(UFCS) United Fire - Overview
Sector: Financial Services | Industry: Insurance - Property & Casualty | Exchange: NASDAQ (USA) | Market Cap: 1.210m USD | Total Return: 68.1% in 12m
Avg Turnover: 6.42M
Qual. Beats: 0
Rev. Trend: 99.6%
Qual. Beats: 0
Warnings
Below Avwap Earnings
Tailwinds
Rs Leader, Idiosyncratic Leader, Confidence
United Fire Group, Inc. (UFCS) is a Cedar Rapids-based insurance provider specializing in property and casualty (P&C) coverage and surety bonds for small and middle-market businesses. Its commercial portfolio spans construction, manufacturing, and retail sectors, with additional offerings in marine specialty, professional liability, and reinsurance. The company operates through an independent agency distribution model, utilizing local intermediaries to manage client relationships and policy placement.
The P&C sector relies heavily on the combined ratio to measure underwriting profitability, where a value under 100% indicates an insurance profit before accounting for investment income. As a regional carrier, United Fire Group manages geographic risk concentration by diversifying across fire, workers compensation, and surplus lines. For a deeper look into these financial metrics, ValueRay provides detailed historical data. This diversified approach allows the firm to mitigate volatility inherent in specific commercial industries or regional catastrophe events.
- Underwriting profitability improvement in commercial lines stabilizes property and casualty margins
- Catastrophe loss exposure from severe weather events impacts quarterly earnings volatility
- Investment income growth follows rising interest rates and fixed income yields
- Independent agency network expansion drives small and middle market premium growth
- Reserve development trends and claims inflation affect long term loss ratios
| Net Income: 130.5m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.08 > 0.02 and ΔFCF/TA -1.45 > 1.0 |
| NWC/Revenue: -131.6% < 20% (prev -86.24%; Δ -45.38% < -1%) |
| CFO/TA 0.08 > 3% & CFO 290.7m > Net Income 130.5m |
| Net Debt (-15.8m) to EBITDA (175.3m): -0.09 < 3 |
| Current Ratio: 0.27 > 1.5 & < 3 |
| Outstanding Shares: last quarter (26.1m) vs 12m ago -0.53% < -2% |
| Gross Margin: 34.16% > 18% (prev 0.19%; Δ 3.40k% > 0.5%) |
| Asset Turnover: 39.73% > 50% (prev 36.48%; Δ 3.25% > 0%) |
| Interest Coverage Ratio: 13.71 > 6 (EBITDA TTM 175.3m / Interest Expense TTM 12.0m) |
| A: -0.51 (Total Current Assets 708.4m - Total Current Liabilities 2.59b) / Total Assets 3.65b |
| B: 0.20 (Retained Earnings 747.3m / Total Assets 3.65b) |
| C: 0.05 (EBIT TTM 164.1m / Avg Total Assets 3.59b) |
| D: 0.27 (Book Value of Equity 726.5m / Total Liabilities 2.70b) |
| Altman-Z'' = -2.12 = D |
| DSRI: 1.09 (Receivables 546.4m/452.6m, Revenue 1.43b/1.29b) |
| GMI: 0.54 (GM 34.16% / 18.60%) |
| AQI: 0.99 (AQ_t 0.77 / AQ_t-1 0.78) |
| SGI: 1.11 (Revenue 1.43b / 1.29b) |
| TATA: -0.04 (NI 130.5m - CFO 290.7m) / TA 3.65b) |
| Beneish M = -3.34 (Cap -4..+1) = AA |
As of May 26, 2026, the stock is trading at USD 47.17 with a total of 175,900 shares traded.
Over the past week, the price has changed by -1.85%,
over one month by +16.56%,
over three months by +23.38% and
over the past year by +68.07%.
United Fire has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy UFCS.
