Genworth Financial, Inc. (GNW)
Financial Services · NYQ · US
Fundamentals
Valuation and ratings
Genworth Financial, Inc. trades at USD10.02, which is 114% below the USD21.43 our discounted cash flow model puts on the business. On that measure alone it screens as undervalued, though a DCF is an argument rather than a measurement, and the market is frequently right about why something is cheap.
Our moat model scores it 20 out of 100, which is little in the way of a moat. A moat is a structural reason competitors cannot take the profits away, and it matters more to a long holding period than any single quarter's numbers do.
It changes hands at 18.7 times earnings. Be careful reading that in isolation: for a cyclical business a low P/E arrives at the top of the cycle, when profits are peaking and about to fall, which is exactly when the shares look cheapest and are not.
About Genworth Financial, Inc.
Genworth Financial, Inc., together with its subsidiaries, provides mortgage and long-term care insurance products in the United States. It operates through two segments: Enact and Closed Block. The company offers primary mortgage, and mortgage insurance products, and contract underwriting services. It also provides long-term care insurance products that are intended to protect against the significant and escalating costs of long-term care services provided in the insured's home, assisted living, and nursing facilities. In addition, the company offers protection and retirement income products, that includes traditional and non-traditional life insurance, such as term, universal and term universal life insurance, corporate-owned life insurance, and funding agreements; fixed annuities; and variable annuities. It distributes its products through sales force, sales representatives, and digital marketing programs. Genworth Financial, Inc. was founded in 1871 and is headquartered in Glen Allen, Virginia.
GNW passes 1 of our 30 screens today
Each screen prints the exact criteria it used, and the circumstances in which it is wrong.
Common questions
Is Genworth Financial, Inc. (GNW) undervalued?
Against our discounted cash flow estimate of USD21.43, GNW at USD10.02 is 114% below fair value. That is one model's answer, not a recommendation, and most of a DCF's output sits in a terminal value nobody can forecast.
What is GNW's P/E ratio?
GNW trades at 18.7 times earnings. A low P/E is not automatically cheap: on a cyclical company it is usually a warning that earnings are at a peak.
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Data from company filings, exchange quotes and SEC EDGAR 13F disclosures. Quotes are delayed. Metrics we do not have are left out rather than estimated. Educational information, not financial advice.