Markel Valuation
| MKL Stock | USD 1,848 28.53 1.57% |
At this time, the firm appears to be undervalued. Markel secures a last-minute Real Value of $1942.63 per share. The latest price of the firm is $1847.91. Our model forecasts the value of Markel from analyzing the firm fundamentals such as Return On Equity of 0.17, current valuation of 24.83 B, and Profit Margin of 0.17 % as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Markel's valuation include:
Undervalued
Today
Please note that Markel's price fluctuation is very steady at this time. Calculation of the real value of Markel is based on 3 months time horizon. Increasing Markel's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the Markel stock is determined by what a typical buyer is willing to pay for full or partial control of Markel. Since Markel is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Markel Stock. However, Markel's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 1847.91 | Real 1942.63 | Target 1697.67 | Hype 1847.66 | Naive 1866.68 |
The intrinsic value of Markel's stock can be calculated using various methods such as discounted cash flow or dividend analysis. That value may differ from its market price, which is determined by factors such as investor sentiment, market trends, headlines, and other external factors that may influence Markel's stock price.
Estimating the potential upside or downside of Markel helps investors to forecast how Markel stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Markel more accurately as focusing exclusively on Markel's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Markel's intrinsic value based on its ongoing forecasts of Markel's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Markel's closest peers.
Markel Cash |
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Markel Valuation Trend
Knowing Markel's actual value is paramount for traders when making sound investment determinations. Using both Markel's enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
Markel Revenue by Product
Markel Total Value Analysis
Markel is now forecasted to have company total value of 24.83 B with market capitalization of 23.6 B, debt of 4.33 B, and cash on hands of 4.14 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the Markel fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
24.83 B | 23.6 B | 4.33 B | 4.14 B |
Markel Investor Information
About 80.0% of the company shares are owned by institutional investors. The company has price-to-book ratio of 1.45. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Markel has Price/Earnings (P/E) ratio of 720.95. The entity recorded earning per share (EPS) of 199.39. The firm had not issued any dividends in recent years. Markel had 6:5 split on the 11th of September 1989. Markel may be sliding down financialy. It has an above-average chance of going through some form of financial crunch next quarter.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Total Cash From Operating Activities | 2.7 B | 2.6 B |
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Markel Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Markel has an asset utilization ratio of 26.85 percent. This suggests that the Company is making $0.27 for each dollar of assets. An increasing asset utilization means that Markel is more efficient with each dollar of assets it utilizes for everyday operations.Markel Ownership Allocation
The market capitalization of Markel is $23.6 Billion. The majority of Markel outstanding shares are owned by institutional investors. These third-party entities are usually referred to as non-private investors looking to shop for positions in Markel to benefit from reduced commissions. Consequently, institutional holders are subject to a different set of regulations than regular investors in Markel. Please pay attention to any change in the institutional holdings of Markel as this could imply that something significant has changed or is about to change at the company. Please note that on February 11, 2023, Representative Thomas H Kean of US Congress acquired under $15k worth of Markel's common stock.Markel Profitability Analysis
The company reported the last year's revenue of 16.62 B. Total Income to common stockholders was 2.85 B with profit before taxes, overhead, and interest of 8.59 B.About Markel Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of Markel. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Markel based exclusively on its fundamental and basic technical indicators. By analyzing Markel's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of Markel's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of Markel. We calculate exposure to Markel's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Markel's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 16.6 B | 17.5 B | |
| Pretax Profit Margin | 0.22 | 0.22 | |
| Operating Profit Margin | 0.22 | 0.12 | |
| Net Profit Margin | 0.17 | 0.10 | |
| Gross Profit Margin | 1.00 | 1.09 |
Markel Quarterly Retained Earnings |
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Markel Growth Indicators
Investing in growth stocks can be very risky. If the company such as Markel does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 13 M | |
| Quarterly Earnings Growth Y O Y | -0.314 | |
| Forward Price Earnings | 16.6667 |
Markel Current Valuation Indicators
Markel's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Markel's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Markel, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Markel's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Markel's worth.When determining whether Markel is a strong investment it is important to analyze Markel's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Markel's future performance. For an informed investment choice regarding Markel Stock, refer to the following important reports: Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Markel. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in industry. For more information on how to buy Markel Stock please use our How to buy in Markel Stock guide.You can also try the AI Portfolio Architect module to use AI to generate optimal portfolios and find profitable investment opportunities.
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 Markel. If investors know Markel 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 Markel 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 (0.31) | Earnings Share 199.39 | Revenue Per Share | Quarterly Revenue Growth (0.17) | Return On Assets |
The market value of Markel is measured differently than its book value, which is the value of Markel that is recorded on the company's balance sheet. Investors also form their own opinion of Markel's value that differs from its market value or its book value, called intrinsic value, which is Markel'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 Markel's market value can be influenced by many factors that don't directly affect Markel's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Markel's value and its price as these two are different measures arrived at by different means. Investors typically determine if Markel is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Markel'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.