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Donegal Group (DGICA) Stock Fundamentals, Analysis & Risk Signals

Health score, price, valuation, risk signals, and key metrics at a glance.

Donegal Group
NasdaqGS•Financial Services•Insurance - Property & Casualty
$19.00-0.45(-0.02%)Pre-market
Market Cap
$593.90M
P/E
8.4x
P/S
0.6x
P/B
0.9x

Donegal Group Inc., an insurance holding company, provides commercial and personal lines of property and casualty coverages. It operates through three segments: Investment Function, Commercial Lines of Insurance, and Personal Lines of Insurance. The company offers protection against liability for bodily injury and property damage arising from automobile accidents and protection against loss from damage to automobiles owned by the insured for commercial automobile; protection to businesses against perils combining liability and physical damage coverages; and benefits to employees for injuries sustained during employment. It provides protection against liability for bodily injury and property damage arising from automobile accidents and protection against loss from damage to automobiles owned by the insured for private passenger automobile; and coverage for damage to residences and their contents from a range of perils, including fire, lightning, windstorm, and theft. The company markets its insurance products primarily to Mid-Atlantic, Midwest, Southern, and Southwestern states through a network of independent insurance agents. The company was incorporated in 1986 and is based in Marietta, Pennsylvania. Donegal Group Inc. operates as a subsidiary of Donegal Mutual Insurance Company.

C

How this company scores

AverageMetricSide Score: 47/100

Strongest: Balance Sheet & Red Flags (15/25); weakest: Growth (5/25).

Profitability13/25
Growth5/25
Balance Sheet & Red Flags15/25
Cash & Earnings Quality14/25
Strengths
Interest easily coveredConsistent free cash flowNet cash positionImproving margins

Valuation vs. 5-year range

Today's multiple positioned against its own trailing range — a visual premium/discount check.

P/E · 8.4x5y range 6.9x – 1305.5x
P/E 8.4x · below its 17-quarter median

Currently below its 17-quarter median.

P/S · 0.6x5y range 0.4x – 0.6x
P/S 0.6x · above its 20-quarter median

Currently above its 20-quarter median.

P/B · 0.9x5y range 0.7x – 1.0x

Watch items

Data-driven signals worth keeping an eye on across the last 8 quarters

High Risk

Margin Pressure

Watch

Operating margins declined 11.3% — watch for continued compression, which may signal competitive or cost pressure.

Revenue Decline

Watch

Revenue has softened, declining in 4 quarters. Watch for further erosion.

Price & Volume
Market Cap $593.90M

Metrics at a Glance

as of June 2026

Revenue & Profit

Revenue, EBITDA, operating income, net income, EPS, and shares

TTM Revenue
$962.81M
4Q
Q. Revenue
$241.12M
2%
TTM EBITDA
$90.19M
15%
TTM Op. Income
$87.68M
14%
Q. Op. Income
$27.55M
35%
TTM Net Income
$71.09M
14%
Q. Net Income
$22.31M
32%
EPS
$0.61
30%
Shares Out.
$31.47M
7Q
$962.81M in TTM revenue declined 3.1% YoY, reaching $241.12M last quarter. TTM EBITDA of $90.19M and TTM operating income of $87.68M show growth is flowing through to the bottom line. TTM net income of $71.09M means revenue is converting into profit. Across the last 8 quarters, TTM revenue has fallen for 4 consecutive quarters — a weakening trend.

Margins

Gross, EBITDA, operating, and net margin trends

EBITDA Margin
11.6%
35%
Op. Margin
11.4%
38%
Net Margin
9.3%
36%
Op. margin of 11.4% is up 3.2% YoY — cost efficiency is improving. Net margin at 9.3% Over the past year, operating margin is up 38% — an improving trend.

Price Ratios

P/E, P/S, P/B, EV/EBITDA, FCF yield, and earnings yield

P/E Ratio
8.4x
3Q
P/S Ratio
0.6x
0%
P/B Ratio
0.9x
12%
At 8.4x P/E, the stock trades below typical market levels. P/S of 0.6x and P/B of 0.9x provide additional context. Use the growth and margin sections to judge whether the multiple is justified. Across the last 8 quarters, P/E has risen for 3 consecutive quarters — a weakening trend.

Assets & Liabilities

Total assets, cash, debt, book value, and leverage

Total Assets
$2.48B
2Q
Cash
$23.72M
59%
Long-Term Debt
N/A
Book Value
$666.11M
7Q
D/E Ratio
N/A
Debt/EBITDA
0.0

Cash Flow

Operating cash flow, free cash flow, FCF margin, and earnings quality

Op. Cash Flow
$5.90M
51%
TTM Free Cash Flow
$58.39M
3Q
FCF Margin
6.1%
3Q
FCF / Net Income
0.8
14%
TTM FCF of $58.39M on $5.90M in operating cash flow. The FCF / Net Income ratio of 0.8x means free cash flow covers net income — earnings are backed by cash. Across the last 8 quarters, free cash flow has fallen for 3 consecutive quarters — a weakening trend.

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P/B 0.9x
· near its 20-quarter median

Currently near its 20-quarter median.

Share Dilution

Red Flag

Shares outstanding increased 12.5% — significant dilution, likely from stock compensation or capital raises.