Hamilton Insurance Group, Ltd.
Hamilton Insurance Group, Ltd. Fundamental Analysis
Hamilton Insurance Group, Ltd. (HG) shows strong financial fundamentals with a PE ratio of 5.41, profit margin of 19.57%, and ROE of 22.09%. The company generates $2.9B in annual revenue with strong year-over-year growth of 48.30%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 87.0/100 based on profitability, valuation, growth, and balance sheet metrics. The B+ grade reflects solid fundamentals with room for improvement in valuation or growth.
Fundamental Health Score
We analyze HG's fundamental strength across five key dimensions:
Efficiency Score
WeakHG struggles to generate sufficient returns from assets.
Valuation Score
ExcellentHG trades at attractive valuation levels.
Growth Score
ExcellentHG delivers strong and consistent growth momentum.
Financial Health Score
ModerateHG shows balanced financial health with some risks.
Profitability Score
ExcellentHG achieves industry-leading margins.
Key Financial Metrics
Is HG Expensive or Cheap?
P/E Ratio
HG trades at 5.41 times earnings. This suggests potential undervaluation.
PEG Ratio
When adjusting for growth, HG's PEG of 0.17 indicates potential undervaluation.
Price to Book
The market values Hamilton Insurance Group, Ltd. at 1.10 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 3.25 times EBITDA. This is generally considered low.
How Well Does HG Make Money?
Net Profit Margin
For every $100 in sales, Hamilton Insurance Group, Ltd. keeps $19.57 as profit after all expenses.
Operating Margin
Core operations generate 43.67 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $22.09 in profit for every $100 of shareholder equity.
ROA
Hamilton Insurance Group, Ltd. generates $6.02 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Hamilton Insurance Group, Ltd. generates strong operating cash flow of $829.97M, reflecting robust business health.
Free Cash Flow
Hamilton Insurance Group, Ltd. generates strong free cash flow of $829.97M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $8.21 in free cash annually.
FCF Yield
HG converts 27.11% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
5.41
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
0.17
vs 25 benchmark
P/B Ratio
Price to book value ratio
1.10
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.05
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.00
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.00
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.22
vs 25 benchmark
ROA
Return on assets percentage
0.06
vs 25 benchmark
ROCE
Return on capital employed
0.13
vs 25 benchmark
How HG Stacks Against Its Sector Peers
| Metric | HG Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 5.41 | 18.86 | Better (Cheaper) |
| ROE | 22.09% | 847.00% | Weak |
| Net Margin | 19.57% | 4202.00% | Weak |
| Debt/Equity | 0.00 | 0.91 | Strong (Low Leverage) |
| Current Ratio | 0.00 | 667.17 | Weak Liquidity |
| ROA | 6.02% | -21543.00% (disorted) | Weak |
HG outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Hamilton Insurance Group, Ltd.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
217.26%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
278.85%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
26431.85%
Industry Style: Value, Dividend, Cyclical
High Growth