NYSE:KMPR

Stock Analysis Report

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Executive Summary

Kemper Corporation, a diversified insurance holding company, provides property and casualty, and life and health insurance in the United States. More Details


Snowflake Analysis

Excellent balance sheet established dividend payer.


Similar Companies

Share Price & News

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


Latest Share Price and Events

Stable Share Price: KMPR is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: KMPR's weekly volatility (4%) has been stable over the past year.


Market Performance


7 Day Return

7.5%

KMPR

1.7%

US Insurance

2.1%

US Market


1 Year Return

3.9%

KMPR

-5.4%

US Insurance

19.8%

US Market

Return vs Industry: KMPR exceeded the US Insurance industry which returned -5.4% over the past year.

Return vs Market: KMPR underperformed the US Market which returned 19.7% over the past year.


Shareholder returns

KMPRIndustryMarket
7 Day7.5%1.7%2.1%
30 Day22.6%14.0%8.1%
90 Day-0.6%10.3%6.0%
1 Year5.7%3.9%-2.8%-5.4%22.5%19.8%
3 Year17.4%12.3%10.4%2.4%46.5%36.8%
5 Year111.2%92.0%51.2%32.4%96.9%75.3%

Long-Term Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

26.4%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KMPR ($77.48) is trading below our estimate of fair value ($105.32)

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


Price To Earnings Ratio

PE vs Industry: KMPR is good value based on its PE Ratio (11.7x) compared to the US Insurance industry average (14.4x).

PE vs Market: KMPR is good value based on its PE Ratio (11.7x) compared to the US market (19.7x).


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: KMPR is overvalued based on its PB Ratio (1.2x) compared to the US Insurance industry average (1x).


Next Steps

Future Growth

How is Kemper forecast to perform in the next 1 to 3 years based on estimates from 5 analysts?

-1.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KMPR's earnings are forecast to decline over the next 3 years (-1.6% per year).

Earnings vs Market: KMPR's earnings are forecast to decline over the next 3 years (-1.6% per year).

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

Revenue vs Market: KMPR's revenue (5.6% per year) is forecast to grow slower than the US market (10.2% per year).

High Growth Revenue: KMPR's revenue (5.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KMPR's Return on Equity is forecast to be low in 3 years time (9.4%).


Next Steps

Past Performance

How has Kemper performed over the past 5 years?

47.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KMPR has high quality earnings.

Growing Profit Margin: KMPR's current net profit margins (8.7%) are higher than last year (8.5%).


Past Earnings Growth Analysis

Earnings Trend: KMPR's earnings have grown significantly by 47.4% per year over the past 5 years.

Accelerating Growth: KMPR's earnings growth over the past year (6.1%) is below its 5-year average (47.4% per year).

Earnings vs Industry: KMPR earnings growth over the past year (6.1%) exceeded the Insurance industry 6%.


Return on Equity

High ROE: KMPR's Return on Equity (10.1%) is considered low.


Next Steps

Financial Health

How is Kemper's financial position?


Financial Position Analysis

Short Term Liabilities: KMPR's short term assets ($2.5B) exceed its short term liabilities ($2.2B).

Long Term Liabilities: KMPR's short term assets ($2.5B) do not cover its long term liabilities ($7.5B).


Debt to Equity History and Analysis

Debt Level: KMPR's debt to equity ratio (27%) is considered satisfactory.

Reducing Debt: KMPR's debt to equity ratio has reduced from 37.1% to 27% over the past 5 years.

Debt Coverage: KMPR's debt is well covered by operating cash flow (35.7%).

Interest Coverage: KMPR's interest payments on its debt are well covered by EBIT (18.9x coverage).


Balance Sheet


Next Steps

Dividend

What is Kemper current dividend yield, its reliability and sustainability?

1.55%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KMPR's dividend (1.55%) is higher than the bottom 25% of dividend payers in the US market (1.47%).

High Dividend: KMPR's dividend (1.55%) is low compared to the top 25% of dividend payers in the US market (4.05%).


Stability and Growth of Payments

Stable Dividend: KMPR's dividends per share have been stable in the past 10 years.

