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Old Republic International

NYSE:ORI
Snowflake Description

Solid track record with adequate balance sheet and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
ORI
NYSE
$7B
Market Cap
  1. Home
  2. US
  3. Insurance
Company description

Old Republic International Corporation, through its subsidiaries, engages in the insurance underwriting and related services business primarily in the United States and Canada. The last earnings update was 8 days ago. More info.


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ORI Share Price and Events
7 Day Returns
1.4%
NYSE:ORI
-1.3%
US Insurance
-3.9%
US Market
1 Year Returns
6.9%
NYSE:ORI
6.2%
US Insurance
1.4%
US Market
ORI Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Old Republic International (ORI) 1.4% 4.9% 6.9% 6.9% 17.9% 31.9%
US Insurance -1.3% 1.2% 5% 6.2% 31.1% 43.8%
US Market -3.9% -3.6% 1.8% 1.4% 35.8% 40.8%
1 Year Return vs Industry and Market
  • ORI outperformed the Market in United States of America which returned 1.4% over the past year.
Price Volatility
ORI
Industry
5yr Volatility vs Market

Value

 Is Old Republic International undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Old Republic International to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Old Republic International.

NYSE:ORI Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Median Return on Equity from the past 5 years.
= Stable Book Value * Return on Equity
= $17.26 * 9.7%
$1.67
Book Value of Equity per Share Median Book Value from the past 5 years. $17.26
Discount Rate (Cost of Equity) See below 8%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:ORI
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Insurance Unlevered Beta Simply Wall St/ S&P Global 0.74
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.736 (1 + (1- 21%) (14.66%))
0.881
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.88
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.881 * 5.96%)
7.98%

Discounted Cash Flow Calculation for NYSE:ORI using Excess Returns Model Model

The calculations below outline how an intrinsic value for Old Republic International is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NYSE:ORI Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (9.7% – 7.98%) * $17.26)
$0.29
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $0.29 / (7.98% - 2.73%)
$5.54
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $17.26 + $5.54
$22.8
NYSE:ORI Discount to Share Price
Calculation Result
Value per share (USD) From above. $22.80
Current discount Discount to share price of $22.36
= -1 x ($22.36 - $22.80) / $22.80
1.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Old Republic International is available for.
Intrinsic value
2%
Share price is $22.36 vs Future cash flow value of $22.8
Current Discount Checks
For Old Republic International to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Old Republic International's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Old Republic International's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Old Republic International's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Old Republic International's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:ORI PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $2.60
NYSE:ORI Share Price ** NYSE (2019-05-15) in USD $22.36
United States of America Insurance Industry PE Ratio Median Figure of 89 Publicly-Listed Insurance Companies 17.47x
United States of America Market PE Ratio Median Figure of 3,087 Publicly-Listed Companies 17.79x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Old Republic International.

NYSE:ORI PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:ORI Share Price ÷ EPS (both in USD)

= 22.36 ÷ 2.60

8.6x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Old Republic International is good value based on earnings compared to the US Insurance industry average.
  • Old Republic International is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Old Republic International's expected growth come at a high price?
Raw Data
NYSE:ORI PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 8.6x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts
-14.9%per year
United States of America Insurance Industry PEG Ratio Median Figure of 67 Publicly-Listed Insurance Companies 1.58x
United States of America Market PEG Ratio Median Figure of 2,113 Publicly-Listed Companies 1.52x

*Line of best fit is calculated by linear regression .

