American Financial Group (AFG) Fundamental Analysis: Revenue, Earnings & Valuation

3.44 / 10

Netural

Analysis concludes subpar fundamental quality (3.4/10). Favorable components: Accounts receivable turnover ratio and Cost of sales ratio (%), with caution warranted for Profit-MV and Asset-MV. Investment recommendation: challenging.

Analysis Checks(5/10)

ROE (diluted) (YoY growth rate %)

Value14.76

Score2/3

Weight18.98%

1M Return3.20%

Profit-MV

Value1.29

Score1/3

Weight0.38%

1M Return0.10%

Accounts receivable turnover ratio

Value38.81

Score3/3

Weight12.51%

1M Return2.44%

Total profit (YoY growth rate %)

Value-4.54

Score1/3

Weight12.83%

1M Return2.36%

Diluted earnings per share (YoY growth rate %)

Value-4.64

Score1/3

Weight8.25%

1M Return1.61%

Cost of sales ratio (%)

Value71.87

Score3/3

Weight12.56%

1M Return2.44%

Asset-MV

Value1.14

Score1/3

Weight7.06%

1M Return1.22%

Net profit attributable to parent company shareholders (YoY growth rate %)

Value-5.07

Score1/3

Weight13.82%

1M Return2.52%

Current ratio

Value4.23

Score3/3

Weight11.76%

1M Return2.31%

Cash-MV

Value1.08

Score2/3

Weight1.86%

1M Return0.38%

Is AFG undervalued or overvalued?

AFG scores 3.44/10 on fundamentals and holds a Fair valuation at present. Backed by its 18.13% ROE, 10.30% net margin, 12.83 P/E ratio, 2.24 P/B ratio, and -4.64% earnings growth, these metrics solidify its Netural investment rating.