Everest Group 🗻 - currently heavily undervalued?
Everest Group is a reinsurer underwriting insurance in the USA, Bermuda and more than 100 countries on six continents. Its headquarters are in Bermuda.
In my opinion, Everest Group is currently an opportunity to add an undervalued, dividend-stable insurer with strong growth potential to your portfolio.
With a P/E ratio of 5.67, Everest Group is one of the cheapest companies in the S & P 500. One reason for the low valuation could be the increased risk of climate catastrophes and the associated skepticism among investors.
However, Everest Group is countering this skepticism with strong financial figures.
The company's net premiums are expected to increase by 12% in 2024 (double the 2019 figure).
Everest has also recorded sales growth of 17.64% compared to the previous year.
It also impresses with a return on equity of almost 20% on capital employed.
Another major strength is the return on the investment portfolio. With a portfolio of USD 37.5 billion and an average return of 4.8%, the investment business makes a significant contribution to the overall result.
Another growth driver is the expansion into countries such as Mexico, Australia and Colombia.
Everest Group offers a dividend yield of 1.95% and pays dividends in March, June, September and December.
What do you think of the company and the sector?
