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Enstar Group Limited (ESGR)



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Upturn Advisory Summary
06/13/2025: ESGR (1-star) has a low Upturn Star Rating. Not recommended to BUY.
1 Year Target Price $185
1 Year Target Price $185
0 | Strong Buy |
0 | Buy |
0 | Hold |
0 | Sell |
0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -11.84% | Avg. Invested days 47 | Today’s Advisory Consider higher Upturn Star rating |
Upturn Star Rating ![]() ![]() | Upturn Advisory Performance ![]() | Stock Returns Performance ![]() |
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Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 5.01B USD | Price to earnings Ratio 10.78 | 1Y Target Price 185 |
Price to earnings Ratio 10.78 | 1Y Target Price 185 | ||
Volume (30-day avg) - | Beta 0.71 | 52 Weeks Range 315.94 - 348.48 | Updated Date 06/29/2025 |
52 Weeks Range 315.94 - 348.48 | Updated Date 06/29/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) 31.18 |
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin 43.86% | Operating Margin (TTM) 46.08% |
Management Effectiveness
Return on Assets (TTM) 2.21% | Return on Equity (TTM) 8.56% |
Valuation
Trailing PE 10.78 | Forward PE - | Enterprise Value 6298420496 | Price to Sales(TTM) 4.33 |
Enterprise Value 6298420496 | Price to Sales(TTM) 4.33 | ||
Enterprise Value to Revenue 5.57 | Enterprise Value to EBITDA - | Shares Outstanding 14910100 | Shares Floating 10619930 |
Shares Outstanding 14910100 | Shares Floating 10619930 | ||
Percent Insiders 11.1 | Percent Institutions 81.62 |
Analyst Ratings
Rating - | Target Price 185 | Buy - | Strong Buy - |
Buy - | Strong Buy - | ||
Hold - | Sell - | Strong Sell - | |
Strong Sell - |
Upturn AI SWOT
Enstar Group Limited
Company Overview
History and Background
Enstar Group Limited was founded in 2001. It specializes in acquiring and managing insurance and reinsurance companies and portfolios in run-off. Its growth has been fueled by strategic acquisitions and organic expansion.
Core Business Areas
- Run-off Acquisitions: Acquisition of insurance and reinsurance companies and portfolios that are no longer actively writing new business. This is their primary revenue stream.
- Legacy Underwriting: Underwriting of new reinsurance business, primarily through its StarStone entities and related companies, but it divested from this business over time.
- Investments: Management of investments to generate returns on its capital base. Actively seeks to increase the value of its investments to increase capital.
Leadership and Structure
Dominic Silvester is the Chief Executive Officer. The company operates with a board of directors and various management teams overseeing different business segments.
Top Products and Market Share
Key Offerings
- Legacy Insurance & Reinsurance Acquisitions: Acquisition and management of insurance and reinsurance companies/portfolios in run-off. They handle the remaining liabilities. Competitors include Fairfax Financial Holdings and Prem Watsa. Revenue is based on total assets acquired, not a product sale.
- Investment Management: Enstar uses investment management to enhance returns on capital. Competitors include large asset managers such as BlackRock and Vanguard. This is a support offering to the core business.
Market Dynamics
Industry Overview
The run-off insurance market is driven by insurers seeking to exit non-core or underperforming businesses. This market is growing due to increasing regulatory complexity and capital requirements.
Positioning
Enstar is a leading consolidator in the run-off market, with a strong track record and expertise in managing complex liabilities. Their competitive advantage lies in their experience and scale.
Total Addressable Market (TAM)
The total addressable market is estimated to be in the hundreds of billions of dollars, encompassing all potential run-off insurance liabilities globally. Enstar is a market leader and attempts to capture a decent amount of this TAM.
Upturn SWOT Analysis
Strengths
- Strong track record in run-off acquisitions
- Experienced management team
- Strong capital base
- Global presence
- Expertise in managing complex liabilities
Weaknesses
- Reliance on acquisition opportunities
- Exposure to adverse reserve development
- Complexity of run-off business
- Potential for regulatory scrutiny
Opportunities
- Continued growth in the run-off market
- Expansion into new geographies
- Development of new run-off solutions
- Strategic partnerships
- Increased regulatory pressure on insurers
Threats
- Increased competition in the run-off market
- Adverse economic conditions
- Changes in regulatory environment
- Unforeseen liabilities in acquired portfolios
- Interest rate fluctuations
Competitors and Market Share
Key Competitors
- BFAM
- HIG
Competitive Landscape
Enstar benefits from its experience and size in the market. Smaller competitors may focus on specific niches. The competitive landscape is heavily influenced by deal flow.
Major Acquisitions
Maiden Reinsurance North America, Inc.
- Year: 2018
- Acquisition Price (USD millions): 307.4
- Strategic Rationale: Added significant reserves and expanded North American footprint.
Shelbourne Runoff Solutions Limited
- Year: 2022
- Acquisition Price (USD millions): 244
- Strategic Rationale: Expands Enstar's structured solutions capabilities, adding expertise in alternative risk transfer.
Growth Trajectory and Initiatives
Historical Growth: Enstar has grown substantially through acquisitions over the past two decades.
Future Projections: Future growth is dependent on continued acquisitions and the management of existing run-off portfolios. Analyst estimates vary depending on market conditions.
Recent Initiatives: Recent initiatives include strategic acquisitions and the streamlining of operations.
Summary
Enstar is a strong player in the run-off insurance market, leveraging its expertise and capital to acquire and manage complex liabilities. Its success hinges on identifying and successfully integrating acquisitions. Potential threats include increased competition and unforeseen liabilities in acquired portfolios, which could impact performance. They should be wary of their weaknesses, such as exposure to adverse reserve development.
Peer Comparison
Sources and Disclaimers
Data Sources:
- Company Filings
- Industry Reports
- Analyst Estimates
Disclaimers:
This analysis is based on publicly available information and is not financial advice. Market conditions are always dynamic and subject to change.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Enstar Group Limited
Exchange NASDAQ | Headquaters - | ||
IPO Launch date 1997-05-09 | Co-Founder, CEO & Director Mr. Dominic F. Silvester | ||
Sector Financial Services | Industry Insurance - Diversified | Full time employees 790 | Website https://www.enstargroup.com |
Full time employees 790 | Website https://www.enstargroup.com |
Enstar Group Limited acquires and manages insurance and reinsurance companies and portfolios in run-off in the United States, the United Kingdom, Europe, and internationally. It engages in the run-off property and casualty; other reinsurance; and investment activities. The company was formerly known as Castlewood Holdings Limited and changed its name to Enstar Group Limited in January 2007. Enstar Group Limited was founded in 1993 and is headquartered in Hamilton, Bermuda.
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