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Is this Large Market Cap Stock target price reasonable for Validus Holdings, Ltd. (NYSE:VR)?

The company in question is, Validus Holdings, Ltd. (NYSE:VR) currently with a stock price of 51.83 (-0.48% today). The market cap for Validus Holdings, Ltd. is 4061.72, and is in the sector Financial, and Property & Casualty Insurance industry. The target price for Validus Holdings, Ltd. is 51.11. Currently Validus Holdings, Ltd. is trading with a P/E of 11.04, and a forward P/E of 12.35. Average volume for Validus Holdings, Ltd. is 418.65 and so far today it is 197656.

Performance in the last year for Validus Holdings, Ltd. has been 23.66%. For EPS growth, Validus Holdings, Ltd. has seen a growth of -14.10%, and is looking to grow in the next year to 4.30%. More long term stats show that EPS growth has been 5.20% over the last five years and could be 4.80% for the next five years. Validus Holdings, Ltd. has seen sales growth quarter over quarter at 14.40%, with EPS growth quarter over quarter at 53.70%. The 20-day simple moving average is 3.55%, with the 200-day simple moving average coming to 10.76%.

Since the IPO date for Validus Holdings, Ltd. on the 08/01/2007, Validus Holdings, Ltd. has seen performance year to date to be 15.00%. With Validus Holdings, Ltd. trading at 51.83, the dividend yield is 2.69%, and the EPS is 4.72.

So could Validus Holdings, Ltd., be undervalued? Well as said before P/E is 11.04. The PEG is 2.3, P/S is 1.71 and the P/B is at 1.15. The P/cash is 7.14, with P/free cash flow at 7.46.

Validus Holdings, Ltd. ability to deal with debt shows that the current ratio is *TBA, and the quick ratio is *TBA. This is with long term debt/equity at 0.21, and total debt/equity at 0.21.

In terms of margins, Validus Holdings, Ltd. has a gross margin of *TBA, an operating margin of 22.40% and a profit margin of 16.80%.Payout ratio for Validus Holdings, Ltd. is 27.80%. Return on assets come to 3.60% with return on investment coming to 12.40%.

Insider ownership for Validus Holdings, Ltd., is at 3.50% and institutional ownership comes to 98.90%. Outstanding shares are at 77.99. While shares float is 76.14. The float short is currently 2.24%, and short ratio is 4.07.

Disclaimer: Remember there is a risk to your investment, this is not a recommendation, nor personal advice, never invest more than you are able too loose.

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Peter Clarke

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