Safety Insurance Group provides private passenger automobile insurance in Massachusetts and New Hampshire. The company was founded in 1979 and is based in Boston, Massachusetts.
SAFT Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for SAFT, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Safety Insurance Group Inc ranked in the 42th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 8.83%. As for the metrics that stood out in our discounted cash flow analysis of Safety Insurance Group Inc, consider:
Interest coverage, a measure of earnings relative to interest payments, is 475; that's higher than 96.86% of US stocks in the Financial Services sector that have positive free cash flow.
The business' balance sheet suggests that 6% of the company's capital is sourced from debt; this is greater than only 15.73% of the free cash flow producing stocks we're observing.
SAFT's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 43.02% of tickers in our DCF set.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Financial Services that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as SAFT, try FRFHF, SPGI, MORN, ICE, and PRAA.
Safety Insurance Group Inc (NASDAQ:SAFT) was trading 2.5% higher from the previous closing price. Lindeberg Frederic H filed a Form 4 with the SEC on Wednesday, September 2. The insider bought 1,000 shares at an average price of $71.58. After the transaction, the executive's stake in Safety Insurance Group Inc. moved to 19,000 shares.Why Insider Transactions Are Important? While transactions from an insider shouldn't be used as the sole item to make an investment or trading decision, an insider buying or selling stock in their company can be a good added factor that leads to more conviction in a decision.Insiders buying stock after a notable sell off can indicate an insider's long-term belief in the success of the company; insiders buying stock at new highs can be an indicat...
Safety Insurance Group, Inc. (NASDAQ:SAFT) ("the Company") today reported second quarter 2020 results. Net income for the quarter ended June 30, 2020 was $42.5 million, or $2.78 per diluted share, compared to net income of $25.9 million, or $1.68 per diluted share, for the comparable 2019 period. Net income for the six months ended June 30, 2020 was $40.5 million, or $2.64 per diluted share, compared to net income of $55.9 million, or $3.63 per diluted share, for the comparable 2019 period. Non-generally accepted accounting principles ("non-GAAP") operating income, as defined below, for the quarter ended June 30, 2020 was $1.95 per diluted share, compared to $1.47 per diluted share, for the comparable 2019 period. Non-GAAP operating income for the six months ended Ju...
The latest 13F reporting period has come and gone, and Insider Monkey have plowed through 821 13F filings that hedge funds and well-known value investors are required to file by the SEC. The 13F filings show the funds' and investors' portfolio positions as of March 31st, a week after the market trough. Now, we are […]