NYSE:ORI PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 8.6x ÷ -14.9%

-0.58x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Old Republic International earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Old Republic International's assets?
Raw Data
NYSE:ORI PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $18.95
NYSE:ORI Share Price * NYSE (2019-05-15) in USD $22.36
United States of America Insurance Industry PB Ratio Median Figure of 119 Publicly-Listed Insurance Companies 1.19x
United States of America Market PB Ratio Median Figure of 5,195 Publicly-Listed Companies 1.83x
NYSE:ORI PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:ORI Share Price ÷ Book Value per Share (both in USD)

= 22.36 ÷ 18.95

1.18x

* Primary Listing of Old Republic International.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Old Republic International is good value based on assets compared to the US Insurance industry average.
X
Value checks
We assess Old Republic International's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Insurance industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Insurance industry average (and greater than 0)? (1 check)
  5. Old Republic International has a total score of 3/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

Future Performance

 How is Old Republic International expected to perform in the next 1 to 3 years based on estimates from 2 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-14.9%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Old Republic International expected to grow at an attractive rate?
  • Old Republic International's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Old Republic International's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
  • Old Republic International's revenues are expected to decrease over the next 1-3 years, this is below the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:ORI Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:ORI Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 2 Analysts -14.9%
NYSE:ORI Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 2 Analysts -1.8%
United States of America Insurance Industry Earnings Growth Rate Market Cap Weighted Average 9.4%
United States of America Insurance Industry Revenue Growth Rate Market Cap Weighted Average 3.2%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.3%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:ORI Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:ORI Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 6,347 599 1
2019-12-31 6,311 846 1
NYSE:ORI Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 6,560 766 779
2018-12-31 6,022 761 371
2018-09-30 6,467 528 777
2018-06-30 6,280 481 548
2018-03-31 6,149 438 451
2017-12-31 6,263 453 561
2017-09-30 6,086 758 393
2017-06-30 5,989 733 458
2017-03-31 5,932 658 457
2016-12-31 5,901 637 467
2016-09-30 5,832 524 426
2016-06-30 5,881 548 441

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Old Republic International's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Old Republic International's revenue is expected to decrease over the next 1-3 years, this is not considered high growth.
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:ORI Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (1 month ago) See Below
Future Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below

All data from Old Republic International Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:ORI Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 2.00 2.00 2.00 1.00
2019-12-31 2.82 2.82 2.82 1.00
NYSE:ORI Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 2.60
2018-12-31 1.26
2018-09-30 2.72
2018-06-30 1.98
2018-03-31 1.69
2017-12-31 2.14
2017-09-30 1.51
2017-06-30 1.76
2017-03-31 1.76
2016-12-31 1.80
2016-09-30 1.64
2016-06-30 1.70

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Old Republic International will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Old Republic International's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Old Republic International has a total score of 0/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

Past Performance

  How has Old Republic International performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Old Republic International's growth in the last year to its industry (Insurance).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Old Republic International's year on year earnings growth rate has been positive over the past 5 years.
  • Old Republic International's 1-year earnings growth exceeds its 5-year average (72.5% vs 7.4%)
  • Old Republic International's earnings growth has exceeded the US Insurance industry average in the past year (72.5% vs 6.6%).
Earnings and Revenue History
Old Republic International's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Old Republic International Company Filings, last reported 1 month ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:ORI Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 6,560.00 778.70 3,086.00
2018-12-31 6,021.80 370.50 3,080.60
2018-09-30 6,467.30 776.60 3,132.60
2018-06-30 6,280.40 547.60 3,068.40
2018-03-31 6,148.90 451.40 3,023.50
2017-12-31 6,263.10 560.50 2,995.70
2017-09-30 6,085.50 392.80 2,929.10
2017-06-30 5,988.80 457.60 2,902.00
2017-03-31 5,931.80 457.10 2,870.20
2016-12-31 5,900.50 466.90 2,816.30
2016-09-30 5,831.70 425.70 2,763.80
2016-06-30 5,881.40 440.60 2,733.80
2016-03-31 5,849.20 441.60 2,683.60
2015-12-31 5,765.90 422.10 2,633.00
2015-09-30 5,661.20 394.70 2,551.20
2015-06-30 5,506.20 354.70 2,475.20
2015-03-31 5,430.30 318.70 2,408.90
2014-12-31 5,530.70 409.70 2,381.00
2014-09-30 5,487.10 441.10 4,269.00
2014-06-30 5,475.90 458.10 3,651.00
2014-03-31 5,603.30 586.00 3,077.50
2013-12-31 5,442.70 447.80 2,509.70
2013-09-30 5,394.30 332.90
2013-06-30 5,319.40 215.10
2013-03-31 5,081.90 -12.80
2012-12-31 4,970.10 -68.60 2,297.10
2012-09-30 4,994.30 6.80
2012-06-30 4,803.20 -94.80

