Direct Line Insurance Group
Market Cap
US$5.1b
Last Updated
2019/10/21 00:18 UTC
Data Sources
Company Financials +
Executive Summary
Direct Line Insurance Group plc provides general insurance products and services in the United Kingdom.
Snowflake
Fundamentals
Solid track record and fair value.
Similar Companies
Share Price & News
How has Direct Line Insurance Group's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
7.8%
DIIS.F
0.1%
US Insurance
0.5%
US Market
1 Year Return
n/a
DIIS.F
13.8%
US Insurance
6.8%
US Market
Return vs Industry: Insufficient data to determine how DIIS.F performed against the US Insurance industry.
Return vs Market: Insufficient data to determine how DIIS.F performed against the US Market.
Shareholder returns
| DIIS.F | Industry | Market | |
|---|---|---|---|
| 7 Day | 7.8% | 0.1% | 0.5% |
| 30 Day | 4.5% | -1.8% | -0.8% |
| 90 Day | n/a | -1.6% | -0.9% |
| 1 Year | n/a | 16.6%13.8% | 9.2%6.8% |
| 3 Year | -13.3%-13.3% | 44.6%33.5% | 45.6%36.2% |
| 5 Year | n/a | 69.6%49.4% | 63.2%45.4% |
Price Volatility Vs. Market
How volatile is Direct Line Insurance Group's share price compared to the market and industry in the last 5 years?
Simply Wall St News
No news available
Valuation
Is Direct Line Insurance Group undervalued compared to its fair value and its price relative to the market?
31.8%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: DIIS.F ($3.68) is trading below our estimate of fair value ($5.41)
Significantly Below Fair Value: DIIS.F is trading below fair value, but not by a significant amount.
Price To Earnings Ratio
PE vs Industry: DIIS.F is good value based on its PE Ratio (9.2x) compared to the Insurance industry average (15.6x).
PE vs Market: DIIS.F is good value based on its PE Ratio (9.2x) compared to the US market (17.7x).
Price to Earnings Growth Ratio
PEG Ratio: DIIS.F is poor value based on its PEG Ratio (14.8x)
Price to Book Ratio
PB vs Industry: DIIS.F is overvalued based on its PB Ratio (1.4x) compared to the US Insurance industry average (1.2x).
Next Steps
Future Growth
How is Direct Line Insurance Group forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?
0.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DIIS.F's forecast earnings growth (0.6% per year) is below the savings rate (2.7%).
Earnings vs Market: DIIS.F's earnings (0.6% per year) are forecast to grow slower than the US market (14.6% per year).
High Growth Earnings: DIIS.F's earnings are forecast to grow, but not significantly.
Revenue vs Market: DIIS.F's revenue (1.7% per year) is forecast to grow slower than the US market (7.2% per year).
High Growth Revenue: DIIS.F's revenue (1.7% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: DIIS.F's Return on Equity is forecast to be low in 3 years time (17%).
Next Steps
Past Performance
How has Direct Line Insurance Group performed over the past 5 years?
3.6%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Earnings Trend: DIIS.F's earnings have grown by 3.6% per year over the past 5 years.
Accelerating Growth: DIIS.F's earnings growth over the past year (11%) exceeds its 5-year average (3.6% per year).
Earnings vs Industry: DIIS.F earnings growth over the past year (11%) exceeded the Insurance industry 1.4%.
Return on Equity
High ROE: DIIS.F's Return on Equity (15.6%) is considered low.
Return on Assets
ROA vs Industry: DIIS.F has a higher Return on Assets than the Insurance industry average last year.
Return on Capital Employed
ROCE Improving: DIIS.F has improved its Return on Capital Employed over the past 3 years.
Next Steps
Financial Health
How is Direct Line Insurance Group'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: DIIS.F has a low level of unsold assets or inventory.
Debt Coverage by Assets: DIIS.F's debt is covered by short term assets (assets are 10.508510x debt).
Financial Institutions Analysis
Asset Level: DIIS.F's level of assets compared to its equity is low.
Allowance for Bad Loans: Insufficient data to determine if DIIS.F has a sufficient allowance for bad loans.
Low Risk Liabilities: DIIS.F reports no customer deposits, loans are made up entirely of externally borrowed funds.
Loan Level: Insufficient data to determine if DIIS.F has an acceptable proportion of non-loan assets held.
Low Risk Deposits: DIIS.F has advanced significantly more loans than the customer deposits it holds.
Level of Bad Loans: Insufficient data to determine if DIIS.F has an appropriate level of bad loans.
Next Steps
Dividend
What is Direct Line Insurance Group's current dividend yield, its reliability and sustainability?
10.10%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Stability and Growth of Payments
Notable Dividend: DIIS.F's dividend (10.1%) is higher than the bottom 25% of dividend payers in the US market (1.45%).
High Dividend: DIIS.F's dividend (10.1%) is in the top 25% of dividend payers in the US market (3.73%)
Stable Dividend: DIIS.F has been paying a dividend for less than 10 years and during this time payments have been volatile.
Growing Dividend: DIIS.F's dividend payments have increased, but the company has only paid a dividend for 7 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonable payout ratio (67.2%), DIIS.F's dividend payments are covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: DIIS.F's dividends in 3 years are not forecast to be well covered by earnings (93% payout ratio).
