Greenlight Capital Re, Ltd. logo GLRE - Greenlight Capital Re, Ltd.

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY 0
BUY 3
HOLD 0
SELL 0
STRONG
SELL 0
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Banks, Insurers & Asset Managers 85% confidence

Primary model: P/Tangible Book × ROE Quality

Valuation Signal Undervalued Strong
Trading 72.9% below fair value
Current Price $17.19
Bear Case $39.94 132.3% upside ($39.94 - $17.19) / $17.19 = 132.3% ROTCE 9.2% → 2.18x TBV
Fair Value $63.43 269.0% upside ($63.43 - $17.19) / $17.19 = 269.0% ROTCE 12.3% → 3.46x TBV
Bull Case $73.33 326.6% upside ($73.33 - $17.19) / $17.19 = 326.6% ROTCE 14.2% → 4.00x TBV

Adjust Assumptions

12.3%
6.4%

Key Value Driver

ROTCE (12.3%) vs. cost of equity (6.4%)

Implied Market Multiple 0.94x

Plain-Language Summary

With ROTCE of 12.3% vs. 6.4% cost of equity, fair P/TBV is 3.46x on $18.33 tangible book, implying $63.43 per share.

Warnings

⚠ Traditional cash flow models don't work well for banks — lending activity distorts how much cash the business actually generates.
⚠ Common valuation shortcuts don't apply here — for banks, interest payments are a core business cost, not overhead.

Key Risks

  • Book value quality matters as much as level — check loan loss reserves
  • Interest rate sensitivity creates non-linear earnings surprises
  • Insurance reserving is actuarial, not financial — errors emerge slowly