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Old Republic International has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Old Republic International used its assets more efficiently than the US Insurance industry average last year based on Return on Assets.
  • Old Republic International has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Old Republic International's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Insurance industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Old Republic International has a total score of 5/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

Health

 How is Old Republic International's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Old Republic International's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Old Republic International's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Old Republic International's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Old Republic International's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 6.1x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Old Republic International Company Filings, last reported 1 month ago.

NYSE:ORI Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 5,665.60 975.10 443.80
2018-12-31 5,146.20 981.40 455.20
2018-09-30 5,311.20 981.10 695.90
2018-06-30 5,103.40 974.40 624.80
2018-03-31 5,048.60 974.10 578.30
2017-12-31 4,733.30 1,448.70 796.00
2017-09-30 4,730.00 1,526.90 984.60
2017-06-30 4,661.60 1,526.10 782.00
2017-03-31 4,596.60 1,525.50 831.30
2016-12-31 4,460.60 1,528.70 827.30
2016-09-30 4,446.10 1,528.00 851.60
2016-06-30 4,377.90 982.90 719.30
2016-03-31 4,142.60 982.30 787.40
2015-12-31 3,880.80 952.80 829.20
2015-09-30 3,853.80 961.70 760.80
2015-06-30 3,937.40 961.70 782.30
2015-03-31 4,014.20 961.70 733.20
2014-12-31 3,924.00 965.00 746.10
2014-09-30 3,922.90 965.00 1,259.10
2014-06-30 3,953.10 566.20 1,470.20
2014-03-31 3,865.80 566.20 1,421.70
2013-12-31 3,775.00 569.20 1,278.10
2013-09-30 3,716.00 569.20 1,305.80
2013-06-30 3,584.50 570.00 1,205.10
2013-03-31 3,673.30 570.00 1,322.40
2012-12-31 3,596.20 572.90 1,366.10
2012-09-30 3,690.10 573.00 1,445.80
2012-06-30 3,712.30 573.80 1,317.70
  • Old Republic International's level of debt (17.2%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (14.6% vs 17.2% today).
  • Debt is well covered by operating cash flow (78.5%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 26.1x coverage).
X
Financial health checks
We assess Old Republic International's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Old Republic International has a total score of 4/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

Dividends

 What is Old Republic International's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
3.58%
Current annual income from Old Republic International dividends. Estimated to be 3.49% next year.
If you bought $2,000 of Old Republic International shares you are expected to receive $72 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Old Republic International's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.46%).
  • Old Republic International's dividend is below the markets top 25% of dividend payers in United States of America (3.71%).
Upcoming dividend payment

Purchase Old Republic International before the 'Buy Limit' to receive their next dividend payment.

