Fact based stock research
Meritz Fire & Marine Insurance (KOSE:A000060)

KR7000060004

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For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".

Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".

Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.

Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.

(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).

(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.

Meritz Fire & Marine Insurance stock research in summary

meritzfire.com

ANALYSIS: With an Obermatt Combined Rank of 67 (better than 67% compared with investment alternatives), Meritz Fire & Marine Insurance (Property & Casualty Insurance, South Korea) shares have above-average financial characteristics compared with similar stocks. Shares of Meritz Fire & Marine Insurance are a good value (attractively priced) with a consolidated Value Rank of 67 (better than 67% of alternatives), are safely financed (Safety Rank of 89, which means low debt burdens), but show below-average growth (Growth Rank of 40). ...read more

RECOMMENDATION: A Combined Rank of 67, is a buy recommendation based on Meritz Fire & Marine Insurance's financial characteristics. As the company Meritz Fire & Marine Insurance's key financial metrics exhibit good value (Obermatt Value Rank of 67) but low growth (Obermatt Growth Rank of 40) while being safely financed (Obermatt Safety Rank of 89), it may be a safer investment because companies with low debt can better withstand times of crises. Yet the good value, better than 67% of comparable companies, may also indicate that the company's future is challenging. If you believe that low growth is temporary or just due to a specific current event, you may conclude that the good value of the stock provides an attractive investment opportunity and the downside is limited due to below-average financing risks. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more

Latest Obermatt Ranks


360° View^new
Sentiment Rank^new
Value Rank	67
Growth Rank	40
Safety Rank	89
Combined Rank	67

Country	South Korea
Industry	Property & Casualty Insurance
Index
Size class	X-Large

18-Apr-2024. Stock data may be delayed. Log in or sign up to get the most recent research.

Further information

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Review the performance ranks of the individual metrics that form each investment strategy.

Research History: Meritz Fire & Marine Insurance

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	83	61	67	67
GROWTH
GROWTH	68	74	49	40
SAFETY
SAFETY	48	89	89	89
SENTIMENT
SENTIMENT	n/a	96	100	^new
360° VIEW
360° VIEW	n/a	99	93	^new

Most recent update of the stock research: 18-Apr-2024. Financial reporting date used for calculating ranks: 31-Dec-2023. Stock research history is based on the Obermatt Method. The higher the rank, the better Meritz Fire & Marine Insurance is in the corresponding investment strategy.
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Combined financial peformance in Detail

RESEARCH HISTORY	2021	2022	2023	2024
VALUE
VALUE	83	61	67	67
GROWTH
GROWTH	68	74	49	40
SAFETY
SAFETY	48	89	89	89
COMBINED
COMBINED	85	67	67	67

Last update of combined financial performance: 6-Oct-2022. Stock analysis on combined financial performance: The higher the rank of Meritz Fire & Marine Insurance the better the performance.

Value Metrics in Detail

ANALYSIS: With an Obermatt Value Rank of 67 (better than 67% compared with alternatives), Meritz Fire & Marine Insurance shares are more attractively priced than the majority of comparable stocks. The Value Rank is based on consolidating four value indicators, where half the indicators are below and half are above average for Meritz Fire & Marine Insurance. Price-to-Sales (P/S) is 89, which means that the stock price compared with what market professionals expect for future sales is lower than for 89% of comparable companies, indicating a good value concerning Meritz Fire & Marine Insurance's revenue size. The same is valid for expected Price-to-Profits (or Price / Earnings, P/E), more favorable than for 75% of alternatives. It is also positive for expected dividend yields with a Dividend Yield rank of 1 (dividends are expected to be higher than for 1% of other stocks). But, compared with other companies in the same industry, the Price-to-Book Capital ratio (also referred to as market-to-book ratio) is higher than average, making the stock more expensive. Only 78% of all competitors have an even higher price compared with book capital which puts the Price-to-Capital Rank for Meritz Fire & Marine Insurance to 22. ...read more

RECOMMENDATION: The overall picture with a consolidated Value Rank of 67, is a buy recommendation based on Meritz Fire & Marine Insurance's stock price compared with the company's operational size and dividend yields. A low level of book capital means that the company has a business that is leaner on assets than its competitors. For instance, the company could be leasing its production facilities, or be more focussed on intellectual property, such as its brand and software, which is less visible in its book capital. If that is the case, the low Dividend Yield is also explained as such companies tend to invest their income into market development. The other good value ranks for Sales and Profits are encouraging indicators for the stock price value. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision. ...read more

VALUE METRICS	2021	2022	2023	2024
PRICE VS. REVENUES (P/S)
PRICE VS. REVENUES (P/S)	88	91	89	89
PRICE VS. PROFITS (P/E)
PRICE VS. PROFITS (P/E)	75	61	75	75
PRICE VS. CAPITAL (Market-to-Book)
PRICE VS. CAPITAL (Market-to-Book)	27	32	22	22
DIVIDEND YIELD
DIVIDEND YIELD	68	20	1	1
CONSOLIDATED RANK: VALUE
CONSOLIDATED RANK: VALUE	83	61	67	67

Last update of Value Rank: 16-Mar-2023. Stock analysis on value ratios: The higher the rank, the lower the value ratio of Meritz Fire & Marine Insurance; except for dividend yield where the rank is higher, the higher the yield.

