Is Selective Insurance Stock a Good Investment?
Selective Insurance Investment Advice | SIGI |
- Examine Selective Insurance's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Selective Insurance's leadership team and their track record. Good management can help Selective Insurance navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Property & Casualty Insurance space and any emerging trends that could impact Selective Insurance's business and its evolving consumer preferences.
- Compare Selective Insurance's performance and market position to its competitors. Analyze how Selective Insurance is positioned in terms of product offerings, innovation, and market share.
- Check if Selective Insurance pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Selective Insurance's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Selective Insurance Group stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Selective Insurance Group is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Buy | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Selective Insurance Stock
Researching Selective Insurance's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 86.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.87. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Selective Insurance has Price/Earnings To Growth (PEG) ratio of 1.86. The entity last dividend was issued on the 14th of February 2025. The firm had 2:1 split on the 21st of February 2007.
To determine if Selective Insurance is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Selective Insurance's research are outlined below:
| Selective Insurance generated a negative expected return over the last 90 days | |
| Selective Insurance Group currently holds 441.66 M in liabilities with Debt to Equity (D/E) ratio of 0.19, which may suggest the company is not taking enough advantage from borrowing. Selective Insurance has a current ratio of 0.32, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Selective Insurance's use of debt, we should always consider it together with its cash and equity. | |
| Selective Insurance has a strong financial position based on the latest SEC filings | |
| Over 86.0% of Selective Insurance shares are owned by institutional investors | |
| On 3rd of March 2025 Selective Insurance paid $ 0.38 per share dividend to its current shareholders | |
| Latest headline from simplywall.st: Investing in Selective Insurance Group five years ago would have delivered you a 94 percent gain |
Selective Insurance uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Selective Insurance Group. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Selective Insurance's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 31st of January 2024 Upcoming Quarterly Report | View | |
| 1st of May 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 31st of January 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Selective Insurance's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Selective Insurance's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2011-07-27 | 2011-06-30 | 0.03 | 0.01 | -0.02 | 66 | ||
2001-08-08 | 2001-06-30 | 0.17 | 0.15 | -0.02 | 11 | ||
2001-02-06 | 2000-12-31 | 0.14 | 0.12 | -0.02 | 14 | ||
2000-08-09 | 2000-06-30 | 0.08 | 0.06 | -0.02 | 25 | ||
2000-02-04 | 1999-12-31 | 0.2 | 0.18 | -0.02 | 10 | ||
1996-05-03 | 1996-03-31 | 0.12 | 0.14 | 0.02 | 16 | ||
2012-02-02 | 2011-12-31 | 0.3 | 0.33 | 0.03 | 10 | ||
2010-04-28 | 2010-03-31 | 0.09 | 0.12 | 0.03 | 33 |
Know Selective Insurance's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Selective Insurance is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Selective Insurance Group backward and forwards among themselves. Selective Insurance's institutional investor refers to the entity that pools money to purchase Selective Insurance's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | T. Rowe Price Investment Management,inc. | 2024-12-31 | 939.4 K | Charles Schwab Investment Management Inc | 2024-12-31 | 884.2 K | Vaughan Nelson Scarbrgh & Mccullough Lp | 2024-12-31 | 828.3 K | Bank Of New York Mellon Corp | 2024-12-31 | 582.1 K | Jacobs Levy Equity Management, Inc. | 2024-12-31 | 564.5 K | Channing Capital Management, Llc | 2024-12-31 | 533.5 K | Nuveen Asset Management, Llc | 2024-12-31 | 513.1 K | First Trust Advisors L.p. | 2024-12-31 | 492.3 K | Goldman Sachs Group Inc | 2024-12-31 | 483.2 K | Blackrock Inc | 2024-12-31 | 7.9 M | Vanguard Group Inc | 2024-12-31 | 6.6 M |
Selective Insurance's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 5.48 B.Market Cap |
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Selective Insurance's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.06 | 0.06 | |
| Return On Capital Employed | 0.05 | 0.04 | |
| Return On Assets | 0.06 | 0.06 | |
| Return On Equity | 0.07 | 0.11 |
Determining Selective Insurance's profitability involves analyzing its financial statements and using various financial metrics to determine if Selective Insurance is a good buy. For example, gross profit margin measures Selective Insurance's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Selective Insurance's profitability and make more informed investment decisions.
Evaluate Selective Insurance's management efficiency
Selective Insurance has return on total asset (ROA) of 0.0158 % which means that it generated a profit of $0.0158 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.0682 %, meaning that it created $0.0682 on every $100 dollars invested by stockholders. Selective Insurance's management efficiency ratios could be used to measure how well Selective Insurance manages its routine affairs as well as how well it operates its assets and liabilities. As of now, Selective Insurance's Return On Tangible Assets are increasing as compared to previous years. The Selective Insurance's current Return On Assets is estimated to increase to 0.06, while Return On Capital Employed is projected to decrease to 0.04. As of now, Selective Insurance's Intangible Assets are increasing as compared to previous years. The Selective Insurance's current Return On Tangible Assets is estimated to increase to 0.06, while Non Current Assets Total are projected to decrease to under 7.5 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | (111.23) | (105.67) | |
| Tangible Book Value Per Share | (111.36) | (105.79) | |
| Enterprise Value Over EBITDA | 14.95 | 20.92 | |
| Price Book Value Ratio | 1.82 | 1.02 | |
| Enterprise Value Multiple | 14.95 | 20.92 | |
| Price Fair Value | 1.82 | 1.02 | |
| Enterprise Value | 6.1 B | 6.4 B |
At Selective Insurance, effective management practices are pivotal to sustaining long-term profitability. We delve into financial metrics and market conditions to provide a comprehensive analysis of the stock's prospects.