Dividends are usually paid every 3 or 6 months, you can time your share purchase to take advantage of upcoming dividend payments.
Dividend payment calendar
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:ORI Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 2 Analyst Estimates (S&P Global) See Below
United States of America Insurance Industry Average Dividend Yield Market Cap Weighted Average of 80 Stocks 2.5%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 1997 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:ORI Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.78 1.00
2019-12-31 0.78 1.00
NYSE:ORI Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-05-09 0.800 3.621
2019-02-22 0.800 3.783
2018-11-21 0.780 3.717
2018-08-23 0.780 3.567
2018-05-14 0.780 3.733
2018-02-22 0.780 3.731
2017-11-22 0.760 3.661
2017-08-24 0.760 3.844
2017-05-11 0.760 3.877
2017-02-23 0.760 3.756
2016-11-21 0.750 3.887
2016-08-23 0.750 4.162
2016-05-12 0.750 3.917
2016-02-23 0.750 4.111
2015-11-23 0.740 4.046
2015-08-24 0.740 4.442
2015-05-22 0.740 4.631
2015-02-20 0.740 4.885
2014-11-21 0.730 5.023
2014-08-21 0.730 4.972
2014-05-08 0.730 4.515
2014-02-21 0.730 4.533
2013-11-26 0.720 4.434
2013-08-21 0.720 4.645
2013-05-09 0.720 5.233
2013-02-28 0.720 5.647
2012-11-21 0.710 6.365
2012-08-22 0.710 7.374
2012-05-10 0.710 7.972
2012-02-29 0.710 6.796
2011-12-08 0.700 7.201
2011-08-25 0.700 7.873
2011-05-11 0.700 6.240
2011-02-24 0.700 5.586
2010-12-09 0.690 5.297
2010-08-26 0.690 5.224
2010-05-13 0.690 5.357
2010-02-25 0.690 5.318
2009-11-25 0.680 6.458
2009-08-27 0.680 5.873

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Old Republic International's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.3x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Old Republic International's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Old Republic International afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Old Republic International has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

Management

 What is the CEO of Old Republic International's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Al Zucaro
COMPENSATION $3,135,291
AGE 79
TENURE AS CEO 29.3 years
CEO Bio

Mr. Aldo Charles Zucaro, also known as Al, has been the Chairman of Old Republic International Corporation since 1993 and also has been its Chief Executive Officer since 1990. Mr. Zucaro has a significant background as a former insurance specialist partner with Coopers & Lybrand (now PricewaterhouseCoopers LLP), and long-term experience with the insurance industry in general since 1970. He joined Old Republic International in 1976 as an Executive Vice President and Chief Financial Officer. He served as Chairman and Chief Executive Officer of Republic Financial Indemnity Group, Inc. since December, 2013. Mr. Zucaro served as the President of Old Republic Surety Group, Inc. He served as the President at Old Republic International Corporation since 1981. He serves as the Chairman of Old Republic Insured Automotive Services, Inc., and Old Republic General Insurance Group, Inc. Mr. Zucaro serves as a Director of Republic Mortgage Insurance Company. He has been a Director of Old Republic International Corporation since 1976. He is a Certified Public Accountant.

CEO Compensation
  • Al's compensation has been consistent with company performance over the past year.
  • Al's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Old Republic International management team in years:

12.8
Average Tenure
65.5
Average Age
  • The average tenure for the Old Republic International management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Al Zucaro

TITLE
Chairman & CEO
COMPENSATION
$3M
AGE
79
TENURE
29.3 yrs

Craig Smiddy

TITLE
President & COO
COMPENSATION
$1M
AGE
54
TENURE
0.9 yrs

Karl Mueller

TITLE
Senior VP & CFO
COMPENSATION
$896K
AGE
59
TENURE
14.6 yrs

Richard Rager

TITLE
Executive Vice Chairman & Senior VP of General Insurance
COMPENSATION
$2M
AGE
69
TENURE
12.8 yrs

Rande Yeager

TITLE
Chairman & CEO - Title Insurance Group
COMPENSATION
$1M
AGE
69
TENURE
17.2 yrs

Charlie Boone

TITLE
Senior Vice President of Investments
AGE
64
TENURE
17.8 yrs

Marilynn Meek

TITLE
Investor Relations Professional
TENURE
4.3 yrs

John Heitkamp

TITLE
Senior VP
AGE
63
TENURE
4.8 yrs

Dana Loncar-Gakovic

TITLE
Human Resources Director

Jim Kellogg

TITLE
Executive Vice Chairman and President of Old Republic Insurance Company
COMPENSATION
$687K
AGE
67
TENURE
8.8 yrs
Board of Directors Tenure