Growth Metrics in Detail

ANALYSIS: With an Obermatt Growth Rank of 40 (better than 40% compared with alternatives), Meritz Fire & Marine Insurance shows a below-average growth dynamic in its industry. There is limited momentum in this company. The Growth Rank is based on consolidating four value indicators, with half of the indicators below and half above average for Meritz Fire & Marine Insurance. Sales Growth has a rank of 50, which means that, currently, professionals expect the company to grow more than 50% of its competitors. Profit Growth with a rank of 80 is also above average. But Capital Growth has only a rank of 3, and Stock Returns with 30 are also below-average. Stock returns for Meritz Fire & Marine Insurance have recently been below 70% of alternative investments. ...read more

RECOMMENDATION: The overall picture with a consolidated Growth Rank of 40, is a hold recommendation for growth and momentum investors. Are investors forecasting troubles based on the lack of operating investment activity at the company? This could be one explanation as to why stock returns are low. But stock returns can also be the result of correcting an error in the past, in this case, an overly optimistic outlook on the future, which is now more realistic. The Value Ranks may confirm such a picture. The more important growth indicators are revenues and profits, which are both above average for Meritz Fire & Marine Insurance. This is a positive sign from the company's operational side and may give investors courage, despite the poor recent stock price performance. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with the Obermatt Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is mixed here. ...read more

GROWTH METRICS	2021	2022	2023	2024
REVENUE GROWTH
REVENUE GROWTH	38	45	48	50
PROFIT GROWTH
PROFIT GROWTH	59	75	84	80
CAPITAL GROWTH
CAPITAL GROWTH	n/a	33	3	3
STOCK RETURNS
STOCK RETURNS	96	100	55	30
CONSOLIDATED RANK: GROWTH
CONSOLIDATED RANK: GROWTH	68	74	49	40

Last update of Growth Rank: 18-Apr-2024. Stock analysis on growth metrics: The higher the rank, the higher the growth and returns of Meritz Fire & Marine Insurance.

Safety Metrics in Detail

ANALYSIS: With an Obermatt Safety Rank of 89 (better than 89% compared with alternatives) for 2022, the company Meritz Fire & Marine Insurance has safe financing practices, which means that their overall debt burden is low. This doesn't mean that the business of Meritz Fire & Marine Insurance is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, with two out of three indicators above-average for Meritz Fire & Marine Insurance. Refinancing is at 92, meaning the portion of the debt that is about to be refinanced is below average. It has less debt in the refinancing stage than 92% of its competitors. Liquidity is also good at 84, meaning the company generates more profit to service its debt than 84% of its competitors. This indicates that the company is safer when it comes to debt service. However, Leverage is rather large at 21, which means the company has an above-average debt-to-equity ratio. It has more debt than 79% of its competitors. ...read more

RECOMMENDATION: With a consolidated Safety Rank of 89 (better than 89% compared with alternatives), Meritz Fire & Marine Insurance has a financing structure that is significantly safer than that of its competitors. This is not bad if things go well. The higher debt level means better returns to shareholders if things go well. Many top-performing companies operate with higher debt levels, and Meritz Fire & Marine Insurance could be in that group. But if you expect the environment to turn rougher, the higher leverage could become a problem. The same is valid if you expect interest rates to rise. That could squeeze shareholder returns, which so far have benefitted from better conditions. In the long-term, investors may have a debt challenge with Meritz Fire & Marine Insurance and should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more

SAFETY METRICS	2021	2022	2023	2024
LEVERAGE
LEVERAGE	29	68	23	21
REFINANCING
REFINANCING	98	92	92	92
LIQUIDITY
LIQUIDITY	62	76	83	84
CONSOLIDATED RANK: SAFETY
CONSOLIDATED RANK: SAFETY	48	89	89	89

Last update of Safety Rank: 6-Oct-2022. Stock analysis on safety metrics: The higher the rank, the lower the leverage of Meritz Fire & Marine Insurance and the more cash is available to service its debt.

Sentiment Metrics in Detail

SENTIMENT	2021	2022	2023	2024
ANALYST OPINIONS
ANALYST OPINIONS	n/a	72	80	^new
OPINIONS CHANGE
OPINIONS CHANGE	n/a	50	50	^new
PRO HOLDINGS
PRO HOLDINGS	n/a	96	96	^new
MARKET PULSE
MARKET PULSE	n/a	100	100	^new
CONSOLIDATED RANK: SENTIMENT
CONSOLIDATED RANK: SENTIMENT	n/a	96	100	^new

Last update of Sentiment Rank: 9-Mar-2023. Stock analysis on sentiment metrics: The higher the rank, the more positive the sentiment for Meritz Fire & Marine Insurance.
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