NYSE:FFG

Stock Analysis Report

Executive Summary

FBL Financial Group, Inc., through its subsidiaries, sells individual life insurance and annuity products.


Snowflake Analysis

Undervalued established dividend payer.


Similar Companies

Share Price & News

How has FBL Financial Group's share price performed over time and what events caused price changes?


Latest Share Price and Events

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


Market Performance


7 Day Return

-14.2%

FFG

-10.4%

US Insurance

-10.6%

US Market


1 Year Return

-29.5%

FFG

3.8%

US Insurance

5.2%

US Market

Return vs Industry: FFG underperformed the US Insurance industry which returned 9.3% over the past year.

Return vs Market: FFG underperformed the US Market which returned 10.2% over the past year.


Shareholder returns

FFGIndustryMarket
7 Day-14.2%-10.4%-10.6%
30 Day-12.5%-7.7%-8.5%
90 Day-14.9%-6.5%-4.6%
1 Year-25.7%-29.5%6.2%3.8%7.4%5.2%
3 Year-18.7%-29.7%19.4%10.2%31.7%23.2%
5 Year11.7%-14.6%54.2%35.9%56.4%39.3%

Price Volatility Vs. Market

How volatile is FBL Financial Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is FBL Financial Group undervalued compared to its fair value and its price relative to the market?

39.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: FFG ($51.38) is trading below our estimate of fair value ($81.47)

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


Price To Earnings Ratio

PE vs Industry: FFG is good value based on its PE Ratio (10.1x) compared to the Insurance industry average (12.4x).

PE vs Market: FFG is good value based on its PE Ratio (10.1x) compared to the US market (17.1x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: FFG is good value based on its PB Ratio (0.9x) compared to the US Insurance industry average (1.1x).


Next Steps

Future Growth

How is FBL Financial Group forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?

-3.9%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: FFG's earnings are forecast to decline over the next 3 years (-3.9% per year).

Earnings vs Market: FFG's earnings are forecast to decline over the next 3 years (-3.9% per year).

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

Revenue vs Market: FFG's revenue is expected to decline over the next 3 years (-0.8% per year).

High Growth Revenue: FFG's revenue is forecast to decline over the next 3 years (-0.8% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if FFG's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has FBL Financial Group performed over the past 5 years?

3.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: FFG has high quality earnings.

Growing Profit Margin: FFG's current net profit margins (16.3%) are higher than last year (13%).


Past Earnings Growth Analysis

Earnings Trend: FFG's earnings have grown by 3.7% per year over the past 5 years.

Accelerating Growth: FFG's earnings growth over the past year (34.8%) exceeds its 5-year average (3.7% per year).

Earnings vs Industry: FFG earnings growth over the past year (34.8%) underperformed the Insurance industry 34.8%.


Return on Equity

High ROE: FFG's Return on Equity (8.5%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is FBL Financial Group'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: FFG has a low level of unsold assets or inventory.

Debt Coverage by Assets: FFG's debt is covered by short term assets (assets are 2.7x debt).


Financial Institutions Analysis

Asset Level: FFG's level of assets compared to its equity is low.

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

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

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

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

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


Next Steps

Dividend

What is FBL Financial Group's current dividend yield, its reliability and sustainability?

6.98%

Current Dividend Yield


Dividend Yield vs Market

company7.0%marketbottom25%1.6%markettop25%4.1%industryaverage2.6%forecastin3Years7.2%

Current dividend yield vs market & industry

Notable Dividend: FFG's dividend (6.66%) is higher than the bottom 25% of dividend payers in the US market (1.53%).

High Dividend: FFG's dividend (6.66%) is in the top 25% of dividend payers in the US market (3.96%)


Stability and Growth of Payments

Stable Dividend: FFG's dividend payments have been volatile in the past 10 years.

Growing Dividend: FFG's dividend payments have increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (37.7%), FFG's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: FFG's dividends in 3 years are forecast to be covered by earnings (75.4% payout ratio).


