|Independent Director||3.67yrs||US$188.04k||0% |
|Independent Lead Director||5.75yrs||US$203.04k||0.15% |
|Director||no data||no data||no data|
|Independent Director||19.08yrs||US$183.04k||0.0023% |
|Independent Director||13.75yrs||US$193.04k||0.0064% |
|Independent Director||5.75yrs||US$193.04k||0% |
|Director||no data||no data||no data|
|Director||no data||no data||0.0023% |
|Director||no data||no data||no data|
|Independent Director||4.42yrs||US$183.04k||0.00034% |
|Independent Director||10.5yrs||US$198.04k||0.0087% |
Experienced Board: STFC's board of directors are considered experienced (5.8 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: STFC insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
State Auto Financial Corporation's company bio, employee growth, exchange listings and data sources
- Name: State Auto Financial Corporation
- Ticker: STFC
- Exchange: NasdaqGS
- Founded: 1950
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: US$795.029m
- Shares outstanding: 43.90m
- Website: https://www.stateauto.com
Number of Employees
- State Auto Financial Corporation
- 518 East Broad Street
- United States
|Ticker||Exchange||Primary Security||Security Type||Country||Currency||Listed on|
|STFC||NasdaqGS (Nasdaq Global Select)||Yes||Common Shares||US||USD||Jun 1991|
State Auto Financial Corporation, through its subsidiaries, engages in writing personal and business insurance products in the United States. It operates through three segments: Personal Insurance, Commerc...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/02/24 23:29|
|End of Day Share Price||2021/02/24 00:00|
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.