Intangible Valuation
Value, contrarian, coat tail rider, idiosyncratic research

Lancashire Holdings, High ROEs Maintained By High Dividends

Lancashire Holdings Limited (OTCPK:LCSHF) is a Bermudian short tail insurer operating in Bermuda, London, and Dubai. The shares are traded on the pink sheets, as the ticker indicates, but can originally be found on the London stock exchange under the ticker LRE.L. Lancashire entered the short-tail insurance business after the large losses from Katrina. Its first 6 years of business have been a smashing success and the outlook remains good. The shares are also attractively priced. The company follows, and has followed, a strategy of "if you can't spend the money give it back" and the company has paid out significant capital in dividends over time.

Many of the other insurers I've looked at recently were selling below...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details