Next Steps

Management

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

3.1yrs

Average management tenure


CEO

Dan Pitcher (57yo)

0.08yrs

Tenure

US$1,360,150

Compensation

Mr. Daniel David Pitcher, also known as Dan, serves as Chief Executive Officer and Director of FBL Financial Group, Inc. since January 01, 2020. He is Chief Operating Officer of Property Casualty Companies ...


CEO Compensation Analysis

Compensation vs Market: Dan's total compensation ($USD1.36M) is below average for companies of similar size in the US market ($USD3.92M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Daniel Pitcher
CEO & Director0.08yrsUS$1.36m0.024% $285.4k
Donald Seibel
CFO & Treasurer7.5yrsUS$1.27m0.057% $694.5k
Charles Happel
Chief Investment Officer10.4yrsUS$1.36mno data
D. Stice
Chief Marketing Officer6.7yrsUS$1.03mno data
Anthony Aldridge
Chief Accounting Officer2.9yrsno data0.0020% $24.5k
Casey Decker
Chief Information Officer3.7yrsno data0.0014% $17.4k
Nicholas Gerhart
Chief Administrative Officer3.1yrsno data0.00085% $10.3k
Kathleen Till Stange
Vice President of Corporate & Investor Relations0yrsno datano data
Lori Geadelmann
General Counsel1.9yrsno data0.0023% $27.7k
Kelli Eddy
Chief Operating Officer of Life Companies0.5yrsno datano data

3.1yrs

Average Tenure

54.5yo

Average Age

Experienced Management: FFG's management team is considered experienced (3.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Daniel Pitcher
CEO & Director0.08yrsUS$1.36m0.024% $285.4k
James Brannen
Director6.8yrsUS$2.94mno data
Roger Brooks
Independent Director10.8yrsUS$99.50k0.012% $139.6k
Craig Hill
Chairman of the Board8.2yrsUS$75.12k0.0040% $49.0k
Paul Larson
Vice Chairman & Lead Director2.8yrsUS$114.50k0.026% $311.4k
Paul Juffer
Independent Director2.8yrsUS$102.50kno data
Kevin Paap
Director2.3yrsUS$75.30k0.013% $161.7k
Joe Heinrich
Director6.8yrsUS$54.00kno data
Scott VanderWal
Director8.8yrsUS$77.80k0.0081% $98.0k
Richard Felts
Director4.9yrsUS$83.30kno data

5.8yrs

Average Tenure

58yo

Average Age

Experienced Board: FFG's board of directors are considered experienced (5.8 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.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

FBL Financial Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FBL Financial Group, Inc.
  • Ticker: FFG
  • Exchange: NYSE
  • Founded: 1944
  • Industry: Life and Health Insurance
  • Sector: Insurance
  • Market Cap: US$1.209b
  • Shares outstanding: 24.67m
  • Website: https://www.fblfinancial.com

Number of Employees


Location

  • FBL Financial Group, Inc.
  • 5400 University Avenue
  • West Des Moines
  • Iowa
  • 50266
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FFGNYSE (New York Stock Exchange)YesClass A Common StockUSUSDJul 1996

Biography

FBL Financial Group, Inc., through its subsidiaries, sells individual life insurance and annuity products. The Annuity segment sells various traditional annuity products that primarily consist of fixed rate and indexed annuities, and supplementary contracts. The Life Insurance segment offers whole life, term life, and universal life policies. The company is also involved in the property-casualty business; and provision of investment advisory, marketing and distribution, and leasing services. FBL Financial Group, Inc. markets its products to Farm Bureau members, and other individuals and businesses through exclusive agents and agency managers principally under the consumer brand name of Farm Bureau Financial Services in the Midwestern and Western sections of the United States. The company was incorporated in 1944 and is headquartered in West Des Moines, Iowa. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/02/28 00:07
End of Day Share Price2020/02/27 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.