Trisura Group Ltd (TSU) AI Stock Analysis

• Market Cap: C$1.90B
• Dividend Yield: N/A
• Average Volume (3M): 87.81K
• Price to Earnings (P/E): 15.4
• Beta (1Y): 1.00
• Revenue Growth: 0.67%
• EPS Growth: 11.59%
• Country: CA
• Employees: 159
• Sector: Financial
• Sector Strength: 70
• Industry: Insurance - Specialty
• EPS (TTM): 0.71
• Shares Outstanding: 47,567,050
• 10 Day Avg. Volume: 56,915
• 30 Day Avg. Volume: 87,806
• PEG Ratio: 0.21
• Price to Book (P/B): 2.36
• Price to Sales (P/S): 2.38
• P/FCF Ratio: 16.02
• 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: C$57.00
• Price Target Upside: 42.71% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 78 Outperform
• Price Target: C$45.00 ▲(12.67% Upside)

Trisura Group Ltd's overall stock score reflects strong financial performance and positive earnings call insights, highlighting growth in primary lines and investment income. Technical indicators are neutral, and the valuation is reasonable. The absence of a dividend yield is a minor drawback.

Positive Factors

Revenue Growth

The 16% increase in net insurance revenue indicates strong demand for Trisura's products, supporting long-term growth and market expansion.

U.S. Market Expansion

Strategic expansion in the U.S. market enhances Trisura's growth potential and diversifies revenue streams, reducing reliance on Canadian operations.

Strong Cash Flow

Significant free cash flow growth underscores Trisura's ability to generate cash, supporting reinvestment and financial stability over the long term.

Negative Factors

Premium Decline in Canadian Fronting

Declining premiums in Canadian Fronting suggest competitive challenges, potentially impacting revenue and profitability in this segment.

Higher Expense Ratios

Rising expense ratios could pressure margins, affecting profitability unless offset by revenue growth or cost management improvements.

Competitive Pressure in Corporate Insurance

Intense competition in corporate insurance may limit growth and profitability, necessitating strategic adjustments to maintain market position.

Trisura Group Ltd Business Overview & Revenue Model

Company Description

Trisura Group Ltd., a specialty insurance company, operates in the surety, risk solutions, corporate insurance, and reinsurance businesses in Canada, the United States, and internationally. The company offers contract surety bonds, such as performance, and labor and material payment bonds primarily for the construction industry; commercial surety bonds, including license and permit, tax and excise, and fiduciary bonds to governments, regulatory bodies, or courts to guarantee compliance with legal or fiduciary obligations; and developer surety bonds comprising bonds to secure real estate developers' legislated deposit and warranty obligations on residential projects. It provides risk solutions, including warranty programs to program administrators, managing general agents, captive insurance companies, affinity groups, and reinsurers. The company also offers corporate insurance products that comprise directors' and officers' insurance for public, private, and non-profit enterprises; errors and omissions liability insurance for enterprises and professionals; business office package insurance for enterprises and professionals; and fidelity insurance for commercial and financial institutions. Trisura Group Ltd. was incorporated in 2017 and is headquartered in Toronto, Canada.

How the Company Makes Money

Trisura Group Ltd generates revenue primarily through the underwriting of insurance premiums, which are collected from policyholders in exchange for coverage against specified risks. The company earns significant income from its surety bonds, which guarantee the performance of contractors and businesses in various industries. Additionally, Trisura receives investment income from the premium reserves it holds before claims are paid out. The company's revenue model is bolstered by strategic partnerships with brokers and agents, which facilitate access to a broader client base. Furthermore, Trisura benefits from diversification across different insurance sectors, allowing it to mitigate risks and stabilize earnings.

Trisura Group Ltd Financial Statement Overview

Summary

Trisura Group Ltd demonstrates strong financial health with robust revenue growth and effective cash flow management. The balance sheet reflects prudent leverage and strong returns on equity, though there is potential to enhance equity levels. While profitability margins have room for improvement, the company's financial trajectory remains positive, positioning it well for future growth.

Income Statement

Trisura Group Ltd shows a strong revenue growth rate of 8.69% in the TTM period, indicating positive momentum. The gross profit margin is robust at 63.20%, though it has decreased from the previous year's 100% due to changes in revenue recognition or cost structure. The net profit margin of 6.19% is moderate, suggesting room for improvement in cost management or pricing strategy. EBIT and EBITDA margins have declined compared to the previous year, reflecting potential operational inefficiencies or increased competition.

