Assurant Inc (AIZ) Financial Statements

Assurant's financial quality presents a mixed picture when evaluated against the GoodMoat framework. On positive indicators, the company generates robust free cash flow, with a 14.7% FCF yield far exceeding the 10-15% framework target, suggesting strong cash conversion. The balance sheet is healthy, with a low Debt/Equity ratio of 0.38, well below the framework's cautionary threshold of 1.0x Debt/EBITDA. Return on Equity of 14.9% is respectable, though it falls just short of the framework's high-quality benchmark of 15-20%. On the less favourable side, revenue growth of 7.9% YoY is consistent but modest, below the double-digit threshold for high quality. The operating margin of 9.4% and profit margin of 6.8% are adequate but not expansive, and the lack of a reported Gross Margin (common for insurers) and the inherently asset-heavy nature of the insurance business mean it scores lower on metrics like asset-light model. Growth assessment shows a steady trajectory driven by its core insurance operations, but the 7.9% growth rate does not indicate acceleration or a high CAGR above 35%. Overall, the company shows financial stability and cash generation but lacks the high-margin, high-growth profile of a top-tier quality business under this framework. Analysis based on data as of 2024-05-15.