XL  Xl Capital Limited

Exchange

NYSE

Sector

Finance

Industry

Property-Casualty Insurers

Market Cap.

11.50B

Current Price

$44.00
+0.38 (+0.87%)

Book Price

$28.77
Overvalued by 34.62%
Financial Institution

Company Metrics

  • P/E 21.15
  • P/S 1.05
  • P/B 1.05
  • EPS 2.08
  • Dividend 0.88 / 2.03 %
  • Avg. Vol. 1.53M
  • Shares 261.36M
  • Market Cap. 11.50B

Company Description

XL Group plc, through its subsidiaries, provides insurance and reinsurance coverages to industrial, commercial, and professional firms, insurance companies, and other enterprises worldwide. The company operates in three segments: Insurance, Reinsurance, and Life Operations. The Insurance segment offers property, casualty, professional liability, environmental liability, aviation and satellite, mar... more


Download 10 Years of Financial Statements:
Income Statement   Balance Sheet   Cash Flow

News

XL Group Ltd Announces Pricing of EUR Subordinated Notes
PR Newswire (press release) - Jun 22, 2017
HAMILTON, Bermuda, June 22, 2017 /PRNewswire/ -- XL Group Ltd (NYSE: XL) (the "Company") announced today that its wholly-owned subsidiary, XLIT Ltd.
With Shares Trading down at $43.27 (XL) XL Group Ltd Announces Pricing of EUR… - Highlight Press
(XL) Shares now down at $43.27 XL Group Ltd Announces Pricing of EUR… - Finance Daily
XL Group Ltd. (XL) Ex-Dividend Date Scheduled for June 13, 2017
Nasdaq - Jun 12, 2017
XL Group Ltd. ( XL ) will begin trading ex-dividend on June 13, 2017. A cash dividend payment of $0.22 per share is scheduled to be paid on June 30, 2017.
BRIEF-Xl Group reports tender offers for up to $550 mln
Reuters - Jun 7, 2017
Xl Group Ltd announces tender offers for up to $550 million aggregate maximum repurchase amount of certain outstanding securities of Xlit Ltd.
XL Group's XL Catlin to Enhance Inland Marine Operations
Nasdaq - Jun 26, 2017
XL Group Ltd 's XL global brand XL Catlin has made some substantial efforts to diversify its inland marine insurance capabilities over a considerable period of time.
Analysts See $0.96 EPS for XL Group Ltd. (XL)
WeeklyHub - 6 hours ago
Investors sentiment increased to 0.6 in Q4 2016. Its up 0.58, from 0.02 in 2016Q3. It improved, as 5 investors sold XL Group Ltd. shares while 0 reduced holdings. 2 funds opened positions while 1 raised stakes. 43,549 shares or 97.28% less from 1.60 ...
Tudor Investment Corp ET AL Takes Position in XL Group Ltd. (XL) - BNB Daily (blog)
XL Catlin Promotes Excess & Surplus Property Insurance
PR Newswire (press release) - Jun 22, 2017
XL Catlin is the global brand used by XL Group Ltd's (NYSE: XL) insurance and reinsurance companies which provide property, casualty, professional and specialty products to industrial, commercial and professional firms, insurance companies and other ...
Investors Are Circling XL Group Ltd (NYSE:XL), What Do the Numbers Tell Us?
Stock Talker - 16 hours ago
Stock volatility is a percentage that indicates whether a stock is a desirable purchase. Investors look at the Volatility 12m to determine if a company has a low volatility percentage or not over the course of a year.
XL Catlin and the McGowan Companies to Provide Workplace Violence Insurance to ...
PR Newswire (press release) - Jun 26, 2017
XL Catlin is the global brand used by XL Group Ltd's (NYSE: XL) insurance and reinsurance companies which provide property, casualty, professional and specialty products to industrial, commercial and professional firms, insurance companies and other ...
XL Group Ltd. (XL) Upgraded at BidaskClub
The Cerbat Gem - Jun 26, 2017
XL Group Ltd. logo BidaskClub upgraded shares of XL Group Ltd. (NYSE:XL) from a hold rating to a buy rating in a research report sent to investors on Tuesday morning.
Achmea Investment Management BV Takes Position in XL Group Ltd. (XL) - BBNS
What's in XL Group Limited (NYSE:XL) After Decline in Shorted Shares?
Weekly Register - 21 hours ago
Investors sentiment increased to 0.6 in Q4 2016. Its up 0.58, from 0.02 in 2016Q3. It is positive, as 5 investors sold XL Group Ltd. shares while 0 reduced holdings. 2 funds opened positions while 1 raised stakes. 43,549 shares or 97.28% less from 1.60 ...
Institutional Investors Continue to Own the Majority of Company Shares: XL ... - Midway Monitor
Growth Rate Assumed by Market

We did a reverse valuation to calculate the growth rate the market is assuming for XL to be considered fairly valued at its current market price. It's useful to compare this to the growth rate we're assuming for the Growth Price.

Future Free Cash Flow Growth Rate

This is the annual growth rate we've applied to calculate XL's Free Cash Flow for the next 10 years. To calculate it, we looked at several time periods of the last 10 years. Feel free to adjust it, but we limit the initial growth rate to 20% and slow it down over the years. Otherwise, long-term sustainability issues come into play.

