Kinsale Capital Group, Inc.
Kinsale Capital Group, Inc. Fundamental Analysis
Kinsale Capital Group, Inc. (KNSL) shows strong financial fundamentals with a PE ratio of 16.61, profit margin of 26.87%, and ROE of 28.25%. The company generates $1.9B in annual revenue with strong year-over-year growth of 29.65%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 90.6/100 based on profitability, valuation, growth, and balance sheet metrics. The A grade reflects excellent fundamentals and strong overall stability.
Fundamental Health Score
We analyze KNSL's fundamental strength across five key dimensions:
Efficiency Score
WeakKNSL struggles to generate sufficient returns from assets.
Valuation Score
ModerateKNSL shows balanced valuation metrics.
Growth Score
ExcellentKNSL delivers strong and consistent growth momentum.
Financial Health Score
ModerateKNSL shows balanced financial health with some risks.
Profitability Score
ExcellentKNSL achieves industry-leading margins.
Key Financial Metrics
Is KNSL Expensive or Cheap?
P/E Ratio
KNSL trades at 16.61 times earnings. This indicates a fair valuation.
PEG Ratio
When adjusting for growth, KNSL's PEG of 2.62 indicates potential overvaluation.
Price to Book
The market values Kinsale Capital Group, Inc. at 4.27 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 12.88 times EBITDA. This signals the market has high growth expectations.
How Well Does KNSL Make Money?
Net Profit Margin
For every $100 in sales, Kinsale Capital Group, Inc. keeps $26.87 as profit after all expenses.
Operating Margin
Core operations generate 33.85 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $28.25 in profit for every $100 of shareholder equity.
ROA
Kinsale Capital Group, Inc. generates $8.89 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Kinsale Capital Group, Inc. generates strong operating cash flow of $1.05B, reflecting robust business health.
Free Cash Flow
Kinsale Capital Group, Inc. generates strong free cash flow of $998.96M, providing ample flexibility for dividends, buybacks, or growth.
FCF Per Share
Each share generates $42.94 in free cash annually.
FCF Yield
KNSL converts 11.79% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
16.61
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
2.62
vs 25 benchmark
P/B Ratio
Price to book value ratio
4.27
vs 25 benchmark
P/S Ratio
Price to sales ratio
4.50
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.11
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.35
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.28
vs 25 benchmark
ROA
Return on assets percentage
0.09
vs 25 benchmark
ROCE
Return on capital employed
0.13
vs 25 benchmark
How KNSL Stacks Against Its Sector Peers
| Metric | KNSL Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 16.61 | 18.89 | Better (Cheaper) |
| ROE | 28.25% | 818.00% | Weak |
| Net Margin | 26.87% | 2473.00% | Weak |
| Debt/Equity | 0.11 | 0.94 | Strong (Low Leverage) |
| Current Ratio | 0.35 | 692.63 | Weak Liquidity |
| ROA | 8.89% | -24053.00% (disorted) | Weak |
KNSL outperforms its industry in 2 out of 6 key metrics, but lagging in ROE.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Kinsale Capital Group, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
367.29%
Industry Style: Value, Dividend, Cyclical
High GrowthEPS CAGR
509.21%
Industry Style: Value, Dividend, Cyclical
High GrowthFCF CAGR
408.97%
Industry Style: Value, Dividend, Cyclical
High Growth