American Overseas Group (AOREF) AI Stock Analysis

• Market Cap: $57.55M
• Dividend Yield: N/A
• Average Volume (3M): 1.00
• Price to Earnings (P/E): 5.1
• Beta (1Y): -0.26
• Revenue Growth: 23.10%
• EPS Growth: 44.90%
• Country: US
• Employees: 15
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Reinsurance
• EPS (TTM): N/A
• Shares Outstanding: 46,979
• 10 Day Avg. Volume: 3
• 30 Day Avg. Volume: 1
• PEG Ratio: 0.02
• Price to Book (P/B): 0.36
• Price to Sales (P/S): 0.22
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 77 Outperform
• Price Target: $1,362.00 ▲(7.33% Upside)

The overall stock score of 77 reflects strong technical momentum and attractive valuation, despite financial performance concerns related to cash flow management. The stock's undervaluation and bullish technical indicators are the most significant factors driving the score.

American Overseas Group Business Overview & Revenue Model

Company Description

American Overseas Group (AOREF) is an international insurance and reinsurance company focused on providing a range of specialty insurance products and services. Operating primarily in the property and casualty sector, AOREF serves diverse markets, including marine, aviation, and general liability. The company's core offerings include underwriting services, risk management, and claims handling, catering to both individual and corporate clients across various geographical regions.

How the Company Makes Money

AOREF generates revenue primarily through the underwriting of insurance and reinsurance policies, collecting premiums from clients in exchange for coverage against specified risks. The company also earns income from investment activities, as premiums collected are invested in various financial instruments until claims are made. Key revenue streams include marine and aviation insurance policies, which often involve higher premiums due to the specialized nature of the risks involved. Additionally, partnerships with brokers and agents enhance AOREF's market reach and contribute to its earnings by facilitating access to a wider client base. Factors such as effective risk management, claims control, and strategic investment of reserves play a significant role in optimizing the company's profitability.

American Overseas Group Financial Statement Overview

Summary

American Overseas Group has shown significant improvement in financial performance, with strong revenue and profit growth. The balance sheet reflects moderate leverage, providing financial stability, albeit with potential risk due to low equity ratio. Cash flow generation is robust, supporting operational needs. Overall, the company is on a positive trajectory but should monitor liabilities to maintain financial health.

Income Statement

The company has shown strong revenue growth with a Revenue Growth Rate of 49.20% in the latest year. The Gross Profit Margin is consistently high at 100%, indicating effective cost management. The Net Profit Margin has improved to 10.75% from a negative position, signaling a turnaround in profitability. However, the negative EBITDA indicates potential challenges in operational cash flow generation.

Balance Sheet

The Debt-to-Equity Ratio is 0.57, showing a moderate level of leverage, which suggests the company has a balanced approach to using debt. The Return on Equity is 14.70%, reflecting strong returns for shareholders. However, the Equity Ratio is relatively low at 3.68%, indicating a high reliance on liabilities to finance assets, which could pose risks if liabilities increase.

Cash Flow

Operating Cash Flow to Net Income Ratio is robust at 7.16, indicating efficient cash flow generation from operations. The Free Cash Flow has significantly improved, and the Free Cash Flow to Net Income Ratio is favorable at 7.16. The company demonstrates strong cash flow management, although previous years showed volatility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	78.44M	75.22M	49.62M	33.26M	32.71M	24.56M
Gross Profit	78.44M	75.22M	49.62M	33.26M	32.71M	24.56M
EBITDA	16.68M	14.47M	-2.24M	867.22K	0.00	-3.53M
Net Income	11.16M	9.40M	5.33M	-948.87K	-4.92M	-5.01M
Balance Sheet
Total Assets	1.19B	873.47M	985.22M	531.22M	495.21M	415.14M
Cash, Cash Equivalents and Short-Term Investments	0.00	51.46M	56.85M	32.21M	31.91M	24.25M
Total Debt	20.77M	20.77M	20.77M	19.62M	16.52M	16.52M
Total Liabilities	1.14B	827.59M	948.62M	495.59M	452.14M	365.75M
Stockholders Equity	50.96M	45.88M	36.30M	30.18M	37.02M	43.33M
Cash Flow
Free Cash Flow	2.74M	6.12M	38.21M	3.31M	16.78M	-54.05M
Operating Cash Flow	2.74M	6.12M	36.09M	3.31M	16.78M	-54.05M
Investing Cash Flow	-13.11M	-10.17M	-14.19M	-4.04M	-4.65M	56.06M
Financing Cash Flow	-2.31M	-2.31M	-255.02K	562.80K	-585.25K	-10.37M

American Overseas Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1269.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AOREF, the sentiment is Positive. The current price of 1269 is above the 20-day moving average (MA) of 1144.26, above the 50-day MA of 1062.90, and above the 200-day MA of 686.21, indicating a bullish trend. The MACD of 58.08 indicates Negative momentum. The RSI at 70.84 is Negative, neither overbought nor oversold. The STOCH value of 93.28 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AOREF.

American Overseas Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
HG	―	$2.35B	6.27	15.86%	―	28.86%	-11.22%
RNR	―	$11.72B	7.00	15.12%	0.63%	-4.26%	-47.61%
AOREF	―	$57.55M	5.08	23.95%	―	23.10%	44.90%
Sector *	―	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
SPNT	―	$2.13B	11.51	4.82%	―	-4.56%	-55.48%
GLRE	―	$414.48M	11.06	5.82%	―	2.18%	-41.11%
OXBR	―	$11.61M	-3.49	-58.30%	―	―	78.09%