RenaissanceRe Holdings
Market Cap
US$6.2b
Last Updated
2020/04/04 01:47 UTC
Data Sources
Company Financials +
Executive Summary
RenaissanceRe Holdings Ltd. provides reinsurance and insurance products in the United States and internationally.
Rewards
Risk Analysis
Snowflake Analysis
Good value with proven track record.
Similar Companies
Share Price & News
How has RenaissanceRe Holdings's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: RNR's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
-5.1%
RNR
-6.1%
US Insurance
-2.0%
US Market
1 Year Return
-1.3%
RNR
-25.5%
US Insurance
-15.1%
US Market
Return vs Industry: RNR exceeded the US Insurance industry which returned -24.7% over the past year.
Return vs Market: RNR exceeded the US Market which returned -14.9% over the past year.
Shareholder returns
| RNR | Industry | Market | |
|---|---|---|---|
| 7 Day | -5.1% | -6.1% | -2.0% |
| 30 Day | -19.4% | -28.4% | -19.7% |
| 90 Day | -27.5% | -33.3% | -23.2% |
| 1 Year | -0.5%-1.3% | -23.6%-25.5% | -13.4%-15.1% |
| 3 Year | 3.5%0.7% | -11.8%-18.7% | 10.9%3.7% |
| 5 Year | 45.6%38.7% | 10.6%-2.8% | 28.4%14.4% |
Price Volatility Vs. Market
How volatile is RenaissanceRe Holdings's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Did RenaissanceRe Holdings's (NYSE:RNR) Share Price Deserve to Gain 49%?4 weeks ago | Simply Wall St
Have Insiders Sold RenaissanceRe Holdings Ltd. (NYSE:RNR) Shares Recently?1 month ago | Simply Wall St
Is RenaissanceRe Holdings Ltd.'s (NYSE:RNR) ROE Of 11% Impressive?Valuation
Is RenaissanceRe Holdings undervalued compared to its fair value and its price relative to the market?
48.6%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: RNR ($141.59) is trading below our estimate of fair value ($275.32)
Significantly Below Fair Value: RNR is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: RNR is good value based on its PE Ratio (8.7x) compared to the Insurance industry average (8.7x).
PE vs Market: RNR is good value based on its PE Ratio (8.7x) compared to the US market (12.5x).
Price to Earnings Growth Ratio
PEG Ratio: RNR is poor value based on its PEG Ratio (1.8x)
Price to Book Ratio
PB vs Industry: RNR is overvalued based on its PB Ratio (1.2x) compared to the US Insurance industry average (0.8x).
Next Steps
Future Growth
How is RenaissanceRe Holdings forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?
4.9%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: RNR's forecast earnings growth (4.9% per year) is above the savings rate (1.7%).
Earnings vs Market: RNR's earnings (4.9% per year) are forecast to grow slower than the US market (12.2% per year).
High Growth Earnings: RNR's earnings are forecast to grow, but not significantly.
Revenue vs Market: RNR's revenue (1.8% per year) is forecast to grow slower than the US market (7.1% per year).
High Growth Revenue: RNR's revenue (1.8% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: RNR's Return on Equity is forecast to be low in 3 years time (11.5%).
Next Steps
Past Performance
How has RenaissanceRe Holdings performed over the past 5 years?
-7.3%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: RNR has high quality earnings.
Growing Profit Margin: RNR's current net profit margins (16.7%) are higher than last year (9.3%).
Past Earnings Growth Analysis
Earnings Trend: RNR's earnings have declined by -7.3% per year over the past 5 years.
Accelerating Growth: RNR's earnings growth over the past year (260.5%) exceeds its 5-year average (-7.3% per year).
Earnings vs Industry: RNR earnings growth over the past year (260.5%) exceeded the Insurance industry 43.7%.
Return on Equity
High ROE: RNR's Return on Equity (10.5%) is considered low.
Next Steps
Financial Health
How is RenaissanceRe Holdings'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: RNR has a low level of unsold assets or inventory.
Debt Coverage by Assets: RNR's debt is covered by short term assets (assets are 17.2x debt).
Financial Institutions Analysis
Asset Level: RNR's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if RNR has a sufficient allowance for bad loans.
Low Risk Liabilities: RNR reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if RNR has an acceptable proportion of non-loan assets held.
Low Risk Deposits: RNR has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if RNR has an appropriate level of bad loans.
Next Steps
Dividend
What is RenaissanceRe Holdings's current dividend yield, its reliability and sustainability?
0.99%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: RNR's dividend (0.99%) isn’t notable compared to the bottom 25% of dividend payers in the US market (2.04%).
High Dividend: RNR's dividend (0.99%) is low compared to the top 25% of dividend payers in the US market (5.7%).
Stability and Growth of Payments
Stable Dividend: RNR is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: RNR 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: RNR is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of RNR'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?
