Stewart Information Services
Market Cap
US$1.6b
Last Updated
2021/04/12 22:15 UTC
Data Sources
Company Financials +
Executive Summary
Stewart Information Services Corporation, through its subsidiaries, provides title insurance and real estate transaction services. More Details
Rewards
Risk Analysis
Earnings are forecast to decline by an average of 2.3% per year for the next 3 years
Snowflake Analysis
Excellent balance sheet with solid track record and pays a dividend.
Similar Companies
Share Price & News
How has Stewart Information Services's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: STC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 5% a week.
Volatility Over Time: STC's weekly volatility (5%) has been stable over the past year.
Market Performance
7 Day Return
6.3%
STC
1.3%
US Insurance
2.1%
US Market
1 Year Return
99.7%
STC
36.1%
US Insurance
56.3%
US Market
Return vs Industry: STC exceeded the US Insurance industry which returned 36.1% over the past year.
Return vs Market: STC exceeded the US Market which returned 56.3% over the past year.
Shareholder returns
| STC | Industry | Market | |
|---|---|---|---|
| 7 Day | 6.3% | 1.3% | 2.1% |
| 30 Day | 5.6% | 0.9% | 2.4% |
| 90 Day | 8.9% | 10.7% | 6.8% |
| 1 Year | 105.5%99.7% | 39.7%36.1% | 59.1%56.3% |
| 3 Year | 44.9%32.4% | 32.5%22.6% | 65.7%55.1% |
| 5 Year | 93.1%66.6% | 77.3%55.2% | 122.3%97.7% |
Long-Term Price Volatility Vs. Market
How volatile is Stewart Information Services's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 weeks ago | Simply Wall St
Here's Why We Think Stewart Information Services (NYSE:STC) Is Well Worth Watching1 month ago | Simply Wall St
Stewart Information Services (NYSE:STC) Could Be A Buy For Its Upcoming DividendValuation
Is Stewart Information Services undervalued compared to its fair value and its price relative to the market?
9.16x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: STC ($58.3) is trading above our estimate of fair value ($43.95)
Significantly Below Fair Value: STC is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: STC is good value based on its PE Ratio (9.3x) compared to the US Insurance industry average (14.4x).
PE vs Market: STC is good value based on its PE Ratio (9.3x) compared to the US market (22.3x).
Price to Earnings Growth Ratio
PEG Ratio: STC's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: STC is overvalued based on its PB Ratio (1.6x) compared to the US Insurance industry average (1.1x).
Future Growth
How is Stewart Information Services forecast to perform in the next 1 to 3 years based on estimates from 2 analysts?
-2.3%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: STC's earnings are forecast to decline over the next 3 years (-2.3% per year).
Earnings vs Market: STC's earnings are forecast to decline over the next 3 years (-2.3% per year).
High Growth Earnings: STC's earnings are forecast to decline over the next 3 years.
Revenue vs Market: STC's revenue (1.1% per year) is forecast to grow slower than the US market (9.9% per year).
High Growth Revenue: STC's revenue (1.1% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: STC's Return on Equity is forecast to be low in 3 years time (12%).
Past Performance
How has Stewart Information Services performed over the past 5 years?
37.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: STC has high quality earnings.
Growing Profit Margin: STC's current net profit margins (6.8%) are higher than last year (4.1%).
Past Earnings Growth Analysis
Earnings Trend: STC has become profitable over the past 5 years, growing earnings by 37.5% per year.
Accelerating Growth: STC's earnings growth over the past year (96.7%) exceeds its 5-year average (37.5% per year).
Earnings vs Industry: STC earnings growth over the past year (96.7%) exceeded the Insurance industry -9.8%.
Return on Equity
High ROE: STC's Return on Equity (16.8%) is considered low.
Financial Health
How is Stewart Information Services's financial position?
Financial Position Analysis
Short Term Liabilities: STC's short term assets ($539.6M) exceed its short term liabilities ($264.6M).
Long Term Liabilities: STC's short term assets ($539.6M) do not cover its long term liabilities ($701.6M).
Debt to Equity History and Analysis
Debt Level: STC's debt to equity ratio (9.9%) is considered satisfactory.
Reducing Debt: STC's debt to equity ratio has reduced from 15.5% to 9.9% over the past 5 years.
Debt Coverage: STC's debt is well covered by operating cash flow (276.2%).
Interest Coverage: STC's interest payments on its debt are well covered by EBIT (85.3x coverage).
Balance Sheet
Dividend
What is Stewart Information Services's current dividend yield, its reliability and sustainability?
2.31%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: STC's dividend (2.26%) is higher than the bottom 25% of dividend payers in the US market (1.26%).
High Dividend: STC's dividend (2.26%) is low compared to the top 25% of dividend payers in the US market (3.5%).
Stability and Growth of Payments
Stable Dividend: STC's dividends per share have been stable in the past 10 years.
Growing Dividend: STC's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (19.2%), STC's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: STC's dividends in 3 years are forecast to be well covered by earnings (21.4% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
5.3yrs
Average management tenure
CEO
Fred Eppinger (61 yo)
1.58yrs
Tenure
US$2,282,696
Compensation
Mr. Frederick Henry Eppinger, Jr., also known as Fred, is Chief Executive Officer at Stewart Information Services Corporation since September 10, 2019 and serves as its President since September 2019. Mr. ...
CEO Compensation Analysis
Compensation vs Market: Fred's total compensation ($USD2.28M) is below average for companies of similar size in the US market ($USD3.67M).
Compensation vs Earnings: Fred's compensation has increased by more than 20% in the past year.
Leadership Team
Experienced Management: STC's management team is considered experienced (4.5 years average tenure).
Board Members
Experienced Board: STC's board of directors are considered experienced (4.3 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.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 13%.
Top Shareholders
Company Information
Stewart Information Services Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Stewart Information Services Corporation
- Ticker: STC
- Exchange: NYSE
- Founded: 1893
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: US$1.560b
- Shares outstanding: 26.75m
- Website: https://www.stewart.com
Number of Employees
Location
- Stewart Information Services Corporation
- 1360 Post Oak Boulevard
- Suite 100
- Houston
- Texas
- 77056
- United States
Listings
Biography
Stewart Information Services Corporation, through its subsidiaries, provides title insurance and real estate transaction services. The company operates in two segments, Title Insurance and Related Services...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/04/12 22:15 |
| End of Day Share Price | 2021/04/12 00:00 |
| Earnings | 2020/12/31 |
| Annual Earnings | 2020/12/31 |
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.