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (17.8%), KMPR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KMPR's dividends in 3 years are forecast to be well covered by earnings (22.5% payout ratio).


Next Steps

Management

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

4.1yrs

Average management tenure


CEO

Joe Lacher (51 yo)

5yrs

Tenure

US$8,560,950

Compensation

Mr. Joseph Patrick Lacher, Jr., also known as Joe, has been the President, Chief Executive Officer and Director of Kemper Corporation since November 11, 2015. From November 2009 to July 2011, Mr. Lacher wa...


CEO Compensation Analysis

Compensation vs Market: Joe's total compensation ($USD8.56M) is about average for companies of similar size in the US market ($USD6.86M).

Compensation vs Earnings: Joe's compensation has increased by more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Joseph Lacher
President5yrsUS$8.56m0.11%
$ 5.5m
James McKinney
Executive VP & CFO4yrsUS$2.82m0.049%
$ 2.5m
John Boschelli
Executive VP & Chief Investment Officer11.5yrsUS$2.24m0.021%
$ 1.1m
Duane Sanders
Executive VP and President of Property & Casualty Divisionno dataUS$2.85m0.013%
$ 641.1k
Kimberly Holmes
Executive VP and Chief Actuary & Strategic Analytics Officer1.75yrsUS$3.47m0.0040%
$ 201.7k
Charles Brooks
Executive Vice President of Operations & Systems3.67yrsUS$1.36m0.020%
$ 995.8k
Anastasios Omiridis
Senior VPno datano data0.0034%
$ 174.3k
Christine Patrick
Vice President of Investor Relationsno datano datano data
Carl Evans
Executive VP5.5yrsno data0.061%
$ 3.1m
Barbara Ciesemier
Assistant Vice President of Corporate Communications2.83yrsno datano data
Dennis Sandelski
Vice President of Tax & Corporate Development10.5yrsno datano data
Christine F. Mullins
Executive VP & Chief Human Resources Officer4.08yrsno data0.018%
$ 936.0k

4.1yrs

Average Tenure

53yo

Average Age

Experienced Management: KMPR's management team is considered experienced (4.1 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Joseph Lacher
President5yrsUS$8.56m0.11%
$ 5.5m
David Storch
Independent Director10.5yrsUS$230.72k0.015%
$ 774.9k
Gerald Laderman
Independent Director0.75yrno datano data
George Cochran
Independent Director5.75yrsUS$255.44k0.0057%
$ 287.3k
Robert Joyce
Independent Non-Executive Chairman5yrsUS$359.72k0.0046%
$ 232.6k
Christopher Sarofim
Director7.5yrsUS$225.13k0%
$ 0
Kathleen Cronin
Independent Director5.75yrsUS$242.44k0%
$ 0
Susan Whiting
Independent Director3.25yrsUS$226.29k0.0015%
$ 77.5k
Lacy Johnson
Independent Director4.25yrsUS$226.68k0%
$ 0
Stuart Parker
Independent Directorno datano datano data
Teresa Canida
Independent Director2.33yrsUS$233.34k0.017%
$ 845.3k

5.0yrs

Average Tenure

63yo

Average Age

Experienced Board: KMPR'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 not been meaningfully diluted in the past year.


Top Shareholders

Company Information

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


Key Information

  • Name: Kemper Corporation
  • Ticker: KMPR
  • Exchange: NYSE
  • Founded: 1990
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Market Cap: US$5.068b
  • Shares outstanding: 65.41m
  • Website: https://www.kemper.com

Number of Employees


Location

  • Kemper Corporation
  • 200 East Randolph Street
  • Suite 3300
  • Chicago
  • Illinois
  • 60601
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
KMPRNYSE (New York Stock Exchange)YesCommon SharesUSUSDApr 1990
UI2DB (Deutsche Boerse AG)YesCommon SharesDEEURApr 1990
KMPR34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 1 REP 0.5 COM USD0.10BRBRLMay 2019

Biography

Kemper Corporation, a diversified insurance holding company, provides property and casualty, and life and health insurance in the United States. The company operates through three segments: Specialty Prope...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/27 00:15
End of Day Share Price2020/11/25 00:00
Earnings2020/09/30
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.