Markel's first-quarter results showed the company making progress in addressing its underwriting issues and benefiting from a favorable capital markets environment. We will maintain our $1,430 fair value estimate for the no-moat company and see shares as about fairly valued.
Markel's focus on specialty lines creates the potential for a moat.
Markel's relatively large exposure to equities makes the company much more vulnerable than peers to a bear market.
|
Metric
|
MKL
|
FFH
|
WRB
|
|---|---|---|---|
Price/Earnings (Normalized) | 25.29 | 8.32 | 14.28 |
Price/Book Value | 1.36 | 1.29 | 2.59 |
Price/Sales | 1.27 | 1.09 | 1.71 |
Price/Cash Flow | 6.71 | — | 14.86 |
|
Metric
|
MKL
|
FFH
|
WRB
|
|---|---|---|---|
Quick Ratio | — | — | — |
Current Ratio | — | — | — |
Interest Coverage | 19.35 | 10.67 | 14.76 |
|
Metric
|
MKL
|
FFH
|
WRB
|
|---|---|---|---|
Return on Assets (Normalized) | 4.87% | 4.66% | 4.13% |
Return on Equity (Normalized) | 18.75% | 20.44% | 20.74% |
Return on Invested Capital (Normalized) | 14.58% | 12.68% | 15.82% |
|
Ticker
|
Name
|
Morningstar Rating for Stocks
|
Capital Allocation
|
Economic Moat
|
Market Cap
|
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