NYSE:ATH

Stock Analysis Report

Executive Summary

Athene Holding Ltd., a retirement services company, issues, reinsures, and acquires retirement savings products in the United States and Bermuda.

Rewards

Trading at 69.4% below its fair value

Earnings grew by 4.5% over the past year

Risk Analysis

Earnings are forecast to decline by an average of -13.6% per year for the next 3 years

Profit margins (11.4%) are lower than last year (16.5%)



Snowflake Analysis

Undervalued with acceptable track record.


Similar Companies

Share Price & News

How has Athene Holding's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

2.2%

ATH

0.8%

US Insurance

0.7%

US Market


1 Year Return

12.5%

ATH

24.1%

US Insurance

21.1%

US Market

Return vs Industry: ATH underperformed the US Insurance industry which returned 24.1% over the past year.

Return vs Market: ATH underperformed the US Market which returned 21.1% over the past year.


Shareholder returns

ATHIndustryMarket
7 Day2.2%0.8%0.7%
30 Day3.3%1.0%2.3%
90 Day5.8%1.0%5.0%
1 Year12.5%12.5%27.1%24.1%23.7%21.1%
3 Year-2.6%-2.6%33.9%23.6%47.0%37.4%
5 Yearn/a64.3%44.6%65.7%47.5%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Athene Holding undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ATH ($45.32) is trading below our estimate of fair value ($148.28)

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


Price To Earnings Ratio

PE vs Industry: ATH is good value based on its PE Ratio (5.4x) compared to the Insurance industry average (16.6x).

PE vs Market: ATH is good value based on its PE Ratio (5.4x) compared to the US market (18.6x).


Price to Earnings Growth Ratio

PEG Ratio: ATH's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


Price to Book Ratio

PB vs Industry: ATH is good value based on its PB Ratio (0.6x) compared to the US Insurance industry average (1.2x).


Next Steps

Future Growth

How is Athene Holding forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

-13.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ATH's earnings are forecast to decline over the next 3 years (-13.6% per year).

Earnings vs Market: ATH's earnings are forecast to decline over the next 3 years (-13.6% per year).

High Growth Earnings: ATH's earnings are forecast to decline over the next 3 years.

Revenue vs Market: ATH's revenue is expected to decline over the next 3 years (-2.6% per year).

High Growth Revenue: ATH's revenue is forecast to decline over the next 3 years (-2.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ATH's Return on Equity is forecast to be low in 3 years time (11.5%).


Next Steps

Past Performance

How has Athene Holding performed over the past 5 years?

26.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ATH has high quality earnings.

Growing Profit Margin: ATH's current net profit margins (11.4%) are lower than last year (16.5%).


Past Earnings Growth Analysis

Earnings Trend: ATH's earnings have grown significantly by 26.9% per year over the past 5 years.

Accelerating Growth: ATH's earnings growth over the past year (4.5%) is below its 5-year average (26.9% per year).

Earnings vs Industry: ATH earnings growth over the past year (4.5%) exceeded the Insurance industry -10.4%.


Return on Equity

High ROE: ATH's Return on Equity (11.9%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Athene Holding'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: ATH has a low level of unsold assets or inventory.

Debt Coverage by Assets: ATH's debt is covered by short term assets (assets are 45.3x debt).


Financial Institutions Analysis

Asset Level: ATH's level of assets compared to its equity is moderate.

Allowance for Bad Loans: Insufficient data to determine if ATH has a sufficient allowance for bad loans.

Low Risk Liabilities: ATH reports no customer deposits, loans are made up entirely of externally borrowed funds.

Loan Level: Insufficient data to determine if ATH has an acceptable proportion of non-loan assets held.

Low Risk Deposits: ATH has advanced significantly more loans than the customer deposits it holds.

Level of Bad Loans: Insufficient data to determine if ATH has an appropriate level of bad loans.


Next Steps

Dividend

What is Athene Holding's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

companyn/amarketbottom25%1.4%markettop25%3.7%industryaverage2.3%forecastin3Years0%

Current dividend yield vs market & industry

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

High Dividend: Unable to evaluate ATH'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 ATH's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

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


Next Steps

Management

What is the CEO of Athene Holding's salary, the management and board of directors tenure and is there insider trading?

