Stewart Information Services Corporation

NYSE:STC Stock Report

Market Cap: US$1.9b

Stewart Information Services Valuation

Is STC undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

0/6

Valuation Score 0/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of STC when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
US$50.84
Fair Value
32.3% overvalued intrinsic discount
2
Number of Analysts

Below Fair Value: STC ($67.24) is trading above our estimate of fair value ($50.84)

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

Key Valuation Metric

Which metric is best to use when looking at relative valuation for STC?

Key metric: As STC is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for STC. This is calculated by dividing STC's market cap by their current earnings.
What is STC's PE Ratio?
PE Ratio25.5x
EarningsUS$73.31m
Market CapUS$1.90b

Price to Earnings Ratio vs Peers

How does STC's PE Ratio compare to its peers?

The above table shows the PE ratio for STC vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average18.1x
FIHL Fidelis Insurance Holdings
4x2.5%US$1.9b
BOW Bowhead Specialty Holdings
37x36.8%US$1.1b
SAFT Safety Insurance Group
15.5xn/aUS$1.2b
AMSF AMERISAFE
15.6x-21.9%US$970.5m
STC Stewart Information Services
25.5x30.2%US$1.9b

Price-To-Earnings vs Peers: STC is expensive based on its Price-To-Earnings Ratio (25.5x) compared to the peer average (18.1x).

Price to Earnings Ratio vs Industry

How does STC's PE Ratio compare vs other companies in the US Insurance Industry?

5 CompaniesPrice / EarningsEstimated GrowthMarket Cap
LNC Lincoln National
2x-33.9%US$6.09b
UTGN UTG
2.1xn/aUS$93.89m
AIFU AIX
1.1xn/aUS$21.51m
AORE.F American Overseas Group
2.3xn/aUS$15.74m
STC 25.5xIndustry Avg. 12.3xNo. of Companies22PE01020304050+
5 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: STC is expensive based on its Price-To-Earnings Ratio (25.5x) compared to the US Insurance industry average (12.5x).

Price to Earnings Ratio vs Fair Ratio

What is STC's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

STC PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio25.5x
Fair PE Ratio22.1x

Price-To-Earnings vs Fair Ratio: STC is expensive based on its Price-To-Earnings Ratio (25.5x) compared to the estimated Fair Price-To-Earnings Ratio (22.1x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst STC forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$67.24
US$79.00
+17.5%
5.1%US$83.00US$75.00n/a2
Feb ’26US$65.19
US$78.00
+19.7%
5.1%US$82.00US$74.00n/a2
Jan ’26US$67.49
US$83.00
+23.0%
1.2%US$84.00US$82.00n/a2
Dec ’25US$75.09
US$80.50
+7.2%
1.9%US$82.00US$79.00n/a2
Nov ’25US$67.35
US$80.50
+19.5%
1.9%US$82.00US$79.00n/a2
Oct ’25US$72.75
US$78.33
+7.7%
2.6%US$81.00US$76.00n/a3
Sep ’25US$73.91
US$76.00
+2.8%
5.4%US$81.00US$71.00n/a3
Aug ’25US$68.79
US$76.00
+10.5%
5.4%US$81.00US$71.00n/a3
Jul ’25US$62.24
US$70.00
+12.5%
10.5%US$79.00US$61.00n/a3
Jun ’25US$63.31
US$71.00
+12.1%
8.7%US$79.00US$64.00n/a3
May ’25US$61.70
US$71.00
+15.1%
8.7%US$79.00US$64.00n/a3
Apr ’25US$64.03
US$68.33
+6.7%
10.3%US$76.00US$59.00n/a3
Mar ’25US$63.23
US$67.67
+7.0%
11.7%US$76.00US$57.00n/a3
Feb ’25US$62.34
US$67.33
+8.0%
12.4%US$76.00US$56.00US$65.193
Jan ’25US$58.75
US$61.00
+3.8%
10.5%US$70.00US$56.00US$67.493
Dec ’24US$47.93
US$51.50
+7.4%
10.7%US$57.00US$46.00US$75.092
Nov ’24US$44.78
US$51.50
+15.0%
10.7%US$57.00US$46.00US$67.352
Oct ’24US$43.80
US$49.00
+11.9%
10.2%US$54.00US$44.00US$72.752
Sep ’24US$47.82
US$51.00
+6.6%
5.9%US$54.00US$48.00US$73.912
Aug ’24US$47.29
US$51.00
+7.8%
5.9%US$54.00US$48.00US$68.792
Jul ’24US$41.14
US$49.50
+20.3%
9.1%US$54.00US$45.00US$62.242
Jun ’24US$44.63
US$51.00
+14.3%
5.9%US$54.00US$48.00US$63.312
May ’24US$41.57
US$51.00
+22.7%
5.9%US$54.00US$48.00US$61.702
Apr ’24US$40.35
US$55.50
+37.5%
4.5%US$58.00US$53.00US$64.032
Mar ’24US$42.49
US$55.50
+30.6%
4.5%US$58.00US$53.00US$63.232
Feb ’24US$49.61
US$56.00
+12.9%
3.6%US$58.00US$54.00US$62.342
Analyst Price Target
Consensus Narrative from 2 Analysts
US$79.00
Fair Value
14.9% undervalued intrinsic discount
2
Number of Analysts

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/02/07 14:33
End of Day Share Price 2025/02/07 00:00
Earnings2024/12/31
Annual Earnings2024/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* Example for US securities, for non-US equivalent regulatory forms and sources are used.

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.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.

Analyst Sources

Stewart Information Services Corporation is covered by 6 analysts. 2 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Patrick KealeyFBR Capital Markets & Co.
Ryan ByrnesJanney Montgomery Scott LLC
Bose GeorgeKeefe, Bruyette, & Woods