{"id":1845,"date":"2016-11-05T17:55:13","date_gmt":"2016-11-05T15:55:13","guid":{"rendered":"http:\/\/www.blog.asmus-puhl.com\/?p=1845"},"modified":"2016-11-05T17:55:13","modified_gmt":"2016-11-05T15:55:13","slug":"markel-reported-q3-2016-results-and-the-market-was-disappointed","status":"publish","type":"post","link":"http:\/\/www.blog.asmus-puhl.com\/?p=1845","title":{"rendered":"Markel reported Q3 2016 results and the market was disappointed!"},"content":{"rendered":"<p style=\"text-align: justify;\">Markel <a href=\"http:\/\/finance.yahoo.com\/news\/markel-reports-third-quarter-nine-210100949.html\" target=\"_blank\">reported Q3 2016 results<\/a> and the stock finished the day with a loss of 2.4%! Why that?<\/p>\n<p style=\"text-align: justify;\">Book value rose 9% yoy to $ 609.48! Not a bad result, but the consolidated combined ratio worsened to 98% compared to 93% one year ago.<\/p>\n<p style=\"text-align: justify;\">The US insurance segment even lost money with a combined ratio of 101% due to over $50 million of losses and loss adjustment expenses in response to claim trends in Markel&#8217;s medical malpractice and specified medical product lines (the <a href=\"http:\/\/finance.yahoo.com\/news\/edited-transcript-mkl-earnings-conference-194056592.html\" target=\"_blank\">transcript of the Q3 conference call has been published by Thomson Reuters<\/a>). The market didn&#8217;t like that.<\/p>\n<p style=\"text-align: justify;\">But investment results showed a much better picture this quarter:<br \/>\nComprehensive income to shareholders was $89.2 million for the quarter improving from a comprehensive loss to shareholders of $51.1 million one year ago and net investment income grew 7% year over year to $93.1 million.<\/p>\n<p style=\"text-align: justify;\">The non-insurance operations called Markel Ventures also performed very well:<br \/>\nMarkel Ventures&#8217; net income to shareholders more than doubled yoy to $13.5 million and Markel Ventures&#8217; EBITDA rose 42% yoy to $41.8 million<\/p>\n<p style=\"text-align: justify;\">Beside the negative insurance claim trends in Markel&#8217;s US medical malpractice segment which should be considered a temporary problem Markel performed well in the 3rd quarter of 2016.<\/p>\n<p style=\"text-align: justify;\">At yesterday&#8217;s close of $ 825.07 the stock is valued at a price\/book ratio of 1.4<br \/>\nMarkel certainly remains a long term buy at this price!<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Markel reported Q3 2016 results and the stock finished the day with a loss of 2.4%! Why that? Book value rose 9% yoy to $ 609.48! Not a bad result, but the consolidated combined ratio worsened to 98% compared to 93% one year ago. The US insurance segment even lost money with a combined ratio [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[3],"tags":[],"_links":{"self":[{"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/posts\/1845"}],"collection":[{"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=1845"}],"version-history":[{"count":9,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/posts\/1845\/revisions"}],"predecessor-version":[{"id":1854,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=\/wp\/v2\/posts\/1845\/revisions\/1854"}],"wp:attachment":[{"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=1845"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=1845"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.blog.asmus-puhl.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=1845"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}