3.7yrs

Average management tenure


CEO

Jim Belardi (62yo)

10.6yrs

Tenure

US$4,275,309

Compensation

Mr. James Richard Belardi, also known as Jim, Co-Founded Athene Holding Ltd. (“AHL”) in 2008 and has been its Chief Executive Officer, Chief Investment Officer, and Chairman since May 2009. Mr. Belardi is  ...


CEO Compensation Analysis

Compensation vs Market: Jim's total compensation ($USD4.28M) is below average for companies of similar size in the US market ($USD6.64M).

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


Management Age and Tenure

3.7yrs

Average Tenure

57yo

Average Age

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


Board Age and Tenure

9.4yrs

Average Tenure

56yo

Average Age

Experienced Board: ATH's board of directors are considered experienced (9.4 years average tenure).


Insider Trading

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.


Management Team

  • Grant Kvalheim (62yo)

    Executive VP of Athene and CEO & President of Athene USA

    • Tenure: 0yrs
    • Compensation: US$3.17m
  • Bill Wheeler (57yo)

    President

    • Tenure: 4.3yrs
    • Compensation: US$4.44m
  • Jim Belardi (62yo)

    Co-Founder

    • Tenure: 10.6yrs
    • Compensation: US$4.28m
  • John Sondej (54yo)

    Senior VP

    • Tenure: 1.3yrs
  • Randy Epright (56yo)

    Executive VP & Chief Information Officer

    • Tenure: 0yrs
  • Noah Gunn

    Head of Investor Relations

    • Tenure: 1.3yrs
  • Marty Klein (59yo)

    Executive VP & CFO

    • Tenure: 4.1yrs
    • Compensation: US$2.82m
  • John Rhodes (47yo)

    Executive VP & Chief Risk Officer

    • Tenure: 3.3yrs
    • Compensation: US$1.97m
  • John Golden

    Executive VP & General Counsel

    • Tenure: 0yrs
  • Kristi Burma

    Executive Vice President of Human Resources

    • Tenure: 0yrs

Board Members

  • Larry Ruisi (70yo)

    Independent Director

    • Tenure: 6.9yrs
    • Compensation: US$305.04k
  • Marc Rowan (56yo)

    Director

    • Tenure: 10.9yrs
  • Bob Borden (56yo)

    Independent Director

    • Tenure: 9.9yrs
    • Compensation: US$277.79k
  • Manfred Puffer (56yo)

    Director

    • Tenure: 7.9yrs
    • Compensation: US$260.04k
  • Marc Beilinson (61yo)

    Lead Independent Director

    • Tenure: 1.8yrs
    • Compensation: US$393.41k
  • Jim Belardi (62yo)

    Co-Founder

    • Tenure: 10.6yrs
    • Compensation: US$4.28m
  • Art Wrubel (53yo)

    Independent Director

    • Tenure: 3.3yrs
    • Compensation: US$364.29k
  • Matt Michelini (37yo)

    Director

    • Tenure: 9.9yrs
  • Hope Taitz (55yo)

    Director

    • Tenure: 8.9yrs
    • Compensation: US$317.70k
  • Gernot Friedrich Löhr (50yo)

    Director

    • Tenure: 10.9yrs

Company Information

Athene Holding Ltd.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Athene Holding Ltd.
  • Ticker: ATH
  • Exchange: NYSE
  • Founded: 2008
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Market Cap: US$8.088b
  • Shares outstanding: 178.47m
  • Website: https://www.athene.com

Number of Employees


Location

  • Athene Holding Ltd.
  • Chesney House
  • First Floor
  • Pembroke
  • HM08
  • Bermuda

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ATHNYSE (New York Stock Exchange)YesClass A Common StockUSUSDDec 2016
ATRDB (Deutsche Boerse AG)YesClass A Common StockDEEURDec 2016
ATH.PRANYSE (New York Stock Exchange)6.35 DP SH PFD AUSUSDJun 2019
ATH.PRBNYSE (New York Stock Exchange)5.625 DPRP PFD BUSUSDSep 2019

Biography

Athene Holding Ltd., a retirement services company, issues, reinsures, and acquires retirement savings products in the United States and Bermuda. It offers fixed deferred, immediate, and payout annuities;  ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/12/15 01:15
End of Day Share Price2019/12/13 00:00
Earnings2019/09/30
Annual Earnings2018/12/31


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.