Basic technical analysis of Selective Stock
As of the 27th of March, Selective Insurance has the Risk Adjusted Performance of 0.002, variance of 4.47, and Coefficient Of Variation of (20,855). In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of Selective Insurance, as well as the relationship between them.Selective Insurance's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Selective Insurance insiders, such as employees or executives, is commonly permitted as long as it does not rely on Selective Insurance's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Selective Insurance insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Selective Insurance's Outstanding Corporate Bonds
Selective Insurance issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Selective Insurance uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Selective bonds can be classified according to their maturity, which is the date when Selective Insurance Group has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
| US816300AH07 Corp BondUS816300AH07 | View | |
| Morgan Stanley 3971 Corp BondUS61744YAL20 | View | |
| AerCap Global Aviation Corp BondUS00773HAA59 | View |
Understand Selective Insurance's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Selective Insurance's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.002 | |||
| Market Risk Adjusted Performance | (0.03) | |||
| Mean Deviation | 1.33 | |||
| Coefficient Of Variation | (20,855) | |||
| Standard Deviation | 2.11 | |||
| Variance | 4.47 | |||
| Information Ratio | (0.01) | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.01) | |||
| Treynor Ratio | (0.04) | |||
| Maximum Drawdown | 15.02 | |||
| Value At Risk | (1.86) | |||
| Potential Upside | 2.62 | |||
| Skewness | (3.18) | |||
| Kurtosis | 18.88 |
| Risk Adjusted Performance | 0.002 | |||
| Market Risk Adjusted Performance | (0.03) | |||
| Mean Deviation | 1.33 | |||
| Coefficient Of Variation | (20,855) | |||
| Standard Deviation | 2.11 | |||
| Variance | 4.47 | |||
| Information Ratio | (0.01) | |||
| Jensen Alpha | (0.02) | |||
| Total Risk Alpha | (0.01) | |||
| Treynor Ratio | (0.04) | |||
| Maximum Drawdown | 15.02 | |||
| Value At Risk | (1.86) | |||
| Potential Upside | 2.62 | |||
| Skewness | (3.18) | |||
| Kurtosis | 18.88 |
Consider Selective Insurance's intraday indicators
Selective Insurance intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Selective Insurance stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Selective Insurance Corporate Filings
| 26th of March 2025 Other Reports | ViewVerify | |
F4 | 3rd of March 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 25th of February 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
| 24th of February 2025 Prospectus used primarily for registering securities for public sale. | ViewVerify |
Selective Stock media impact
Far too much social signal, news, headlines, and media speculation about Selective Insurance that are available to investors today. That information is available publicly through Selective media outlets and privately through word of mouth or via Selective internal channels. However, regardless of the origin, that massive amount of Selective data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Selective Insurance news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Selective Insurance relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Selective Insurance's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Selective Insurance alpha.
Selective Insurance Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Selective Insurance can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Selective Insurance Historical Investor Sentiment
Investor biases related to Selective Insurance's public news can be used to forecast risks associated with an investment in Selective. The trend in average sentiment can be used to explain how an investor holding Selective can time the market purely based on public headlines and social activities around Selective Insurance Group. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Selective Insurance's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Selective Insurance and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Selective Insurance news discussions. The higher the estimate score, the more favorable the investor's outlook on Selective Insurance.
Selective Insurance Corporate Management
| John Bresney | Executive Officer | Profile | |
| Brad Wilson | Senior Treasurer | Profile | |
| Joseph CFA | Executive Officer | Profile | |
| Brenda Hall | Executive Lines | Profile | |
| Rohit Mull | Chief VP | Profile | |
| Rohan Pai | VP Treasurer | Profile |
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in Selective Insurance Group. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in price. You can also try the Transaction History module to view history of all your transactions and understand their impact on performance.
Is Property & Casualty Insurance space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Selective Insurance. If investors know Selective will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Selective Insurance listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.24) | Dividend Share 1.43 | Earnings Share 3.25 | Revenue Per Share | Quarterly Revenue Growth 0.131 |
The market value of Selective Insurance is measured differently than its book value, which is the value of Selective that is recorded on the company's balance sheet. Investors also form their own opinion of Selective Insurance's value that differs from its market value or its book value, called intrinsic value, which is Selective Insurance's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Selective Insurance's market value can be influenced by many factors that don't directly affect Selective Insurance's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Selective Insurance's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Selective Insurance is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Selective Insurance's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.