Skip to content
Compounder
← Stocks

Reinsurance Group Of America

RGABelow valueExpectations · modest

Held by 2 superinvestors.

Price$243.13
Margin of safety−18%
Holders2
Total value$1.02B

SEC 10-K · fundamentals

Business quality

as of 2025-12-31

Valuation basis: trailing twelve months to 2026-06-30 — latest 10-K plus unaudited 10-Q filings.

Revenue growth
+7.2%
Net margin
5.0%
ROE
8.8%
FCF margin
Revenue $14.60B → $23.70B · 6y
What makes a business high quality

Valuation · value band

Margin of safety

$297/ sh · growth-anchored intrinsic value
margin of safety
fair value
above fair value
$243
cheaperpricier

Zero-growth floor

$207

Central IV

$297

Optimistic top

$366

Reinsurance Group Of America (RGA): A conservative value band $207–$366 / sh (zero-growth floor to growth-capped optimistic top); central read about $297. Today’s price sits below that band (price $243 as of 2026-08-21).

The middle figure is the main read. The right end is the optimistic case under the same conservative caps — not an absolute ceiling.

Revenue growth 7% (lower of historical trend and fundamental cap, capped by moat) · moat 0 yr · discount 10.6% · Zero-growth downside $207

Price as of 2026-08-21 · yahoo · DGS10 4.7% @ 2026-08-20.

Method & numbers

Operating income is not reported separately (e.g. banks, insurers, and some diversified issuers), so earnings power is shown via the owner-earnings lens only; the unlevered NOPAT lens does not apply. Earnings basis: reported net income minus investment and derivative fair-value gains/losses, net of tax at the statutory 21% — portfolio marks flow through GAAP net income (ASU 2016-01) but are not operating earnings power.

Model cautions

  • Growth nearly matches the discount rate — the estimate is sensitive to assumptions.

A conservative intrinsic-value band (zero-growth floor to growth-capped DCF) plus a tangible asset floor — not investment advice, not a buy/sell signal, and not a price target.

Owner-earnings DCF $184.52 – $365.60 · Greenwald zero-growth $207.48 · zero-growth base $207.48 · reproduction $207.48

Moat Commodity-like · terminal value 50% of present value · owner-earnings yield 8% vs 10Y 4.7%.

Graham earnings-power value (normalized NOPAT)

Operating income is not reported separately (e.g. banks, insurers, and some diversified issuers), so earnings power is shown via the owner-earnings lens only; the unlevered NOPAT lens does not apply.

Normalized NOPAT from operating margin — not applicable when operating income is not reported separately. Unlevered (pre-interest, attributable to all capital). Capitalized at the 9–11% rate band (read as a WACC proxy). Enterprise → equity bridge (+ cash − total debt) — not applied (lens not assessable).

Years: TTM 2026-06-30, 2024, 2023, 2022, 2021

Buffett owner-earnings value$168.63 – $206.11 / sh

Owner earnings = average net income + average D&A − maintenance capex (zero-growth floor; no ΔNWC). Levered (starts from net income, already after interest — an equity-holder stream). Capitalized at the 9–11% rate band (read as a cost-of-equity proxy). No enterprise→equity bridge: the capitalized result is already equity value (subtracting debt would double-count interest).

Years: TTM 2026-06-30, 2024, 2023, 2022, 2021

v1 simplifications: Maintenance capex or D&A unavailable → degraded to normalized net income (= average net income over the years shown). One-time items are not separately normalized (multi-year averaging smooths them partially). Share-based compensation is left as a real expense (not added back); see the SBC/OE disclosure. Capitalized at the 9–11% band as a cost-of-equity proxy; no leverage premium applied. Financial issuer (bank/insurer): net debt / owner earnings does not describe a deposit-funded balance sheet, so no leverage premium is applied here; leverage is instead handled by the reliability gate.

Reproduction value = tangible net assets $13.69B = $207.48 / sh. Total book value (shareholders' equity ÷ diluted shares); intangibles not separated — goodwill/intangibles unavailable this period.

Moat reading: Franchise test compares earnings power (EPV) against reproduction value (tangible net assets + capitalized R&D). EPV well above reproduction value signals a moat; near it, a commodity; below it, value destruction. Dual reproduction test unavailable (intangibles not separated). A directional reading, not a verdict.

Growth value gated to zero — no moat or ROIIC ≤ WACC, so no growth value is credited.

Window TTM 2026-06-30, FY 2024, 2023, 2022, 2021 · discount band 9%11% · normalized tax 20% (Average effective tax rate over 5 year(s), capped at the statutory 21%.) · diluted shares.

Owner-earnings DCF: growth g₁ 7% · OE FY TTM 2026-06-30, 2024, 2023, 2022, 2021 · Discount band: 9.19%–12.00% (DGS10 +4.5% to a 12% strict end, as of 2026-08-20). No enterprise→equity bridge: owner earnings already flow to shareholders (post-interest), so no net cash is added and no debt subtracted — matching the engine owner-earnings lamp.

Valuation basis: trailing twelve months to 2026-06-30 — latest 10-K plus unaudited 10-Q filings.

What the price is betting

Today's price pencils in about 3.3% a year in owner-earnings for the next few years. Revenue actually grew 10.2% a year.

Below what it has already done.

Roughly, the price needs its historical revenue growth to run about 4 more years to hold up.

How to read intrinsic value

SEC 13F · holders

Superinvestors Holding This Security

2 holders · $1.02B combined · this quarter +0 opened / -0 exited

This quarter1 added1 trimmed
Holders 3 → 2 · last 8q
  • Value$996.1MWeight (prev→now)1.3% 1.3%
  • Value$26.9MWeight (prev→now)0.1% 0.1%

SEC 13F · notes

Written summary

Reinsurance Group Of America (RGA) is held by 2 of the superinvestors tracked on Compounder, with a combined $1.02B in reported 13F value. The largest position belongs to Bill Nygren, where it makes up 1.3% of the portfolio.

Other notable holders by value include Ray Dalio (0.1% of its book).

Over the latest quarter, 0 of the tracked filers opened a new position in RGA, 1 added to existing ones, 1 trimmed, and 0 sold out entirely.

Holder counts and values reflect the most recent SEC Form 13F filings, through the quarter ended 2026-06-30. Source: SEC EDGAR. A 13F shows only long US-listed positions and can lag the real portfolio by up to 45 days, so this is disclosed long ownership, not a complete picture.

How to read a 13F

SEC 13F · co-ownership

Also held by these investors

Investors holding Reinsurance Group Of America (RGA) also commonly hold →

RGA's price is below its conservative value band. Browse all undervalued stocks by margin of safety

Also on

Sources· SEC EDGAR 13F as of 2026-06-30 · filed 2026-08-14

Educational data only — not investment advice. 13F positions are self-reported and can lag up to 45 days.

Stay Updated

New-quarter 13F moves and valuation updates, to your inbox.