NYSE:L

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Loews Corporation provides commercial property and casualty insurance in the United States and internationally. More Details


Snowflake Analysis

Overvalued with weak fundamentals.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

1.4%

L

2.0%

US Insurance

-0.4%

US Market


1 Year Return

-29.0%

L

-9.5%

US Insurance

18.3%

US Market

Return vs Industry: L underperformed the US Insurance industry which returned -9.5% over the past year.

Return vs Market: L underperformed the US Market which returned 18.3% over the past year.


Shareholder returns

LIndustryMarket
7 Day1.4%2.0%-0.4%
30 Day7.6%8.5%6.6%
90 Day-0.1%2.7%8.6%
1 Year-28.5%-29.0%-7.0%-9.5%21.0%18.3%
3 Year-23.2%-24.4%2.7%-4.7%42.1%32.7%
5 Year2.2%-0.6%40.5%22.7%85.6%64.7%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

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

0.59x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: L ($36.23) is trading above our estimate of fair value ($15.71)

Significantly Below Fair Value: L is trading above our estimate of fair value.


Price To Earnings Ratio

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

PE vs Market: L 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 L's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: L is good value based on its PB Ratio (0.6x) compared to the US Insurance industry average (0.9x).


Next Steps

Future Growth

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

25.6%

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 Loews 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 Loews performed over the past 5 years?

-6.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: L is currently unprofitable.

Growing Profit Margin: L is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: L is unprofitable, and losses have increased over the past 5 years at a rate of 6.6% per year.

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

Earnings vs Industry: L is unprofitable, making it difficult to compare its past year earnings growth to the Insurance industry (-3.4%).


Return on Equity

High ROE: L has a negative Return on Equity (-8.91%), as it is currently unprofitable.


Next Steps

Financial Health

How is Loews's financial position?


Financial Position Analysis

Short Term Liabilities: L's short term assets ($13.6B) do not cover its short term liabilities ($28.3B).

Long Term Liabilities: L's short term assets ($13.6B) do not cover its long term liabilities ($31.7B).


Debt to Equity History and Analysis

Debt Level: L's debt to equity ratio (54.4%) is considered high.

Reducing Debt: L's debt to equity ratio has increased from 44.6% to 54.4% over the past 5 years.

Debt Coverage: L's debt is not well covered by operating cash flow (17%).

Interest Coverage: Insufficient data to determine if L's interest payments on its debt are well covered by EBIT.


Balance Sheet


Next Steps

Dividend

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

0.69%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: L's dividend (0.69%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.63%).

High Dividend: L's dividend (0.69%) is low compared to the top 25% of dividend payers in the US market (4.56%).


Stability and Growth of Payments

Stable Dividend: L is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: L is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

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


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of L'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?

8.8yrs

Average management tenure


CEO

James Tisch (67 yo)

22.75yrs

Tenure

US$9,312,872

Compensation

Mr. James S. Tisch, also known as Jim, has been President and Chief Executive Officer and member of the Officer of the President of Loews Corporation, the holding Company of CNA Financial Corporation since ...


CEO Compensation Analysis

Compensation vs Market: James's total compensation ($USD9.31M) is about average for companies of similar size in the US market ($USD11.16M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Andrew Tisch
Co-Chairman of the Board14.75yrsUS$7.31m5.77%
$ 576.0m
Jonathan Tisch
Co-Chairman of the Board14.75yrsUS$7.99m3.63%
$ 362.7m
James Tisch
President22.75yrsUS$9.31m6.1%
$ 609.4m
David Edelson
Senior VP & CFO6.42yrsUS$5.94m0.0083%
$ 827.2k
Kenneth Siegel
Senior Vice Presidentno dataUS$5.52mno data
Richard Scott
Senior VP & Chief Investment Officer11.75yrsno data0.0095%
$ 952.1k
Mark Schwartz
VP & Chief Accounting Officer15.25yrsno datano data
Mary Skafidas
Vice President of IR & Corporate Communications8.75yrsno datano data
Marc Alpert
Senior VP4.25yrsno datano data
Benjamin Tisch
Vice President of Corporate Developmentno datano datano data
Laura Cushing
Vice President of Human Resourcesno datano datano data
Edmund Unneland
Treasurer8.17yrsno datano data

8.8yrs

Average Tenure

66yo

Average Age

Experienced Management: L's management team is seasoned and experienced (8.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Andrew Tisch
Co-Chairman of the Board14.75yrsUS$7.31m5.77%
$ 576.0m
Jonathan Tisch
Co-Chairman of the Board14.75yrsUS$7.99m3.63%
$ 362.7m
James Tisch
President22.75yrsUS$9.31m6.1%
$ 609.4m
Philip Laskawy
Independent Director17.75yrsUS$225.00k0.0041%
$ 413.6k
Charles Diker
Independent Director17.75yrsUS$235.00k0.0042%
$ 420.6k
Charles Davidson
Independent Director5.67yrsUS$210.00k0.0067%
$ 674.3k
Anthony Welters
Independent Director7yrsUS$210.00k0.0027%
$ 271.7k
Joseph Bower
Independent Director19.75yrsUS$265.00k0.0042%
$ 416.6k
Paul Fribourg
Independent Lead Directorno dataUS$285.00k0%
$ 0
Walter Harris
Independent Director16.25yrsUS$275.00k0.0053%
$ 529.5k
Ann Berman
Independent Director14.75yrsUS$225.00k0%
$ 0
Susan Peters
Independent Director2.42yrsUS$207.50k0.00071%
$ 70.9k

14.8yrs

Average Tenure

68yo

Average Age

Experienced Board: L's board of directors are seasoned and experienced ( 14.8 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

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


Key Information

  • Name: Loews Corporation
  • Ticker: L
  • Exchange: NYSE
  • Founded: 1969
  • Industry: Property and Casualty Insurance
  • Sector: Insurance
  • Market Cap: US$9.990b
  • Shares outstanding: 275.74m
  • Website: https://www.loews.com

Number of Employees


Location

  • Loews Corporation
  • 667 Madison Avenue
  • New York
  • New York
  • 10065-8087
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
LNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1968
LTRDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1968
0JVILSE (London Stock Exchange)YesCommon StockGBUSDJan 1968
L1OE34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH 1 REPR 1 COMBRBRLJan 2020

Biography

Loews Corporation provides commercial property and casualty insurance in the United States and internationally. It operates through five segments: CNA Financial Corporation; Diamond Offshore Drilling, Inc. ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/25 00:06
End of Day Share Price2020/10/23 00:00
Earnings2020/06/30
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.