Aspen Insurance Holdings Ltd Class A (AHL) AI Stock Analysis

• Market Cap: $3.43B
• Dividend Yield: N/A
• Average Volume (3M): 301.66K
• Price to Earnings (P/E): ―
• Beta (1Y): -0.17
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 1,128
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Property & Casualty
• EPS (TTM): 1.08
• Shares Outstanding: 91,838,360
• 10 Day Avg. Volume: 267,114
• 30 Day Avg. Volume: 301,659
• PEG Ratio: -0.13
• Price to Book (P/B): 0.88
• Price to Sales (P/S): 0.92
• P/FCF Ratio: 5.49
• Enterprise Value/Market Cap: 0.76
• Enterprise Value/Revenue: 0.81
• Enterprise Value/Gross Profit: 2.29
• Enterprise Value/Ebitda: 5.08
• 1Y Price Target: $37.50
• Price Target Upside: 0.40% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 73 Outperform
• Price Target: $41.00 ▲(9.77% Upside)

The score is driven primarily by strong recent financial performance and a conservatively levered balance sheet, partially offset by historically volatile earnings/cash flows and a sharp recent decline in free cash flow. Technicals are mildly supportive, while valuation confidence is limited due to missing P/E and dividend data.

Positive Factors

Revenue Growth

The robust revenue growth rate indicates Aspen's successful market expansion and product adoption, strengthening its competitive position in the insurance industry.

Balance Sheet Health

Low leverage and a strong equity base provide Aspen with financial flexibility, reducing risk and supporting sustainable long-term operations.

Cash Flow Generation

Improved cash generation capabilities enhance Aspen's ability to invest in growth opportunities and manage liabilities, ensuring long-term financial health.

Negative Factors

Profitability Challenges

Despite strong revenue growth, declining net income suggests potential issues in cost management or market conditions, which could impact future profitability.

Cash Flow Coverage

Limited cash flow coverage may hinder Aspen's ability to meet financial obligations and invest in growth, posing a risk to long-term financial stability.

Acquisition Uncertainty

The acquisition by Sompo Holdings introduces uncertainty regarding strategic direction and potential integration challenges, impacting Aspen's future operations.

Aspen Insurance Holdings Ltd Class A Business Overview & Revenue Model

Company Description

Aspen Insurance Holdings Limited, together with its subsidiaries, engages in the insurance and reinsurance businesses in Australia, Asia, the United Kingdom, Ireland, rest of Europe, the United States, Canada, and internationally. It offers various reinsurance and retrocession products, including property catastrophe reinsurance, other property reinsurance, casualty reinsurance, and specialty reinsurance; and various insurance products, such as first party insurance, specialty insurance, casualty insurance, financial and professional lines insurance, and other insurance. The company offers its products primarily through brokers and reinsurance intermediaries. The company was formerly known as Exali Reinsurance Holdings Ltd and changed its name to Aspen Insurance Holdings Limited in November 2002. Aspen Insurance Holdings Limited was incorporated in 2002 and is headquartered in Hamilton, Bermuda.

How the Company Makes Money

Aspen Insurance Holdings generates revenue primarily through the collection of premiums from its insurance and reinsurance policies. The company charges clients upfront premiums in exchange for assuming the risk of various insured events. Key revenue streams include premium income from property and casualty insurance, as well as reinsurance contracts that cover risks taken on by other insurers. Additionally, Aspen earns investment income from the assets held in its investment portfolio, which includes fixed-income securities and equities. Significant partnerships with brokers and agents also play a crucial role in driving new business opportunities and expanding its market reach, thereby contributing to its overall earnings.

Aspen Insurance Holdings Ltd Class A Financial Statement Overview

Summary

Strong recent profitability (TTM net income $454M; ~14.3% net margin) with solid ROE (~13.6% TTM) and low leverage (debt-to-equity ~0.09). The main risk is cyclicality/volatility: earnings were near breakeven in 2021–2022 and negative in 2020, and free cash flow fell sharply (~-40% TTM vs prior year) with historically inconsistent cash flow.

Income Statement

Profitability has improved meaningfully versus earlier years: TTM (Trailing-Twelve-Months) net income is $454M with a ~14.3% net margin, following strong profitability in 2023–2024 (~15–18% net margins). Revenue has also expanded (TTM revenue up ~145% vs the prior period shown, though that growth rate looks unusually high and may reflect a lumpy comparison). The main weakness is margin variability across the cycle—results were near breakeven in 2021–2022 and negative in 2020—highlighting sensitivity to underwriting/claims and market conditions.

