🫡

His DD was high effort, but he wasn’t looking at industry specific metrics and kind of missed the entire point of why they have the valuation they do.

During this bear market, everyone has just pointed at PE as the end all be all for all companies. It seems like everyone thinks every single company is going to be valued like INTL, or that INTL is a buy without digging deeper into their reason for their valuations. In an industry like insurance that perspective is even more skewed, because CAT losses can wreck earnings, but that does not necessarily indicate anything about future performance.

They have strong growth, are transitioning smoothly to the next gen of insurance products, good retention, a solid balance sheet and brand value. I think this is a losing bet.