NYSE:RNR

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RenaissanceRe Holdings

Market Cap

US$7.2b

Last Updated

2021/08/05 22:51 UTC

Data Sources

Company Financials +

Executive Summary

RenaissanceRe Holdings Ltd. provides reinsurance and insurance products in the United States and internationally. More Details


Snowflake Analysis

Flawless balance sheet average dividend payer.


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 is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.

Volatility Over Time: RNR's weekly volatility (3%) has been stable over the past year.


Market Performance


7 Day Return

0.2%

RNR

0.6%

US Insurance

0.02%

US Market


1 Year Return

-16.9%

RNR

29.7%

US Insurance

33.2%

US Market

Return vs Industry: RNR underperformed the US Insurance industry which returned 29.7% over the past year.

Return vs Market: RNR underperformed the US Market which returned 33.2% over the past year.


Shareholder returns

RNRIndustryMarket
7 Day0.2%0.6%0.02%
30 Day3.4%-1.3%-0.1%
90 Day-7.0%-5.0%4.1%
1 Year-16.2%-16.9%32.9%29.7%35.3%33.2%
3 Year23.0%19.8%34.3%24.3%61.4%51.3%
5 Year36.6%30.6%75.1%53.4%122.2%97.7%

Long-Term 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

Valuation

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

42.9%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: RNR ($153.27) is trading below our estimate of fair value ($268.27)

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


Price To Earnings Ratio

PE vs Industry: RNR is poor value based on its PE Ratio (19x) compared to the US Insurance industry average (10x).

PE vs Market: RNR is poor value based on its PE Ratio (19x) compared to the US market (17.8x).


Price to Earnings Growth Ratio

PEG Ratio: RNR is good value based on its PEG Ratio (0.5x)


Price to Book Ratio

PB vs Industry: RNR's PB Ratio (1.1x) is in line with the US Insurance industry average.


Future Growth

How is RenaissanceRe Holdings forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?

40.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: RNR's forecast earnings growth (40% per year) is above the savings rate (2%).

Earnings vs Market: RNR's earnings (40% per year) are forecast to grow faster than the US market (14.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: RNR's revenue (8.4% per year) is forecast to grow slower than the US market (9.1% per year).

High Growth Revenue: RNR's revenue (8.4% 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 (11.9%).


Past Performance

How has RenaissanceRe Holdings performed over the past 5 years?

16.8%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: RNR has high quality earnings.

Growing Profit Margin: RNR's current net profit margins (7.9%) are lower than last year (12%).


Past Earnings Growth Analysis

Earnings Trend: RNR's earnings have grown by 16.8% per year over the past 5 years.

Accelerating Growth: RNR's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: RNR had negative earnings growth (-28.4%) over the past year, making it difficult to compare to the Insurance industry average (72.8%).


Return on Equity

High ROE: RNR's Return on Equity (4.7%) is considered low.


Financial Health

How is RenaissanceRe Holdings's financial position?


Financial Position Analysis

Short Term Liabilities: RNR's short term assets ($29.7B) exceed its short term liabilities ($20.5B).

Long Term Liabilities: RNR's short term assets ($29.7B) exceed its long term liabilities ($1.3B).


Debt to Equity History and Analysis

Debt Level: RNR's debt to equity ratio (10%) is considered satisfactory.

Reducing Debt: RNR's debt to equity ratio has reduced from 16.4% to 10% over the past 5 years.

Debt Coverage: RNR's debt is well covered by operating cash flow (135.5%).

Interest Coverage: RNR's interest payments on its debt are well covered by EBIT (10.9x coverage).


Balance Sheet


Dividend

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

0.94%

Current Dividend Yield


Upcoming Dividend Payment

TodayAug 06 2021Ex Dividend DateSep 14 2021Dividend Pay DateSep 30 202116 days from Ex DividendBuy in the next 39 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: RNR's dividend (0.94%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.32%).

High Dividend: RNR's dividend (0.94%) is low compared to the top 25% of dividend payers in the US market (3.57%).


Stability and Growth of Payments

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

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


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (17.6%), RNR's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: RNR's dividends in 3 years are forecast to be thoroughly covered by earnings (7.9% payout ratio).


Next Steps

Management

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

4.5yrs

Average management tenure


CEO

Kevin O'Donnell (54 yo)

8.08yrs

Tenure

US$9,556,635

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 ($USD9.56M) is above average for companies of similar size in the US market ($USD6.51M).

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


Leadership Team

Experienced Management: RNR's management team is considered experienced (4.5 years average tenure).


Board Members

Experienced Board: RNR's board of directors are considered experienced (8.1 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

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$7.220b
  • Shares outstanding: 47.11m
  • Website: https://www.renre.com

Number of Employees


Location

  • RenaissanceRe Holdings Ltd.
  • Renaissance House
  • 12 Crow Lane
  • Pembroke
  • HM 19
  • Bermuda

Listings


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 se...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/08/05 22:51
End of Day Share Price2021/08/05 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


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.