SCOR (SCR) AI Stock Analysis

• Market Cap: €5.08B
• Dividend Yield: 6.35%
• Average Volume (3M): 449.32K
• Price to Earnings (P/E): 5.8
• Beta (1Y): 1.36
• Revenue Growth: -2.52%
• EPS Growth: N/A
• Country: FR
• Employees: 3,621
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Reinsurance
• EPS (TTM): 1.18
• Shares Outstanding: 179,363,700
• 10 Day Avg. Volume: 549,487
• 30 Day Avg. Volume: 449,316
• PEG Ratio: -10.64
• Price to Book (P/B): 0.94
• Price to Sales (P/S): 0.27
• P/FCF Ratio: 4.73
• 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: €32.04
• Price Target Upside: 12.66% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 59 Neutral
• Price Target: €27.00 ▼(-5.06% Downside)

SCOR's overall stock score is primarily influenced by its financial performance and valuation. The company faces challenges with fluctuating revenues and low profitability, but strong cash flows provide some stability. The stock's valuation is attractive due to a low P/E ratio and high dividend yield. However, technical analysis indicates bearish momentum, which negatively impacts the score.

Positive Factors

Cash Generation

Strong cash generation supports operational resilience, allowing SCOR to invest in growth opportunities and weather financial challenges.

Business Model Strength

SCOR's diversified reinsurance model provides a stable revenue base, leveraging strong client relationships and underwriting expertise.

Partnerships and Client Relationships

Strong partnerships and client relationships bolster SCOR's market position, supporting sustained earnings growth and competitive advantage.

Negative Factors

Revenue Volatility

Revenue volatility poses challenges for long-term planning and stability, potentially impacting SCOR's ability to maintain consistent growth.

Low Profitability

Low profitability limits SCOR's ability to reinvest in the business and reward shareholders, affecting long-term financial health.

Declining Equity Ratio

A declining equity ratio suggests increased financial risk, potentially impacting SCOR's ability to finance growth sustainably.

SCOR Business Overview & Revenue Model

Company Description

SCOR SE, together with its subsidiaries, provides life and non-life reinsurance products in Europe, the Middle East, Africa, the Americas, Latin America, and Asia Pacific. It operates through two segments, SCOR Global P&C and SCOR Global Life. The SCOR Global P&C segment offers reinsurance products in the areas of property, motors, casualty treaties, credit and surety, decennial insurance, aviation, marine and energy, engineering, agricultural risks, and property catastrophes; specialties insurance products, including business solutions, political and credit risks, cyber, and environmental impairment liability; and business ventures and partnerships. The SCOR Global Life segment provides life reinsurance products, including protection for mortality, morbidity, behavioral risks, disability, long-term care, critical illness, medical, and personal accident. This segment also provides financial solutions that combine traditional life reinsurance with financial components and provide liquidity, balance sheet, solvency, and income improvements to clients; longevity solutions that include products covering the risk of negative deviation from expected results due to the insured or annuitant living longer than assumed in the pricing of insurance covers provided by insurers or pension funds; and distribution solutions. In addition, it is involved in the asset management business. The company was founded in 1970 and is headquartered in Paris, France.

How the Company Makes Money

SCOR generates revenue primarily through its reinsurance operations, which involve underwriting risks for insurance companies and other entities. The company receives premiums from its clients in exchange for assuming a portion of their risk. Key revenue streams include life reinsurance, which covers mortality and morbidity risks, and property and casualty reinsurance, which addresses risks associated with physical assets. Additionally, SCOR offers specialty insurance products that cater to niche markets. The company also invests the premiums it collects, earning investment income, which contributes significantly to its overall profitability. SCOR has established partnerships with various insurance companies globally, enhancing its market reach and enabling it to diversify its risk portfolio, which further supports its revenue generation efforts.

SCOR Financial Statement Overview

Summary

SCOR faces challenges with fluctuating revenues and low profitability. While the balance sheet shows moderate leverage, the declining equity ratio could pose future risks. Cash flows remain a strength, providing some stability amidst operational inefficiencies.

Income Statement

SCOR's revenue has experienced volatility, with a significant drop in 2022 but some recovery in 2023. Net profit margins are low, indicating challenges in maintaining profitability. EBIT and EBITDA margins have also been inconsistent, reflecting operational inefficiencies.

Balance Sheet

The company's debt-to-equity ratio is moderate, suggesting balanced leverage. However, the equity ratio has declined over time, indicating a potential risk in asset financing. Return on equity is low, reflecting limited profitability relative to shareholders' equity.

Cash Flow

Operating cash flow is robust compared to net income, illustrating strong cash generation capabilities. Free cash flow has been positive and stable, albeit with slower growth in recent years. Overall, cash flows support operational resilience.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	14.35B	15.65B	15.84B	16.44B	15.99B	15.41B
Gross Profit	14.35B	14.83B	15.16B	12.61B	12.11B	12.03B
EBITDA	1.00B	520.00M	1.58B	-1.32B	1.23B	578.00M
Net Income	541.00M	4.00M	812.00M	-1.38B	456.00M	234.00M
Balance Sheet
Total Assets	35.82B	37.35B	35.48B	34.99B	51.58B	46.22B
Cash, Cash Equivalents and Short-Term Investments	21.19B	22.08B	20.90B	1.83B	2.08B	1.80B
Total Debt	3.50B	3.56B	3.24B	3.13B	3.06B	3.03B
Total Liabilities	31.69B	32.82B	30.75B	3.13B	3.06B	3.03B
Stockholders Equity	4.13B	4.52B	4.69B	4.32B	6.41B	6.16B
Cash Flow
Free Cash Flow	1.12B	895.00M	1.34B	430.00M	2.32B	853.00M
Operating Cash Flow	1.16B	903.00M	1.38B	500.00M	2.41B	988.00M
Investing Cash Flow	-361.00M	-183.00M	-954.00M	-269.00M	-1.54B	-464.00M
Financing Cash Flow	-277.00M	-213.00M	-323.00M	-567.00M	-674.00M	-41.00M

SCOR Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 28.44
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FR:SCR, the sentiment is Positive. The current price of 28.44 is above the 20-day moving average (MA) of 27.27, above the 50-day MA of 27.89, and above the 200-day MA of 27.73, indicating a bullish trend. The MACD of 0.11 indicates Negative momentum. The RSI at 64.25 is Neutral, neither overbought nor oversold. The STOCH value of 93.64 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FR:SCR.

SCOR Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BNP	77 Outperform	€88.65B	8.55	9.50%	9.16%	-6.55%	14.18%
CS	75 Outperform	€84.58B	11.71	17.06%	5.23%	-0.94%	8.47%
GLE	72 Outperform	€44.95B	10.82	7.47%	2.49%	-14.11%	180.83%
COFA	70 Outperform	€2.32B	10.09	10.78%	9.02%	2.09%	-11.21%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
AMUN	60 Neutral	€14.34B	8.54	14.33%	6.07%	18.42%	37.83%
SCR	59 Neutral	€5.08B	5.81	20.25%	6.35%	-2.52%	―