Old Mutual Ltd
LSE:OMU
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Intrinsic Value
The intrinsic value of Old Mutual Ltd (OMU) under the Base Case is 70.42 GBX per share. Compared with the current market price of 67.8 GBX, the stock appears Undervalued by 4% .
The intrinsic value is calculated using the DCF method.
Do our valuations actually work? See backtest results .
Cheap or expensive for this stock?
This block shows whether today’s valuation is cheap or expensive compared with the stock’s own history, and what happened after similar valuations in the past.
We compare the gap between the stock’s price and our estimated value over time.
- Undervalued can still be historically expensive. The stock may trade below our estimated value, but usually offer an even bigger discount.
- Overvalued can still be historically cheap. The stock may trade above our estimated value, but usually carry an even higher premium.
Market expectations can differ from our model, which may not fully capture everything affecting the price. That is why some stocks regularly trade above our estimated value and others below it.
The scale and chart show how today’s valuation compares with the past. The cards summarize past returns and waiting times until the stock stopped being cheap or expensive. This can happen because the price changed, our estimated value changed, or both.
Only completed periods are included. These are past results, not forecasts. The usual historical range does not necessarily mean fair value.
Fundamental Analysis
What Old Mutual Does
Old Mutual is a South African financial services company that helps people and businesses save, protect themselves against risk, and invest for the long term. Its main products include life insurance, retirement and savings products, asset management, and selected banking and lending services. It mainly serves retail customers, advice-led clients, and small to mid-sized businesses across Africa.
- Headquarters
- South Africa ZA
- Employees
- 27 968
- IPO date
- Aug 21, 2001
Old Mutual has no economic moat
One customer’s Old Mutual policy does not make another customer’s policy more valuable, and several established insurers offer alternatives for similar protection and savings needs. Old Mutual’s familiar name alone does not prevent rivals from competing for customers or show that it can charge more for comparable cover.
Read the full moat analysisWhat is the Intrinsic Value of one OMU stock?
The intrinsic value for Old Mutual Ltd (OMU) under the Base Case is 70.42 GBX.
Is OMU stock undervalued or overvalued?
Compared with the current market price of 67.8 GBX, the stock appears Undervalued by 4% .