Balance Sheet

The balance sheet appears conservatively levered: TTM debt-to-equity is low (~0.09) and equity is sizable at ~$3.47B against ~$16.41B of assets. Returns on equity are solid in recent periods (TTM ~13.6%; 2023–2024 ~14–18%), supporting capital strength. The key watch-out is that profitability (and therefore capital generation) has historically been volatile, so maintaining these returns is important for resilience in a stressed underwriting year.

Cash Flow

Cash generation is positive in the latest period, with TTM operating cash flow of ~$312M and free cash flow of ~$286M, and free cash flow running at ~0.92x net income—generally good earnings quality. However, free cash flow declined sharply versus the prior year (TTM growth ~-40%), and cash flow has been inconsistent historically (notably negative operating/free cash flow in 2020 and 2022), which lowers confidence in durability through the cycle.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	3.21B	3.20B	2.89B	2.64B	2.59B	2.72B
Gross Profit	1.13B	1.06B	961.40M	531.00M	478.20M	417.60M
EBITDA	511.30M	535.10M	479.50M	70.10M	114.70M	53.50M
Net Income	453.90M	486.10M	534.70M	51.10M	29.80M	-56.40M
Balance Sheet
Total Assets	16.41B	15.75B	15.22B	15.16B	13.84B	13.09B
Cash, Cash Equivalents and Short-Term Investments	0.00	5.89B	5.26B	4.81B	6.21B	6.22B
Total Debt	296.60M	375.60M	386.10M	395.40M	415.10M	405.90M
Total Liabilities	12.94B	12.38B	12.32B	12.80B	11.07B	10.20B
Stockholders Equity	3.47B	3.37B	2.91B	2.36B	2.77B	2.89B
Cash Flow
Free Cash Flow	285.90M	537.40M	315.80M	-55.00M	460.20M	-713.40M
Operating Cash Flow	311.70M	554.90M	324.70M	-55.00M	524.70M	-672.70M
Investing Cash Flow	-399.50M	-352.80M	-172.20M	-196.50M	-950.30M	1.15B
Financing Cash Flow	-32.00M	-307.90M	-90.20M	-84.60M	500.00K	223.50M

Aspen Insurance Holdings Ltd Class A Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HG	82 Outperform	$2.68B	6.22	17.62%	―	22.79%	-5.17%
SKWD	81 Outperform	$1.82B	13.31	16.06%	―	22.51%	2.19%
SPNT	76 Outperform	$2.31B	12.74	8.09%	―	7.87%	-4.68%
SYBT	74 Outperform	$2.01B	14.34	13.69%	1.88%	11.74%	26.27%
AHL	73 Outperform	$3.43B	―	13.97%	―	―	―
ROOT	70 Neutral	$1.08B	21.10	17.02%	―	38.50%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Aspen Insurance Holdings Ltd Class A Corporate Events

Aspen Insurance Announces Dividends on Preference Shares

On December 1, 2025, Aspen Insurance Holdings Limited announced dividends on its preference shares, payable on January 1, 2026, to holders of record as of December 15, 2025. This announcement reflects Aspen’s ongoing commitment to providing returns to its shareholders and may influence its market positioning by reinforcing investor confidence.

The most recent analyst rating on (AHL) stock is a Hold with a $37.50 price target. To see the full list of analyst forecasts on Aspen Insurance Holdings Ltd Class A stock, see the AHL Stock Forecast page.

Aspen Insurance Reports Strong Q3 2025 Results Amid Sompo Group Acquisition

On November 13, 2025, Aspen Insurance Holdings Limited announced its financial results for the third quarter and the first nine months of 2025, showing strong performance with a net income of $111 million for the quarter and $166 million for the nine months. The company reported improvements in its combined ratio and growth in fee income from Aspen Capital Markets. The announcement highlighted Aspen’s strategic focus on underwriting discipline and sustainable profitability, as well as its ongoing acquisition by the Sompo Group, expected to close in the first half of 2026.

The most recent analyst rating on (AHL) stock is a Hold with a $37.50 price target. To see the full list of analyst forecasts on Aspen Insurance Holdings Ltd Class A stock, see the AHL Stock Forecast page.