Why Markel Is Ready to Rebound

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, specialty insurer Markel has earned a coveted five-star ranking.

With that in mind, let's take a closer look at Markel and see what CAPS investors are saying about the stock right now.

Markelfacts

Headquarters (founded)

Glen Allen, Va. (1930)

Market Cap

$4.2 billion

Industry

Property and casualty insurance

Trailing-12-Month Revenue

$2.9 billion

Management

Chairman/CEO Alan Kirshner
President/CIO Thomas Gayner

Return on Equity (average, past 3 years)

7.4%

Cash / Debt

$1.6 billion / $1.5 billion

Competitors

CNA Financial Meadowbrook Insurance Group Travelers Companies


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 98% of the 2,817 members who have rated Markel believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, All-Star TMFDeej, tapped the stock as a particularly timely bargain opportunity:

I am taking advantage of the recent sell off in Markel that came as a result of its planned acquisition of Alterra. Whether this drop was caused by disapproval of the deal or by [merger arbitrage] players hedging their positions by shorting [Markel] is difficult to say, but I personally like the deal and the company so I'm adding it here.

If you want market-topping returns, you need to put together the best portfolio you can. Of course, despite its five-star rating, Markel may not be your top choice.

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The article Why Markel Is Ready to Rebound originally appeared on Fool.com.

Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool owns shares of Markel. Motley Fool newsletter services recommend Markel. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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