Average tenure and age of the Old Republic International board of directors in years:

14.8
Average Tenure
77
Average Age
  • The average tenure for the Old Republic International board of directors is over 10 years, this suggests they are a seasoned and experienced board.
Board of Directors

Rande Yeager

TITLE
Chairman & CEO - Title Insurance Group
COMPENSATION
$1M
AGE
69
TENURE
8.8 yrs

John Dixon

TITLE
Director
COMPENSATION
$168K
AGE
79
TENURE
16 yrs

Al Zucaro

TITLE
Chairman & CEO
COMPENSATION
$3M
AGE
79
TENURE
26.3 yrs

Fredricka Taubitz

TITLE
Director
COMPENSATION
$162K
AGE
74
TENURE
16 yrs

Charles Titterton

TITLE
Director
COMPENSATION
$156K
AGE
76
TENURE
14.8 yrs

Dennis Van Mieghem

TITLE
Director
COMPENSATION
$156K
AGE
78
TENURE
14.8 yrs

Steven Walker

TITLE
Director
COMPENSATION
$162K
AGE
73
TENURE
13 yrs

Arnold Steiner

TITLE
Lead Independent Director
COMPENSATION
$168K
AGE
80
TENURE
13.3 yrs

Spencer LeRoy

TITLE
Director
COMPENSATION
$132K
AGE
71
TENURE
4.3 yrs

Tony Bischof

TITLE
Director
COMPENSATION
$156K
AGE
83
TENURE
22.2 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
28. Jan 19 Buy Aldo Zucaro Individual 28. Jan 19 28. Jan 19 5,000 $19.87 $99,350
26. Oct 18 Sell Stephen Walker Individual 12. Oct 18 12. Oct 18 -1,000 $20.13 $-20,130
26. Oct 18 Buy Stephen Walker Individual 12. Oct 18 12. Oct 18 1,000 $20.21 $20,210
13. Jun 18 Sell Arnold Steiner Individual 12. Jun 18 13. Jun 18 -40,000 $21.27 $-846,550
X
Management checks
We assess Old Republic International's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Old Republic International has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

News

Simply Wall St News

How Does Old Republic International Corporation (NYSE:ORI) Stand Up To These Simple Dividend Safety Checks?

Could Old Republic International Corporation (NYSE:ORI) be an attractive dividend share to own for the long haul? … Yet sometimes, investors buy a stock for its dividend and lose money because the share price falls by more than they earned in dividend payments. … For the purpose of this article, we only scrutinise the last decade of Old Republic International's dividend payments.

Simply Wall St -

Is Now The Time To Put Old Republic International (NYSE:ORI) On Your Watchlist?

How Quickly Is Old Republic International Increasing Earnings Per Share. … Not all of Old Republic International's revenue this year is revenue from operations, so keep in mind the revenue and margin numbers I've used might not be the best representation of the underlying business. … The good news is that Old Republic International is growing revenues, and EBIT margins improved by 5.2 percentage points to 15%, over the last year.

Simply Wall St -

Do You Know What Old Republic International Corporation's (NYSE:ORI) P/E Ratio Means?

We'll look at Old Republic International Corporation's (NYSE:ORI) P/E ratio and reflect on what it tells us about the company's share price. … Old Republic International has a price to earnings ratio of 16.72, based on the last twelve months. … Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS)

Simply Wall St -

Dividend Hunters Should Consider Old Republic International Corporation (NYSE:ORI), With A 3.8% Yield

Over the past 10 years Old Republic International Corporation (NYSE:ORI) has grown its dividend payouts from $0.68 to $0.80. … With a market cap of US$6.4b, Old Republic International pays out 62% of its earnings, leading to a 3.8% yield. … It has paid dividend every year without dramatically reducing payout in the past

Simply Wall St -

Do Directors Own Old Republic International Corporation (NYSE:ORI) Shares?