Discount Rate

The discount rate is the annual rate of return an investor requires to take the risk of investing in a single stock. To account for that risk, this should be above 8-10%, as this is the avg. annual rate of return for the S&P500 over the past 100 years.

Poor Cash Return on Invested Capital over the past 5 years

XL has been unable to consistently generate sufficient returns from its investments in buildings, projects and equipment. This could be due to poor management, lack of an economic moat or the capital intensive nature of the business.

XL has only created $- of cash for every $100 invested.
Figures in USD. Fiscal year ends in December
20122013201420152016
Free Cash Flow - - - - -
divided by
Invested Capital 45.39B 45.65B 45.05B 58.68B 58.43B
Cash ROIC - - - - -

Poor Return on Equity over the past 5 years

XL has shown an inability to deliver strong results for shareholders. This could be due to poor management, XL operating in a highly competitive industry, or having a weak business in general.

XL has only generated $6.61 of Earnings for every $100 of Shareholders' Equity.
Figures in USD. Fiscal year ends in December
20122013201420152016
Net Income 651.13M 1.06B 188.34M 1.21B 440.97M
divided by
Stockholders' Equity 10.51B 10.00B 10.03B 11.68B 10.94B
Return on Equity 6.20% 10.60% 1.88% 10.34% 4.03%

Poor Business Performance over the past 10 years

XL's inability to produce positive free cash flow for the majority of the past 10 years is concerning. It should be a red flag, since this company does not have a track record of delivering results for shareholders. This could be due to poor management or the nature of its business.

XL has been losing money for the majority of the past 10 years.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Free Cash Flow - - - - - - - - - -

Consistent Reinvestment of Profits over the past 10 years

XL has consistently retained profits. This may put XL in a strong position to invest for the future, by buying new machinery, investing in R&D or a number of other options. By effectively using these earnings, XL can greatly improve their long-term economic picture.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Retained Earnings 2.58B -315.53M 94.46M 513.78M -99.96M 402.32M 1.26B 1.19B 2.08B 2.15B
Retained Earnings Growth - -112.24% 129.94% 443.91% -119.46% 502.48% 214.20% -6.05% 74.91% 3.58%

Highly Competitive Industry over the past 10 years

It's likely that XL is in an industry with low barriers to entry, spurring high competition. If Gross Margins are at least satisfactory, it's likely XL invests heavily in R&D and Sales, General & Administrative expenses.

Only $- of every $100 of Revenue have been profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Net Income 275.89M -2.55B 74.99M 643.38M -474.76M 651.13M 1.06B 188.34M 1.21B 440.97M
divided by
Revenue - - - - - - - - - -
Net Profit Margin - - - - - - - - - -

Weak Pricing Power over the past 10 years

XL is likely in a highly competitive industry, due to low barriers to entry. It's because of this, that XL has been unable to raise prices and increase their profitability. This puts them in a poor position if inflation becomes an issue, as they would struggle to pass higher costs onto consumers.

Only $- of every $100 worth of sales have been Gross Profit, on average over the past 10 years.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Gross Profit - - - - - - - - - -
divided by
Revenue - - - - - - - - - -
Gross Margin - - - - - - - - - -

Low Capital Intensity over the past 10 years

XL has consistently used a small portion of their Net Income buying new equipment or investing in new facilities. This indicates that XL may require minimal investment to stay competitive. This leaves them with extra money to spend on growing their business and potentially buying back stock.

-% of Profits are being spent on Capital Expenditures, like Property, Plant, & Equipment, required to run the business.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Capital Expenditure - - - - - - - - - -
divided by
Net Income 275.89M -2.55B 74.99M 643.38M -474.76M 651.13M 1.06B 188.34M 1.21B 440.97M
Capital Expenditure Ratio - - - - - - - - - -

Very Strong Dividend History over the past 10 years

XL has consistently distributed a dividend for at least the past 10 years. Such a long dividend history suggests XL is very established in its market and that its dividend distribution is likely to continue for a significant period of time.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Dividend Paid 274.04M 326.37M 225.01M 211.53M 209.53M 212.29M 237.83M 248.09M 326.20M 222.76M
divided by
Shares Outstanding 179.69M 238.86M 340.97M 337.71M 312.90M 310.28M 292.07M 271.53M 291.00M 282.76M
Dividend Paid Per Share 1.53 1.37 0.66 0.63 0.67 0.68 0.81 0.91 1.12 0.79
Price at Year End 42.77 3.25 17.65 21.46 19.77 24.69 31.89 34.75 39.82 37.26
Dividend Yield 3.57% 42.04% 3.74% 2.92% 3.39% 2.77% 2.55% 2.63% 2.82% 2.11%

Strong History of Stock Buybacks over the past 10 years

XL has a strong history of delivering increased value for shareholders in the form of stock buybacks. These have helped improve financial metrics and increase each shareholders' relative ownership stake in the company, due to fewer shares outstanding and holding the same number of shares.
Figures in USD. Fiscal year ends in December
2007200820092010201120122013201420152016
Shares Outstanding 179.69M 238.86M 340.97M 337.71M 312.90M 310.28M 292.07M 271.53M 291.00M 282.76M
Stock Bought Back - -24.77% -29.95% 0.96% 7.93% 0.84% 6.24% 7.57% -6.69% 2.91%
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