Is American Financial Stock a Good Investment?
American Financial Investment Advice | AFGE |
- Examine American Financial'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 American Financial's leadership team and their track record. Good management can help American Financial 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 American Financial's business and its evolving consumer preferences.
- Compare American Financial's performance and market position to its competitors. Analyze how American Financial is positioned in terms of product offerings, innovation, and market share.
- Check if American Financial pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about American Financial'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 American Financial 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 American Financial Group is a good investment.
Sell | Buy |
Strong Buy
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Slowly supersedes the market | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Not Available | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Possible Manipulator | Details |
Examine American Financial Stock
Researching American Financial'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). The company last dividend was issued on the 17th of March 2025.
To determine if American Financial 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 American Financial's research are outlined below:
| American Financial generated a negative expected return over the last 90 days | |
| American Financial has a strong financial position based on the latest SEC filings | |
| Latest headline from aol.com: 5 things to watch as the federal buyout deadline approaches |
American Financial's market capitalization trends
The company currently falls under 'Mid-Cap' category with a current market capitalization of 9.87 B.Market Cap |
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American Financial's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.03 | 0.02 | |
| Return On Capital Employed | 0.04 | 0.03 | |
| Return On Assets | 0.03 | 0.02 | |
| Return On Equity | 0.18 | 0.19 |
Determining American Financial's profitability involves analyzing its financial statements and using various financial metrics to determine if American Financial is a good buy. For example, gross profit margin measures American Financial'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 American Financial's profitability and make more informed investment decisions.
Please note, the presentation of American Financial's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, American Financial's management is honest, while the outside auditors are strict and uncompromising. Please utilize our Beneish M Score to check the likelihood of American Financial's management manipulating its earnings.
Evaluate American Financial's management efficiency
The current year's Return On Equity is expected to grow to 0.19, whereas Return On Tangible Assets are forecasted to decline to 0.02. At present, American Financial's Non Currrent Assets Other are projected to increase significantly based on the last few years of reporting. The current year's Other Assets is expected to grow to about 6.5 B, whereas Intangible Assets are forecasted to decline to about 567.4 M. American Financial's management efficiency ratios could be used to measure how well American Financial manages its routine affairs as well as how well it operates its assets and liabilities.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 45.24 | 26.62 | |
| Tangible Book Value Per Share | 42.00 | 24.46 | |
| Enterprise Value Over EBITDA | 9.67 | 9.44 | |
| Price Book Value Ratio | 2.13 | 2.23 | |
| Enterprise Value Multiple | 9.67 | 9.44 | |
| Price Fair Value | 2.13 | 2.23 | |
| Enterprise Value | 7.7 B | 8.1 B |
At American Financial, 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 American Stock
As of the 16th of February 2025, American Financial shows the risk adjusted performance of (0.11), and Mean Deviation of 0.7864. American Financial technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Please confirm American Financial standard deviation, as well as the relationship between the treynor ratio and potential upside to decide if American Financial is priced correctly, providing market reflects its regular price of 18.06 per share. Given that American Financial has information ratio of (0.17), we suggest you to validate American Financial Group's prevailing market performance to make sure the company can sustain itself at a future point.American Financial'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 American Financial insiders, such as employees or executives, is commonly permitted as long as it does not rely on American Financial'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 American Financial 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.
Gregory Joseph over two weeks ago Acquisition by Gregory Joseph of 140 shares of American Financial subject to Rule 16b-3 | ||
Michelle Gillis over a month ago Acquisition by Michelle Gillis of 2422 shares of American Financial subject to Rule 16b-3 | ||
John Berding over a month ago Discretionary transaction by John Berding of tradable shares of American Financial subject to Rule 16b-3 | ||
Gregory Joseph over two months ago Acquisition by Gregory Joseph of 210 shares of American Financial subject to Rule 16b-3 | ||
Jacobs Terry S over six months ago Disposition of 761 shares by Jacobs Terry S of American Financial at 115.84 subject to Rule 16b-3 |
American Financial's Outstanding Corporate Bonds
American Financial 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. American Financial 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 American bonds can be classified according to their maturity, which is the date when American Financial 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.
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Understand American Financial's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing American Financial'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 | (0.11) | |||
| Market Risk Adjusted Performance | (0.38) | |||
| Mean Deviation | 0.7864 | |||
| Coefficient Of Variation | (630.02) | |||
| Standard Deviation | 1.02 | |||
| Variance | 1.04 | |||
| Information Ratio | (0.17) | |||
| Jensen Alpha | (0.17) | |||
| Total Risk Alpha | (0.17) | |||
| Treynor Ratio | (0.39) | |||
| Maximum Drawdown | 4.43 | |||
| Value At Risk | (1.89) | |||
| Potential Upside | 1.55 | |||
| Skewness | 0.3032 | |||
| Kurtosis | 0.1158 |
| Risk Adjusted Performance | (0.11) | |||
| Market Risk Adjusted Performance | (0.38) | |||
| Mean Deviation | 0.7864 | |||
| Coefficient Of Variation | (630.02) | |||
| Standard Deviation | 1.02 | |||
| Variance | 1.04 | |||
| Information Ratio | (0.17) | |||
| Jensen Alpha | (0.17) | |||
| Total Risk Alpha | (0.17) | |||
| Treynor Ratio | (0.39) | |||
| Maximum Drawdown | 4.43 | |||
| Value At Risk | (1.89) | |||
| Potential Upside | 1.55 | |||
| Skewness | 0.3032 | |||
| Kurtosis | 0.1158 |
Consider American Financial's intraday indicators
American Financial 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 American Financial 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.
American Financial Corporate Filings
| 13th of February 2025 Other Reports | ViewVerify | |
| 11th of February 2025 Other Reports | ViewVerify | |
F5 | 10th of February 2025 The annual filing required by the Securities and Exchange Commission (SEC) from company insiders or beneficial owners | ViewVerify |
8K | 5th of February 2025 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
American Stock media impact
Far too much social signal, news, headlines, and media speculation about American Financial that are available to investors today. That information is available publicly through American media outlets and privately through word of mouth or via American internal channels. However, regardless of the origin, that massive amount of American 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 American Financial 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 American Financial 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 American Financial's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive American Financial alpha.
American Financial Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards American Financial 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.
American Financial Corporate Directors
| William Verity | Independent Director | Profile | |
| James Evans | Director | Profile | |
| Gregory Joseph | Lead Independent Director | Profile | |
| Terry Jacobs | Independent Director | Profile |
Already Invested in American Financial Group?
The danger of trading American Financial Group is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of American Financial is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than American Financial. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile American Financial is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether American Financial is a strong investment it is important to analyze American Financial'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 American Financial's future performance. For an informed investment choice regarding American Stock, refer to the following important reports: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in American Financial 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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
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 American Financial. If investors know American 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 American Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of American Financial is measured differently than its book value, which is the value of American that is recorded on the company's balance sheet. Investors also form their own opinion of American Financial's value that differs from its market value or its book value, called intrinsic value, which is American Financial'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 American Financial's market value can be influenced by many factors that don't directly affect American Financial'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 American Financial's value and its price, as these two are different measures arrived at by various means. Investors typically determine if American Financial is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, American Financial'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.