Selective Insurance Group Inc Scores High on Value Model

A report reveals that Selective Insurance Group Inc (SIGI) ranks highest among 22 guru strategies, showing a strong rating based on its fundamentals. Significant factors include solid free cash flow and a consistent profit margin, positively impacting its stock outlook.

Date: 23-09-2024

AI Rating: 5

The report provides an overview of Selective Insurance Group Inc (SIGI) and its performance based on the Price/Sales Investor model devised by Kenneth Fisher. The rating of 60% reflects the company's underlying fundamentals and valuation, with a score of 80% or higher typically indicating stronger interest from this investment strategy.

Analyzing the individual criteria from the report reveals some mixed results:

Price/Sales Ratio: The stock passed this test, which is a positive indicator as it suggests attractiveness based on sales metrics.
Long-term EPS Growth Rate: This measure failed, indicating that there may be concerns about future earnings growth, which could serve as a negative factor for potential investors.
Free Cash Per Share: This passed, showcasing strong free cash flow, an essential aspect for operational efficiency and financial health.
Net Profit Margin: The company has a three-year average net profit margin that passed, reflecting favorable profitability.

Despite the failure in the long-term EPS growth rate, the strong performance in free cash flow and net profit margins suggests stability in Selective Insurance Group's operations. However, the concerns regarding long-term growth could lead to a cautious stance among investors.

Stocks: SIGI