GLRE Intrinsic Value – GREENLIGHT CAPITAL RE Reports 43.2% Revenue Increase of USD 156.9 Million in Q2 FY2023
August 14, 2023
☀️Earnings Overview
For the second quarter of FY2023, GREENLIGHT CAPITAL RE ($NASDAQ:GLRE) reported total revenue of USD 156.9 million, a rise of 43.2% from the same quarter of the preceding fiscal year. Net income for the quarter was USD 49.9 million, significantly higher than the USD 14.8 million reported in the corresponding period of the prior year.
Analysis – GLRE Intrinsic Value
GoodWhale has conducted an analysis of GREENLIGHT CAPITAL RE’s financials and found that the fair value of the company’s shares is around $8.5. This value was calculated using our proprietary Valuation Line, which is based on past performance and growth potential of the company. Currently, GREENLIGHT CAPITAL RE stock is trading at a price of $10.4, which our analysis suggests is overvalued by 21.7%. Therefore, investors should watch these stocks carefully and consider reducing their holdings if there is no sign of improvement in their finances. More…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for GLRE. More…
| Total Revenues | Net Income | Net Margin |
| 548.38 | 72.03 | 13.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for GLRE. More…
| Operations | Investing | Financing |
| -17.22 | 39.33 | -36.91 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for GLRE. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.72k | 1.15k | 15.91 |
Key Ratios Snapshot
Some of the financial key ratios for GLRE are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 5.4% | – | 14.9% |
| FCF Margin | ROE | ROA |
| -3.1% | 9.5% | 3.0% |
Peers
The company offers a wide range of products and services to its clients, which include insurance companies, reinsurers, and other financial institutions. Greenlight Capital Re Ltd. has a strong presence in the global reinsurance market and is one of the largest providers of reinsurance in the world. The company has a strong competitive advantage over its competitors due to its diversified product portfolio, strong financial position, and experienced management team.
– Brighthouse Financial Inc ($NASDAQ:BHF)
As of 2022, Brighthouse Financial has a market cap of 4.11B and a ROE of 14.76%. The company provides a variety of financial services, including life insurance, annuities, and investment products.
– MetLife Inc ($NYSE:MET)
MetLife, Inc. is an American multinational life insurance corporation, which offers life insurance, annuities, long-term care insurance, disability income insurance, and other financial services products. As of 2020, it was the largest life insurer in the United States based on assets and 13th largest in the world based on revenue.
The company has a market cap of 58.34B as of 2022 and a Return on Equity of 7.96%. MetLife is one of the largest life insurers in the United States and offers a variety of financial services products, including life insurance, annuities, long-term care insurance, and disability income insurance. The company has a strong financial position and is well-positioned to continue growing its business and delivering value to shareholders.
– Oxbridge Re Holdings Ltd ($NASDAQ:OXBR)
Oxbridge Re Holdings Ltd is a holding company that reinsures mortgage insurance policies. The company has a market cap of 11.91M as of 2022 and a ROE of 30.09%. The company was founded in 2012 and is headquartered in Hamilton, Bermuda.
Summary
Greenlight Capital RE reported impressive financial results in the second quarter of FY2023. Total revenue increased 43.2% compared to the previous year, reaching USD 156.9 million. These results demonstrate strong growth and suggest that Greenlight Capital RE is a sound investment option. Investors should look closely at the company’s fundamentals and its future prospects to determine whether it is the right investment for them.
