Pelagos Insurance Capital Limit (PLGO): fair value, margin of safety and Wheel Score

Is PLGO undervalued?

PLGO has a margin of safety of 81%: the stock closed at 27.42 on 5 Nov 2026 against a GLS average fair value of 144.15. 8 of the 9 valuation models that produced a number sit above the price. Our scans treat a discount this large as a strong starting point for a cash-secured put, not as a verdict - the fair value is a model output, and a wide gap can mean the models are missing something the market knows.

The 9 models disagree widely: DDM gives 8.83 while Payback Time gives 293.17. A spread that wide means the average is sensitive to which methods you trust; the model table below shows where each one lands, and the Quote page lets you switch any of them off.

Ranked against every other company we cover, PLGO is clearly cheaper than it is fast-growing, so the nightly engine files it under Value (value score 85, growth score 59, out of 100).

Nine valuation models for PLGO

Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.

Quality and financial health

On financial health PLGO scores 7/9 (Piotroski): most of the nine tests - positive earnings and cash flow, falling debt, rising margins and turnover - are passed, which is the kind of balance sheet a wheel trader is happy to be assigned. The GLS Moat score is 6.7 out of 10: a record that is solid on some of the four parts the score weighs (returns on capital, pricing power, lasting growth, balance sheet) and weaker on others.

Returns on capital are moderate - ROIC 7.0%, ROE 9.4%, ROA 1.8% - with debt at 0.35 times equity and a free-cash-flow yield of 27.8%.

The dividend yield is 2.19% at a payout ratio of 14%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold.

Institutional ownership scores 5/10, insider activity 5/10 and Congressional trading 5/10 on the GLS smart-money scales.

Wheel Score 36: No options

PLGO has no listed options in the nightly snapshot, so there is nothing to sell and the stock cannot be wheeled however good the business. It fails the first Wheel Trade Filter (options that actually trade), so the score stays under 70 and is shown as "No options" (36 here). The valuation and quality numbers still apply to owning the shares outright.

Volume runs at 640k shares a day on a market cap of $2.3B, with a beta of 0.29 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score rates that fair.

The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls: a stock must pass all 9 Wheel Trade Filters to score 70, and the score then ranks the ones that pass; the Sunday Scan is the top 10. It is updated nightly and is not a recommendation. How the Wheel Score works · the walkthrough lesson shows how it fits into a trade, start to finish.

Upcoming events

Pelagos Insurance Capital Limit reports earnings on 11 Nov 2026 (after the close) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.

Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.

Similar stocks in Insurance - Diversified

The 12 companies below are the closest to Pelagos Insurance Capital Limit by market cap within the Insurance - Diversified industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.

⚖ Compare PLGO with 7 of them   All Financial Services stocks →