Pro-Assurance Stock Valuation

PRA
 Stock
  

USD 23.13  0.23  0.98%   

Do you wonder what the value of Pro-Assurance Corp is? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Pro-Assurance Corp, is its stock price multiplied by the total number of shares outstanding, calculating Pro-Assurance Corp's enterprise value requires a different approach. It uses Pro-Assurance Corp's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
The current year Free Cash Flow is expected to grow to about 193.8 M, whereas Enterprise Value is forecasted to decline to about 2.3 B.
Pro-Assurance Corp holds a recent Real Value of $25.11 per share. The prevailing price of the company is $23.13. At this time, the company appears to be undervalued. Our model determines the value of Pro-Assurance Corp from analyzing the company fundamentals such as Operating Margin of 12.42 %, return on equity of 10.21 %, and Shares Outstanding of 54.05 M as well as examining its technical indicators and Probability Of Bankruptcy. In general, we support taking in undervalued entities and trading overvalued entities since, at some point, asset prices and their ongoing real values will merge together.
  
Pro-Assurance Corp Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Pro-Assurance Corp's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

Pro-Assurance Most Recent Valuation Data

Price Book
0.91
Enterprise Value
1.5 B
Price Sales
1.0
Forward PE
31.95
Trailing PE
8.93
Enterprise Value Revenue
1.35
Undervalued
Today 23.13
Please note that Pro-Assurance Corp's price fluctuation is very steady at this time. Calculation of the real value of Pro-Assurance Corp is based on 3 months time horizon. Increasing Pro-Assurance Corp's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Pro-Assurance Corp is useful when determining the fair value of the Pro-Assurance stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Pro-Assurance Corp. Since Pro-Assurance Corp is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Pro-Assurance Stock. However, Pro-Assurance Corp's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
25.11
Real Value
26.98
Upside
Estimating the potential upside or downside of Pro-Assurance Corp helps investors to forecast how Pro-Assurance stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Pro-Assurance Corp more accurately as focusing exclusively on Pro-Assurance Corp's fundamentals will not take into account other important factors:
Earnings
Estimates (4)
LowProjected EPSHigh
0.900.971.03
Details
Hype
Prediction
LowEstimated ValueHigh
21.3123.1825.05
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
0.130.130.13
Details
4 Analysts
Consensus
LowTarget PriceHigh
27.0027.5028.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Pro-Assurance Corp's intrinsic value based on its ongoing forecasts of Pro-Assurance Corp's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Pro-Assurance Corp's closest peers. When choosing an evaluation method for Pro-Assurance Corp, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Pro-Assurance Corp Investments

3.26 Billion

Pro-Assurance Valuation Drivers Correlation

Many accounts on the financial statements of Pro-Assurance Corp are highly interrelated and sometimes correlated. Consequently, when conducting Pro-Assurance's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Pro-Assurance
Click cells to compare fundamentals

Pro-Assurance Valuation Trend

Knowing Pro-Assurance Corp's actual value is paramount for traders to make sound investment determinations. Pro-Assurance Corp's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Pro-Assurance Corp's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Pro-Assurance Corp's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Pro-Assurance Market Cap

Pro-Assurance Corp is regarded fifth in market capitalization category among related companies. Market capitalization of Insurance—Property & Casualty industry is at this time estimated at about 141.54 Billion. Pro-Assurance Corp maintains roughly 1.26 Billion in market capitalization contributing less than 1% to equities under Insurance—Property & Casualty industry.
Capitalization  Workforce  Revenue  Valuation  Total debt

Pro-Assurance Corp Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Pro-Assurance Corp's current stock value. Our valuation model uses many indicators to compare Pro-Assurance Corp value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Pro-Assurance Corp competition to find correlations between indicators driving Pro-Assurance Corp's intrinsic value. More Info.
Pro-Assurance Corp is considered to be number one stock in five year return category among related companies. It is regarded fourth in price to sales category among related companies fabricating about  0.38  of Price to Sales per Five Year Return. The ratio of Five Year Return to Price to Sales for Pro-Assurance Corp is roughly  2.62 . As of August 10, 2022, Price to Sales Ratio is expected to decline to 2.74. Comparative valuation analysis is a catch-all model that can be used if you cannot value Pro-Assurance Corp by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Pro-Assurance Corp's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Pro-Assurance Corp's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Pro-Assurance Corp's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Pro-Assurance Corp and how it compares across the competition.

