Universal Insurance Holdings Inc.

Universal Insurance Holdings Inc. is an AMEX listed security that has been trading in a range between $2.36 and $7.41 over the past year. With 38,871,370 shares outstanding, a recent price of $6.50 gives a total market capitalization of $254,218,758. While there are certainly larger companies, Universal Insurance Holdings Inc. has definitely earned its place in the pack. Last year, Universal Insurance Holdings Inc. created $0.63 in earnings for every share outstanding.

Universal Insurance Holdings Inc. is currently priced by the market at 10.30 times last year’s earnings. Many trading multiples around the world are quite attractive these days, but don’t be fooled. A Price to Earnings ratio of 0 simply means that the security didn’t make any money last year.

With a share price under $50 a share and earnings per share below $1 a share, Universal Insurance Holdings Inc. could be an interesting value proposition.