5.2yrs
Average management tenure
CEO
Kevin O'Donnell (52yo)
6.75s
Tenure
US$10,819,363
Compensation
Mr. Kevin Joseph O’Donnell has been the Chief Executive Officer and President at RenaissanceRe Holdings Ltd. and Renaissance Reinsurance U.S. Inc. since July 1, 2013 and November 13, 2012 respectively. Mr. ...
CEO Compensation Analysis
Compensation vs Market: Kevin's total compensation ($USD10.82M) is above average for companies of similar size in the US market ($USD7.63M).
Compensation vs Earnings: Kevin's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 6.75yrs | US$10.82m | 0.50% $31.2m | |
| Executive VP & CFO | 3.67yrs | US$3.96m | 0.11% $6.6m | |
| Senior VP | 18.25yrs | US$3.38m | 0.23% $14.4m | |
| Senior VP & Group Chief Risk Officer | 15.25yrs | US$3.38m | 0.13% $8.3m | |
| Chief Investment Officer & Senior VP | 3.08yrs | no data | 0.025% $1.6m | |
| Chief Accounting Officer & Senior VP | 3.33yrs | no data | 0.029% $1.8m | |
| Senior Vice President of Finance & Investor Relations | no data | no data | no data | |
| Vice President of Marketing & Communications | no data | no data | no data | |
| Chief Human Resources Officer | 0.17yr | no data | no data | |
| SVP and Chief Executive of Singapore Branch - Renaissance Reinsurance Ltd & DaVinci Reinsurance Ltd | 9.92yrs | no data | 0.13% $7.8m |
5.2yrs
Average Tenure
50.5yo
Average Age
Experienced Management: RNR's management team is seasoned and experienced (5.2 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| President | 6.75yrs | US$10.82m | 0.50% $31.2m | |
| Independent Director | 2.67yrs | US$229.89k | 0.0089% $552.8k | |
| Independent Director | 14.83yrs | US$229.89k | 0.056% $3.5m | |
| Independent Director | 11.92yrs | US$259.89k | 0.042% $2.6m | |
| Independent Director | 11.92yrs | US$259.89k | 0.042% $2.6m | |
| Independent Director | 13.92yrs | US$259.89k | 0.044% $2.7m | |
| Independent Director | 3.92yrs | US$229.89k | 0.012% $725.2k | |
| Independent Director | 6.92yrs | US$229.89k | 0.032% $2.0m | |
| Independent Director | 2.67yrs | US$229.89k | 0.0089% $552.8k | |
| Non-Executive Chairman of the Board | 3.92yrs | US$459.97k | 0.053% $3.3m |
6.8yrs
Average Tenure
60.5yo
Average Age
Experienced Board: RNR's board of directors are considered experienced (6.8 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: RNR insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 8.5%.
Top Shareholders
Company Information
RenaissanceRe Holdings Ltd.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: RenaissanceRe Holdings Ltd.
- Ticker: RNR
- Exchange: NYSE
- Founded: 1993
- Industry: Reinsurance
- Sector: Insurance
- Market Cap: US$6.246b
- Shares outstanding: 44.11m
- Website: https://www.renre.com
Number of Employees
Location
- RenaissanceRe Holdings Ltd.
- Renaissance House
- 12 Crow Lane
- Pembroke
- HM 19
- Bermuda
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| RNR | NYSE (New York Stock Exchange) | Yes | Common Shares | US | USD | Jul 1995 |
| RRJ | DB (Deutsche Boerse AG) | Yes | Common Shares | DE | EUR | Jul 1995 |
| RNR.PRE | NYSE (New York Stock Exchange) | PREF SHS SER E | US | USD | May 2013 | |
| RNR.PRF | NYSE (New York Stock Exchange) | DPSHS RP PFD F | US | USD | Jun 2018 |
Biography
RenaissanceRe Holdings Ltd. provides reinsurance and insurance products in the United States and internationally. The company operates through Property, and Casualty and Specialty segments. The Property segment writes property catastrophe excess of loss reinsurance and excess of loss retrocessional reinsurance to insure insurance and reinsurance companies against natural and man-made catastrophes, including hurricanes, earthquakes, and other windstorms, as well as claims arising from other natural and man-made catastrophes comprising tsunamis, winter storms, freezes, floods, fires, tornadoes, explosions and acts of terrorism; and other property class of products, such as proportional reinsurance, property per risk, property reinsurance, and binding facilities and regional U.S. multi-line reinsurance. The Casualty and Specialty segment writes various classes of products, such as directors and officers, medical malpractice, and professional indemnity; automobile and employer’s liability, casualty clash, umbrella or excess casualty, workers’ compensation, and general liability; financial and mortgage guaranty, political risk, surety, and trade credit; and accident and health, agriculture, aviation, cyber, energy, marine, satellite, and terrorism. It distributes its products and services primarily through intermediaries. The company was founded in 1993 and is headquartered in Pembroke, Bermuda.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/04/04 01:47 |
| End of Day Share Price | 2020/04/03 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/12/31 |
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.