• Return to Headlines

Relatively Low Forward Earnings Yield Detected in Shares of Fairfax Financial Holdings in the Multi-line Insurance Industry (FRFHF, HMN, L, AIG, AFG)

By Amy Schwartz

Below are the three companies in the Multi-line Insurance industry with the lowest forward earnings yields. Using projected earnings for the current fiscal year, the forward earnings yield is useful to compare a stock's return vs. owning a similar stock or other yield assets (e.g. bonds). Generally, the higher the earnings yield, the more undervalued the stock.

Fairfax Financial Holdings ranks lowest with a forward earnings yield of 4.1%. Following is Horace Mann Educators with a forward earnings yield of 5.8%. Loews ranks third lowest with a forward earnings yield of 6.0%.

American International follows with a forward earnings yield of 7.1%, and American Financial rounds out the bottom five with a forward earnings yield of 7.3%.

SmarTrend recommended that subscribers consider buying shares of American International on July 14th, 2016 as our technology indicated a new Uptrend was in progress when shares hit $54.39. Since that recommendation, shares of American International have risen 10.9%. We continue to monitor American International for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.

Keywords: lowest forward earnings yield fairfax financial holdings horace mann educators loews american international american financial