NasdaqGM:UNAM

Stock Analysis Report

Executive Summary

Unico American Corporation, through its subsidiaries, underwrites property and casualty insurance in Arizona, California, Nevada, Oregon, and Washington.


Snowflake Analysis

Excellent balance sheet and overvalued.

Share Price & News

How has Unico American's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UNAM has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-16.3%

UNAM

13.0%

US Insurance

9.4%

US Market


1 Year Return

-20.0%

UNAM

-15.4%

US Insurance

-6.8%

US Market

Return vs Industry: UNAM matched the US Insurance industry which returned -20% over the past year.

Return vs Market: UNAM underperformed the US Market which returned -10% over the past year.


Shareholder returns

UNAMIndustryMarket
7 Day-16.3%13.0%9.4%
30 Day-16.5%-8.8%-3.9%
90 Day-34.7%-23.6%-16.5%
1 Year-20.0%-20.0%-13.3%-15.4%-4.8%-6.8%
3 Year-50.2%-50.2%2.3%-5.9%23.4%15.2%
5 Year-54.9%-54.9%25.8%10.5%41.3%25.7%

Price Volatility Vs. Market

How volatile is Unico American's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Unico American undervalued compared to its fair value and its price relative to the market?

0.46x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate UNAM's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate UNAM's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: UNAM is unprofitable, so we can't compare its PE Ratio to the Insurance industry average.

PE vs Market: UNAM is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: UNAM is good value based on its PB Ratio (0.5x) compared to the US Insurance industry average (0.8x).


Next Steps

Future Growth

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

1.5%

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 Unico American 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.


Next Steps

Past Performance

How has Unico American performed over the past 5 years?

-28.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UNAM is currently unprofitable.

Growing Profit Margin: UNAM is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: UNAM is unprofitable, and losses have increased over the past 5 years at a rate of -28.2% per year.

Accelerating Growth: Unable to compare UNAM's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: UNAM is unprofitable, making it difficult to compare its past year earnings growth to the Insurance industry (43.7%).


Return on Equity

High ROE: UNAM has a negative Return on Equity (-5.66%), as it is currently unprofitable.


Next Steps

Financial Health

How is Unico American's financial position?


Financial Position Analysis

Short Term Liabilities: UNAM's short term assets ($27.8M) do not cover its short term liabilities ($74.1M).

Long Term Liabilities: UNAM's short term assets ($27.8M) exceed its long term liabilities ($1.1M).


Debt to Equity History and Analysis

Debt Level: UNAM is debt free.

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


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: UNAM has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: UNAM has sufficient cash runway for 1.7 years if free cash flow continues to grow at historical rates of 3.5% each year.


Next Steps

Dividend

What is Unico American's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate UNAM's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate UNAM's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if UNAM's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if UNAM's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: UNAM is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of UNAM's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

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

3.7yrs

Average management tenure


CEO

Cary Cheldin (62yo)

11s

Tenure

US$357,382

Compensation

Mr. Cary Louis Cheldin serves as President and Director of Crusader Insurance Company. Mr. Cheldin has been Chairman, Chief Executive Officer and President at Unico American Corp. since April 1, 2009. Mr.  ...


CEO Compensation Analysis

Compensation vs Market: Cary's total compensation ($USD357.38K) is below average for companies of similar size in the US market ($USD615.59K).

Compensation vs Earnings: Cary's compensation has increased whilst the company is unprofitable.


Leadership Team

NamePositionTenureCompensationOwnership
Cary Cheldin
Chairman11yrsUS$357.38k3.88% $989.8k
Michael Budnitsky
CFO, Treasurer2.75yrsUS$273.12k0.13% $33.7k
David Lawless
Senior VP & Chief Administrative Officer0.25yrno datano data

3.7yrs

Average Tenure

61yo

Average Age

Experienced Management: UNAM's management team is considered experienced (3.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Cary Cheldin
Chairman11yrsUS$357.38k3.88% $989.8k
Michael Budnitsky
CFO, Treasurer2.75yrsUS$273.12k0.13% $33.7k
Erwin Cheldin
Director51.25yrsUS$9.00k44.36% $11.3m
John Keefe
Independent Director0.083yrno datano data
Andrew Furgatch
Director1.92yrsUS$6.00kno data
Ronald Closser
Independent Director0.25yrno datano data
David Russell
Independent Director4.92yrsUS$9.00k0.69% $176.2k
Samuel Sorich
Independent Director7.92yrsUS$9.00kno data
Rhonda Gillenwaters
Independent Director0.083yrno datano data

2.8yrs

Average Tenure

62yo

Average Age

Experienced Board: UNAM's board of directors are not considered experienced ( 2.8 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: UNAM 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

Unico American Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Unico American Corporation
  • Ticker: UNAM
  • Exchange: NasdaqGM
  • Founded: 1969
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Market Cap: US$25.521m
  • Shares outstanding: 5.31m
  • Website: https://www.crusaderinsurance.com

Number of Employees


Location

  • Unico American Corporation
  • 26050 Mureau Road
  • Calabasas
  • California
  • 91302
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UNAMNasdaqGM (Nasdaq Global Market)YesCommon StockUSUSDJan 1980

Biography

Unico American Corporation, through its subsidiaries, underwrites property and casualty insurance in Arizona, California, Nevada, Oregon, and Washington. It provides property, casualty, health, and life insurance products, as well as insurance premium financing and membership association services. The company’s commercial property coverage insures against loss or damage to buildings, inventory, and equipment from natural disasters, including hurricanes, windstorms, hail, water, explosions, and severe winter weather, as well as other events, such as theft and vandalism, fires, storms, and financial loss due to business interruption resulting from covered property damage. It also provides commercial liability coverage that insures against third party liability from accidents occurring on the insured’s premises or arising out of its operation; and writes policies to insure commercial property and commercial liability risks on a mono-line basis. In addition, the company offers group dental and vision insurance policies, as well as health and life insurance for individuals and groups. Unico American Corporation markets its insurance products primarily through a network of independent brokers and agents. The company was founded in 1969 and is headquartered in Calabasas, California. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/04/10 00:21
End of Day Share Price2020/04/08 00:00
Earnings2019/12/31
Annual Earnings2019/12/31


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.