Balance Sheet

The company maintains a healthy debt-to-equity ratio of 0.19, indicating prudent leverage management. Return on equity is strong at 15.20%, showcasing effective use of shareholder funds to generate profits. The equity ratio of 18.15% suggests a stable capital structure, though there is room to increase equity to enhance financial stability.

Cash Flow

Trisura Group Ltd exhibits impressive free cash flow growth of 24,618.18% in the TTM period, highlighting significant improvements in cash generation. The free cash flow to net income ratio is nearly 1, indicating efficient conversion of profits into cash. However, the operating cash flow to net income ratio is unavailable, which could provide additional insights into cash flow efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.97B	778.83M	711.34M	520.77M	349.88M	226.63M
Gross Profit	151.85M	197.19M	118.13M	-112.58M	159.79M	98.16M
EBITDA	172.04M	163.19M	94.49M	46.01M	86.01M	43.22M
Net Income	123.93M	118.92M	66.94M	27.80M	62.56M	32.44M
Balance Sheet
Total Assets	4.88B	4.59B	3.58B	4.28B	3.00B	1.71B
Cash, Cash Equivalents and Short-Term Investments	0.00	1.36B	611.52M	1.17B	341.32M	136.52M
Total Debt	157.58M	107.57M	84.70M	86.74M	84.68M	36.35M
Total Liabilities	3.97B	3.81B	2.97B	3.80B	2.64B	1.42B
Stockholders Equity	903.57M	785.27M	619.43M	493.65M	358.79M	289.86M
Cash Flow
Free Cash Flow	376.68M	115.89M	257.20M	148.80M	303.39M	82.05M
Operating Cash Flow	380.06M	119.73M	257.91M	150.93M	306.85M	83.34M
Investing Cash Flow	-415.70M	-471.81M	-117.34M	-241.99M	-148.65M	-94.40M
Financing Cash Flow	33.95M	22.04M	48.06M	141.59M	45.15M	63.63M

Trisura Group Ltd Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 39.94
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:TSU, the sentiment is Positive. The current price of 39.94 is above the 20-day moving average (MA) of 39.85, above the 50-day MA of 38.89, and above the 200-day MA of 38.85, indicating a bullish trend. The MACD of 0.16 indicates Positive momentum. The RSI at 53.42 is Neutral, neither overbought nor oversold. The STOCH value of 54.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TSE:TSU.

Trisura Group Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TSU	78 Outperform	C$1.90B	15.37	15.79%	―	0.67%	11.59%
SFC	69 Neutral	$1.22B	6.56	13.36%	4.20%	-10.94%	-73.26%
LB	68 Neutral	$1.78B	14.08	5.11%	4.70%	-11.26%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
GSY	63 Neutral	C$1.96B	8.71	18.88%	4.54%	13.69%	-16.06%
WED	61 Neutral	C$870.27M	-11.02	-6.98%	―	333.02%	-196.36%
FN	60 Neutral	C$2.88B	15.67	27.73%	6.40%	24.34%	13.13%

Trisura Group Ltd Corporate Events

Trisura Group Reports Strong Q3 2025 Financial Results

Trisura Group Ltd. reported strong financial results for the third quarter of 2025, showcasing consistent growth and profitability. The company achieved an operating return on equity of 18.0% and a net income of $38.6 million, driven by a 23.8% increase in net investment income and a 16.2% growth in primary lines. The combined ratio of 86.0% reflects solid underwriting performance, while the book value per share increased by 20.8% year-over-year. Trisura’s financial flexibility is reinforced by a conservative debt-to-capital ratio of 13.0%, supporting continued growth and capitalizing its US Surety balance sheet.

Trisura Group Ltd. Schedules Q3 2025 Results Release and Conference Call

Trisura Group Ltd., a leading specialty insurer, has announced the release schedule for its third quarter 2025 financial results, which will be available after market close on November 6, 2025. The company will also host an earnings conference call for analysts and investors on November 7, 2025, featuring key executives. This announcement is part of Trisura’s ongoing efforts to maintain transparency with stakeholders and provide insights into its financial performance.