If you want to know who really controls Old Republic International Corporation (NYSE:ORI), then you'll have to look at the makeup of its share registry. … Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … institutions are noticeable on the share registry.

Simply Wall St -

Why I Like Old Republic International Corporation (NYSE:ORI)

Old Republic International Corporation (NYSE:ORI) is a stock with outstanding fundamental characteristics. … When we build an investment case, we need to look at the stock with a holistic perspective. … In the case of ORI, it

Simply Wall St -

What Old Republic International Corporation's (NYSE:ORI) ROE Can Tell Us

Old Republic International has a ROE of 7.2%, based on the last twelve months. … One way to conceptualize this, is that for each $1 of shareholders' equity it has, the company made $0.072 in profit. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Does Old Republic International's Share Price Gain of 35% Match Its Business Performance?

But Old Republic International Corporation (NYSE:ORI) has fallen short of that second goal, with a share price rise of 35% over five years, which is below the market return. … One flawed but reasonable way to assess how sentiment around a company has changed, is to compare the earnings per share (EPS) with the share price. … Old Republic International's earnings per share are down 6.3% per year, despite strong share price performance over five years.

Simply Wall St -

Why Old Republic International Corporation (NYSE:ORI) Is A Dividend Rockstar

There is a lot to be liked about Old Republic International Corporation (NYSE:ORI) as an income stock. … Let's dig deeper into whether Old Republic International should have a place in your portfolio. … See our latest analysis for Old Republic International

Simply Wall St -

Should You Investigate Old Republic International Corporation (NYSE:ORI) At US$20.07?

saw significant share price movement during recent months on the NYSE, rising to highs of $22.83 and falling to the lows of $19.65. … A question to answer is whether Old Republic International's current trading price of $20.07 reflective of the actual value of the? … Let’s take a look at Old Republic International’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change

Simply Wall St -

Company Info

Description

Old Republic International Corporation, through its subsidiaries, engages in the insurance underwriting and related services business primarily in the United States and Canada. The company operates through three segments: General Insurance Group, Title Insurance Group, and the Republic Financial Indemnity Group Run-off Business. The General Insurance Group segment offers automobile extended warranty, aviation, commercial automobile, commercial multi-peril, general liability, home warranty, inland marine, travel accident, and workers' compensation insurance products; and financial indemnity products for specialty coverages, including errors and omissions, fidelity, guaranteed asset protection, and surety. This segment provides its insurance products to businesses, government, and other institutions in transportation, commercial construction, healthcare, education, retail and wholesale trade, forest products, energy, general manufacturing, and financial services industries. The Title Insurance Group segment offers lenders' and owners' title insurance policies to real estate purchasers and investors based upon searches of the public records. This segment also provides escrow closing and construction disbursement services; and real estate information products, national default management services, and various other services pertaining to real estate transfers and loan transactions. The Republic Financial Indemnity Group Run-off Business segment offers private mortgage insurance coverage that protects mortgage lenders and investors from default related losses on residential mortgage loans made primarily to homebuyers. It is also involved in the consumer credit indemnity run-off business. Old Republic International Corporation was founded in 1887 and is headquartered in Chicago, Illinois.

Details
Name: Old Republic International Corporation
ORI
Exchange: NYSE
Founded: 1887
$6,650,606,486
297,433,206
Website: http://www.oldrepublic.com
Address: Old Republic International Corporation
307 North Michigan Avenue,
Chicago,
Illinois, 60601,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE ORI Common Stock New York Stock Exchange US USD 02. Jan 1969
DB ORJ Common Stock Deutsche Boerse AG DE EUR 02. Jan 1969
Number of employees
Current staff
Staff numbers
9,000
Old Republic International employees.
Industry
Property and Casualty Insurance
Insurance
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/16 01:28
End of day share price update: 2019/05/15 00:00
Last estimates confirmation: 2019/05/10
Last earnings filing: 2019/05/08
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

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.