2 models fit Genworth Financial Inc Common Stock and they disagree: 0 of 2 land within 15% of the average.
Two or more of our models back this value.
Discount(i)Silver60
Valued as an insurer: Residual income, P/E comparison, and Dividend discount.
ACCE opinionGenworth Financial Inc Common Stock (GNW)
Fair value (2 models)
$10.77
ACCE price target
$11.00
Rating
Undervalued
Horizon
12 months
Fair value published on 20 Oct 2026, 16:04 CEST; previously $10.60 since 16 Oct 2026, 00:00 CEST.
ACCE price target published on 11 Oct 2026, 00:00 CEST.
Rating published on 20 Oct 2026, 16:04 CEST.
Price used: $8.91 at the close on 23 Oct 2026, 22:00 CEST.
Models: P/E comparison and Dividend discount.
Fair value: the average of the applicable valuation models (discounted cash flow, multiples, residual income, dividend discount, shareholder yield), each run on the latest financial statements and the market price shown. Opinion columns (fair value, target, rating) are shown apart from the data. Full methodology: acceinvestments.com/data/how-we-value-stocks
Conflicts of interest: The author holds no personal position in this security. General statement
Produced by ACCE Investments (acceinvestments.com)
Data
Price vs fair value
17.3% below
+20.9% to fair value
ACCE score
51
out of 100
Analysts
0% buy
1 covering
P/E
17.5x
forward 8.1x
1-year return
+4.6%
Dividend yield
0.00%
Genworth Financial Inc Common Stock in four questions
Plain answers, details below
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Overview
ACCE thesis
Genworth writes long-term care insurance, mortgage insurance and life and annuity products, with the long-term care book the largest and most troubled legacy liability. At $3.4B market cap and a 5.1x forward P/E against 17.9x trailing, the market is pricing in a sharp earnings step-up or a discount for the legacy book that the trailing numbers don't yet show. The 3.4% ROE and 7.2% operating margin are thin, so the case rests on whether the mortgage insurance franchise and the reserve position stabilise earnings enough to close that gap. The 5.3% revenue growth is modest, and the score of 50/100 reflects that the discount is partly earned. Worth a deeper look to test the forward earnings estimate against the long-term care reserve assumptions before going further.
⚠ Investor warnings · 2 flagsAI-assisted·How I use AI
moderate
Shrinking long-term revenue
Revenue has a 5-year CAGR of -6.0% despite +5.3% YoY growth, so the recent uptick has not yet reversed the longer decline. Earnings growth is flat at 0.0%.
moderate
Insider selling, no buying
Insiders disclosed $2.98M in sales across the last 10 filings and no purchases, while holding only 1.8% of shares.
AI research notes
AI-assisted·How I use AIWritten Oct 14, 2026 · figures from 2026-06-30 · prices to Oct 23, 2026
Why it could do well
Free cash flow over the last twelve months reached $327M, a meaningful cash generator relative to the share price.
At $8.89 the stock trades on a free cash flow yield of 9.2%, and its forward P/E of 8.1x sits below the sector median of 11.9x.
The consensus fair value of $10.94 implies 23.1% upside from the share price, and the average analyst target of $10.50 sits 18.1% above it.
Why it could disappoint
Return on equity of 3.4% and return on invested capital of 1.8% show the business earns very little on the capital it uses.
Earnings per share came in at $0.01 against $0.27 expected, a 96.3% miss that undercuts the low forward multiple.
Revenue has shrunk by 6.0% per year on average over five years, and a 2.9% net margin leaves little room for error.
Each chip shows the exact figure and where it comes from. A claim without a source is not published.
Next results
Nov 4, 2026
We update the fair value about 2 days after the results, once the new figures are filed.Add to calendarGoogle
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Valuation
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Where GNW's valuation models land
Price
$8.91
Model fair value
$10.77
Model range
$8.51 to $13.03
Fair value $10.77
Price $8.91
The price sits inside the model range.
Model
Fair value
Upside
Dividend discount
P/E comparison
Residual income
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