Next Steps
Management
What is the CEO of Direct Line Insurance Group's salary, the management and board of directors tenure and is there insider trading?
5.1yrs
Average management tenure
CEO
Penny James (50yo)
0.4yrs
Tenure
UK£3,920,000
Compensation
Mrs. Penelope Jane James, also known as Penny, ACA, has been the Chief Executive Officer at Direct Line Insurance Group Plc since May 09, 2019 and as its Executive Director since November 1, 2017. She also ...
CEO Compensation Analysis
Compensation vs. Market: Penny has recently become CEO, making it difficult to compare their total compensation against companies of similar size in the US market.
Compensation vs Earnings: Penny's compensation has increased by more than 20% in the past year.
Management Age and Tenure
5.1yrs
Average Tenure
Experienced Management: DIIS.F's management team is seasoned and experienced (5.1 years average tenure).
Board Age and Tenure
2.7yrs
Average Tenure
56yo
Average Age
Experienced Board: DIIS.F's board of directors are not considered experienced ( 2.7 years average tenure), which suggests a new board.
Insider Trading
Insider Buying: DIIS.F insiders have sold more shares than they have bought in the past 3 months.
Recent Insider Transactions
| Entity | Individual |
| Role | Senior Key Executive Managing Director of Commercial |
| Shares | 31,707 |
| Max Price | UK£3.87 |
| Entity | Individual |
| Role | Senior Key Executive Managing Director of Commercial |
| Shares | 31,824 |
| Max Price | UK£3.88 |
| Entity | Individual |
| Shares | 239,883 |
| Max Price | UK£4.63 |
| Entity | Individual |
| Shares | 22,000 |
| Max Price | UK£4.65 |
Ownership Breakdown
Management Team
Penny James (50yo)
CEO & Executive Director
- Tenure: 0.4yrs
- Compensation: UK£3.92m
Andy Broadfield
Director of Investor Relations & Capital
- Tenure: 0yrs
Steve Maddock
Chief Operating Officer
- Tenure: 3.3yrs
Simon Linares
Group Human Resources Director
- Tenure: 5.1yrs
Jon Greenwood (51yo)
Managing Director of Commercial
- Tenure: 10.8yrs
Humphrey Tomlinson
General Counsel
- Tenure: 8.8yrs
José Vazquez
Chief Risk Officer
- Tenure: 7.6yrs
Jennifer Thomas
Head of Financial Communications
- Tenure: 0yrs
Lisa Tremble
Head of External Affairs
- Tenure: 0yrs
Mark Evans
Managing Director of Marketing & Digital
- Tenure: 0.3yrs
Board Members
Sebastian James (53yo)
Independent Non-Executive Director
- Tenure: 5.2yrs
- Compensation: UK£95.00k
Danuta Gray (61yo)
Independent Non-Executive Director
- Tenure: 2.7yrs
- Compensation: UK£107.00k
Mike Biggs (67yo)
Chairman of the Board
- Tenure: 7.5yrs
- Compensation: UK£406.00k
Richard Ward (62yo)
Senior Independent Non-Executive Director
- Tenure: 3.8yrs
- Compensation: UK£120.40k
Fiona McBain (58yo)
Independent Non-Executive Director
- Tenure: 1.1yrs
- Compensation: UK£27.00k
Penny James (50yo)
CEO & Executive Director
- Tenure: 0.4yrs
- Compensation: UK£3.92m
Mark Gregory (56yo)
Independent Non-Executive Director
- Tenure: 1.6yrs
- Compensation: UK£75.00k
Jane Hanson (52yo)
Independent Non-Executive Director
- Tenure: 7.8yrs
- Compensation: UK£130.00k
Gregor Stewart (55yo)
Independent Non-Executive Director
- Tenure: 1.6yrs
- Compensation: UK£92.00k
Company Information
Direct Line Insurance Group plc's company bio, employee growth, exchange listings and data sources
Key Information
- Name: Direct Line Insurance Group plc
- Ticker: DIIS.F
- Exchange: OTCPK
- Founded: 1985
- Industry: Property and Casualty Insurance
- Sector: Insurance
- Market Cap: UK£3.965b
- Listing Market Cap: UK£5.104b
- Shares outstanding: 1.37b
- Website: https://www.directlinegroup.co.uk
Number of Employees
Location
- Direct Line Insurance Group plc
- Churchill Court
- Westmoreland Road
- Bromley
- Greater London
- BR1 1DP
- United Kingdom
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| DLG | LSE (London Stock Exchange) | Yes | Ordinary Shares | GB | GBP | Oct 2012 |
| DLGL | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Ordinary Shares | GB | GBP | Oct 2012 |
| DIIS.F | OTCPK (Pink Sheets LLC) | Yes | Ordinary Shares | US | USD | Oct 2012 |
| D1LN | DB (Deutsche Boerse AG) | Yes | Ordinary Shares | DE | EUR | Oct 2012 |
| DIIS.Y | OTCPK (Pink Sheets LLC) | ADR NEW | US | USD | Dec 2012 |
Biography
Direct Line Insurance Group plc provides general insurance products and services in the United Kingdom. It operates through Motor, Home, Rescue and Other Personal Lines, and Commercial segments. The compan ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/10/21 00:18 |
| End of Day Share Price | 2019/10/15 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
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.