About Pro-Assurance Corp Valuation

The equity valuation mechanism determines the current worth of Pro-Assurance Corp on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Pro-Assurance Corp. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Pro-Assurance Corp based exclusively on its fundamental and basic technical indicators. By analyzing Pro-Assurance Corp's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Pro-Assurance Corp's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Pro-Assurance Corp. We calculate exposure to Pro-Assurance Corp's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Pro-Assurance Corp's related companies.
Fiscal Year End
December
Industry
Insurance-Property & Casualty
Concentration
Property & Casualty Insurance
Full Time Employees
K
Service Category
Insurance
Employer Id Number
63-1261433
Last ReportedProjected for 2022
Gross Profit384.3 M345.5 M
Profit Margin 12.82  17.27 
ProAssurance Corporation, through its subsidiaries, provides property and casualty insurance, and reinsurance products in the United States. The company was founded in 1976 and is headquartered in Birmingham, Alabama. Pro-Assurance Corp operates under InsuranceProperty Casualty classification in the United States and is traded on New York Stock Exchange. It employs 1021 people.
Pro-Assurance Corp's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Pro-Assurance Corp's value is low or high relative to the company's performance and growth projections. Determining the market value of Pro-Assurance Corp can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Pro-Assurance Corp represents a small ownership stake in the entity. As a stockholder of Pro-Assurance, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Pro-Assurance Corp Dividends Analysis For Valuation

Pro-Assurance Corp Dividend Yield is projected to increase slightly based on the last few years of reporting. The past year's Dividend Yield was at 0.1. The current year Dividends per Basic Common Share is expected to grow to 5.76, whereas Payment of Dividends and Other Cash Distributions is forecasted to decline to (147.4 M). . Pro-Assurance Corp Earning Before Interest and Taxes EBIT is projected to decrease significantly based on the last few years of reporting. The past year's Earning Before Interest and Taxes EBIT was at 172.11 Million. The current year Earnings per Basic Share is expected to grow to 2.77, whereas Accumulated Retained Earnings Deficit are forecasted to decline to about 1.3 B.
Last ReportedProjected for 2022
Payment of Dividends and Other Cash Distributions-136.6 M-147.4 M
Dividend Yield 0.1  0.10 
Dividends per Basic Common Share 5.34  5.76 
There are various types of dividends Pro-Assurance Corp can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Pro-Assurance shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Pro-Assurance Corp directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Pro-Assurance pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Pro-Assurance Corp by the value of the dividends paid out.

Pro-Assurance Corp Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Pro-Assurance Corp does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio1.22
Revenue Growth28.70%
Payout Ratio8.13%
Enterprise Value To Ebitda8.68
Enterprise Value To Revenue1.08

Pro-Assurance Corp Current Valuation Indicators

Valuation refers to the process of determining the present value of Pro-Assurance Corp and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Pro-Assurance we look at many different elements of the entity such as Pro-Assurance's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Pro-Assurance Corp's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Pro-Assurance Corp's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Pro-Assurance Corp, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Pro-Assurance Corp's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Pro-Assurance Corp's worth.
Please check Your Equity Center. Note that the Pro-Assurance Corp information on this page should be used as a complementary analysis to other Pro-Assurance Corp's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..

Complementary Tools for Pro-Assurance Stock analysis

When running Pro-Assurance Corp price analysis, check to measure Pro-Assurance Corp's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Pro-Assurance Corp is operating at the current time. Most of Pro-Assurance Corp's value examination focuses on studying past and present price action to predict the probability of Pro-Assurance Corp's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Pro-Assurance Corp's price. Additionally, you may evaluate how the addition of Pro-Assurance Corp to your portfolios can decrease your overall portfolio volatility.
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Is Pro-Assurance Corp's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Pro-Assurance Corp. If investors know Pro-Assurance will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Pro-Assurance Corp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
1.24
Market Capitalization
1.2 B
Quarterly Revenue Growth YOY
0.29
Return On Assets
0.0124
Return On Equity
0.1
The market value of Pro-Assurance Corp is measured differently than its book value, which is the value of Pro-Assurance that is recorded on the company's balance sheet. Investors also form their own opinion of Pro-Assurance Corp's value that differs from its market value or its book value, called intrinsic value, which is Pro-Assurance Corp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Pro-Assurance Corp's market value can be influenced by many factors that don't directly affect Pro-Assurance Corp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Pro-Assurance Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine Pro-Assurance Corp value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Pro-Assurance Corp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.