- StrongBuy: 1
- Buy: 0
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 51 | 8.1% |
P/E Trailing = 9.5101
P/E Forward = 14.1044
P/S = 0.8494
P/B = 1.299
P/EG = 1.4105
Revenue TTM = 1.43b USD
EBIT TTM = 164.1m USD
EBITDA TTM = 175.3m USD
Long Term Debt = 146.3m USD (from longTermDebt, last quarter)
Short Term Debt = 7.61m USD (from shortTermDebt, last fiscal year)
Debt = 146.3m USD (from shortLongTermDebtTotal, last quarter)
Net Debt = -15.8m USD (calculated: Debt 146.3m - CCE 162.0m)
Enterprise Value = 1.19b USD (1.21b + Debt 146.3m - CCE 162.0m)
Interest Coverage Ratio = 13.71 (Ebit TTM 164.1m / Interest Expense TTM 12.0m)
EV/FCF = 4.17x (Enterprise Value 1.19b / FCF TTM 286.4m)
FCF Yield = 23.97% (FCF TTM 286.4m / Enterprise Value 1.19b)
FCF Margin = 20.08% (FCF TTM 286.4m / Revenue TTM 1.43b)
Net Margin = 9.16% (Net Income TTM 130.5m / Revenue TTM 1.43b)
Gross Margin = 34.16% ((Revenue TTM 1.43b - Cost of Revenue TTM 938.8m) / Revenue TTM)
Gross Margin QoQ = 43.67% (prev 47.30%)
Tobins Q-Ratio = 0.33 (Enterprise Value 1.19b / Total Assets 3.65b)
Interest Expense / Debt = 8.18% (Interest Expense 12.0m / Debt 146.3m)
Taxrate = 20.94% (7.96m / 38.0m)
NOPAT = 129.7m (EBIT 164.1m * (1 - 20.94%))
Current Ratio = 0.27 (Total Current Assets 708.4m / Total Current Liabilities 2.59b)
Debt / Equity = 0.15 (Debt 146.3m / totalStockholderEquity, last quarter 950.6m)
Debt / EBITDA = -0.09 (Net Debt -15.8m / EBITDA 175.3m)
Debt / FCF = -0.06 (Net Debt -15.8m / FCF TTM 286.4m)
Total Stockholder Equity = 909.0m (last 4 quarters mean from totalStockholderEquity)
RoA = 3.64% (Net Income 130.5m / Total Assets 3.65b)
RoE = 14.36% (Net Income TTM 130.5m / Total Stockholder Equity 909.0m)
RoCE = 15.55% (EBIT 164.1m / Capital Employed (Equity 909.0m + L.T.Debt 146.3m))
RoIC = 12.10% (NOPAT 129.7m / Invested Capital 1.07b)
WACC = 8.01% (E(1.21b)/V(1.36b) * Re(8.20%) + D(146.3m)/V(1.36b) * Rd(8.18%) * (1-Tc(0.21)))
Discount Rate = 8.20% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 71.91 | Cagr: 1.10%
[DCF] Terminal Value 73.51% ; FCFF base≈303.0m ; Y1≈271.7m ; Y5≈229.5m
[DCF] Fair Price = 143.4 (EV 3.66b - Net Debt -15.8m = Equity 3.68b / Shares 25.7m; r=8.35% [WACC [floored]]; 5y FCF grow -12.71% → 2.50% )
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.68 | # QB: 0
Revenue Correlation: 99.61 | Revenue CAGR: 11.85% | SUE: 0.18 | # QB: 0
EPS current Quarter (2026-06-30): EPS=0.69 | Chg30d=+101.45% | Revisions=N/A | Analysts=2
EPS next Quarter (2026-09-30): EPS=1.31 | Chg30d=+4.37% | Revisions=N/A | Analysts=2
EPS current Year (2026-12-31): EPS=4.54 | Chg30d=+26.78% | Revisions=N/A | GrowthEPS=-1.2% | GrowthRev=+11.3%
EPS next Year (2027-12-31): EPS=4.53 | Chg30d=+21.45% | Revisions=+20% | GrowthEPS=-0.3% | GrowthRev=+16.1%
[Analyst] Revisions Ratio: +20%