MARKEL GROUP INC. (MKL) Stock Analysis
MARKEL GROUP INC. (MKL) Stock Analysis
Analysis from 10-Q filed 2025-10-29. Data as of Q4 2025.
Overall Grade: F (Concerning)
MARKEL GROUP INC. faces challenges in financial performance that warrant careful analysis.
| Metric | Value | Context |
|---|---|---|
| ROIC | N/A | Below expectations |
| FCF Margin | 16.0% | Strong cash generation |
| Debt/Equity | 0.0x | Conservative leverage |
Investment Thesis: Healthy free cash flow margin of 16.0% provides financial flexibility for growth and shareholder returns.
Explore MARKEL GROUP INC.: Earnings History | Filing Intelligence | ROIC Analysis
Profitability: MARKEL GROUP INC. earns N/A ROIC
MARKEL GROUP INC.'s trailing-twelve-month ROIC of N/A (sector median: 7.3%). Source: 10-Q filed 2025-10-29.
| Metric | MKL | Rating | Context |
|---|---|---|---|
| Return on Invested Capital (ROIC) | N/A | Red flag | Below sector median of 7.3% |
| Return on Equity (ROE) | 11.8% | Adequate | Moderate equity returns |
Cash Flow: MARKEL GROUP INC. generates $2.6B FCF at 16.0% margin, positive NaN/8 quarters
MARKEL GROUP INC. generated $2.6B in free cash flow (TTM), a 16.0% FCF margin, a margin that ranks Bottom 50% in Financials. Operating cash flow exceeds net income by 1.3x, indicating high earnings quality. FCF was positive in N/A of the last 8 quarters. Source: 10-Q filed 2025-10-29.
| Metric | MKL | Rating | Context |
|---|---|---|---|
| Free Cash Flow Margin | 16.0% | Good | Excellent cash conversion |
| Free Cash Flow (TTM) | $2.6B | Good | Positive cash generation |
| OCF/Net Income | 1.3x | Excellent | High earnings quality |
| FCF Consistency (8Q) | N/A | Warning | Variable cash flow |
Balance Sheet: MARKEL GROUP INC. at 0.0x leverage
MARKEL GROUP INC.'s debt-to-equity ratio of 0.0x reflects conservative leverage. Source: 10-Q filed 2025-10-29.
| Metric | MKL | Rating | Context |
|---|---|---|---|
| Debt to Equity | 0.0x | Excellent | Conservative capital structure |
Valuation: MARKEL GROUP INC. trades at 12.6x earnings
MARKEL GROUP INC. trades at a P/E of 12.6x. Free cash flow yield of 9.4% offers attractive cash returns relative to price.
| Metric | MKL | Rating | Context |
|---|---|---|---|
| P/E Ratio | 12.6x | Adequate | Reasonable valuation |
| EV/Sales | 1.4x | Excellent | Attractive revenue multiple |
| FCF Yield | 9.4% | Excellent | Attractive cash return |
Capital Allocation: MARKEL GROUP INC. returns 1.6% shareholder yield
MARKEL GROUP INC.'s total shareholder yield is 1.6% (dividends + buybacks 1.6%). Source: 10-Q filed 2025-10-29.
| Metric | MKL | Rating | Context |
|---|---|---|---|
| Total Shareholder Yield | 1.6% | Adequate | Dividend + buyback yield combined |
| Buyback Yield | 1.6% | Adequate | Minimal buyback activity |
| Total Capital Returned (TTM) | $429.5M | Good | Dividends + buybacks returned to shareholders |
Sector Rankings
| Metric | Value | Percentile | vs Median |
|---|---|---|---|
| Free Cash Flow Margin | 16.0% | Bottom 50% | 0.7x below |
| Return on Equity (ROE) | 11.8% | Top 50% | 1.1x above |
| P/E Ratio | 12.6x | N/A | - |
Financial Scorecard
| Metric | MKL | Rating | Sector Context |
|---|---|---|---|
| Free Cash Flow Margin | 16.0% | Good | Bottom 50% of sector (median: 21.7%) |
| Debt to Equity Ratio | 0.0% | Excellent | Conservative capital structure |
| P/E Ratio (Price-to-Earnings) | 12.6x | Adequate | Attractively valued |
| Free Cash Flow Yield | 9.4% | Excellent | High cash return |
Frequently Asked Questions
Q: What is MARKEL GROUP INC.'s Return on Invested Capital (ROIC)?
MARKEL GROUP INC. (MKL) has a trailing twelve-month Return on Invested Capital (ROIC) of N/A. This compares below the sector median of 7.3%. An ROIC below 8% suggests the company may be destroying shareholder value.
Q: What is MARKEL GROUP INC.'s Free Cash Flow Margin?
MARKEL GROUP INC. (MKL) has a free cash flow margin of 16.0%, generating $2.6 billion in free cash flow over the trailing twelve months. A FCF margin between 10-20% represents healthy cash generation for most industries.
Q: Is MARKEL GROUP INC. stock overvalued or undervalued?
MARKEL GROUP INC. (MKL) trades at a P/E ratio of 12.6x, which is above the sector median of N/A. The EV/Sales multiple is 1.4x. Free cash flow yield is 9.4%, which represents an attractive cash return to investors.
Q: What is MARKEL GROUP INC.'s revenue and earnings growth?
MARKEL GROUP INC. (MKL) grew revenue by 2.3% year-over-year. Earnings per share decreased by 14.8% compared to the prior year. Modest growth indicates a mature business with stable demand.
Q: Is MARKEL GROUP INC. buying back stock?
MARKEL GROUP INC. (MKL) repurchased $429.5 million of stock over the trailing twelve months. This represents a buyback yield of 1.6%.
Q: How does MARKEL GROUP INC. compare to competitors in Financials?
Compared to other companies in Financials, MARKEL GROUP INC. (MKL) shows: ROIC of N/A is below the sector median of 7.3% (NaNx median). FCF margin of 16.0% trails the sector median of 21.7% (Bottom 42% of sector). These rankings are based on MetricDuck's analysis of all Financials companies with available SEC filings.
Q: What warning signs should I watch for with MARKEL GROUP INC.?
MARKEL GROUP INC. (MKL) shows no major financial warning signs based on current metrics. However, investors should always monitor: 1) Margin compression trends, 2) Cash flow consistency, 3) Debt levels relative to cash generation, and 4) Changes in competitive positioning.
Data Source: Data sourced from 10-Q filed 2025-10-29. TTM metrics as of Q4 2025.
Methodology: Financial metrics calculated from SEC 10-K and 10-Q filings using standardized formulas. Sector comparisons use peer group based on SIC code.
Scope: This analysis covers SEC filing fundamentals — profitability, cash flow, balance sheet, and valuation metrics. For analyst estimates and price targets, consult sell-side research.
This analysis is for informational purposes only and does not constitute investment advice.