Fairfax Financial Holdings Limited (FAXRF)
For informational purposes only. Not financial advice. Analysis by Sedat ANAK, Founder & Editor-in-Chief | AI-powered analysis. Data sourced from SEC filings and institutional-grade financial providers. Editorially reviewed. Not financial advice.
Fairfax Financial Holdings Limited (FAXRF) trades at $13.50 with AI Score 48/100 (Grade C). Fairfax Financial Holdings Limited is a financial services company providing property and casualty insurance, reinsurance, and investment management services. Market cap: $294.49M, Sector: Financial services.
Price live · AI analysis from Mar 16, 2026Analyst Coverage for FAXRF: FAXRF does not currently have published analyst price targets in our coverage universe. This is common for smaller-cap names with limited Wall Street coverage. In the absence of analyst consensus, our AI model evaluates FAXRF against Financial Services peers across nine fundamental dimensions and assigns an underweight signal based on the underlying data.
FAXRF: the 1 perspectives are evenly split.
How is this calculated? →Fairfax Financial Holdings Limited (FAXRF) Financial Services Profile
Fairfax Financial Holdings Limited is a global financial services firm specializing in property and casualty insurance and reinsurance, with a diversified investment portfolio and a presence in the United States, Canada, Asia, and other international markets, demonstrating a commitment to long-term value creation through strategic acquisitions and operational expertise.
What Is the Investment Thesis for FAXRF?
Fairfax Financial Holdings Limited presents a compelling investment case based on its diversified business model and global presence in the insurance and reinsurance sectors. With a P/E ratio of 7.28 and a profit margin of 15.8%, the company exhibits strong profitability. Key value drivers include strategic acquisitions and effective underwriting practices. Growth catalysts involve expanding its presence in emerging markets and leveraging its investment management expertise. Potential risks include exposure to catastrophic events and fluctuations in investment returns. The company's beta of 0.79 suggests lower volatility compared to the broader market. The dividend yield of 0.92% provides a modest income stream for investors. Monitoring the combined ratio and investment performance will be crucial in assessing Fairfax's long-term value creation.
Based on FMP financials and quantitative analysis
FAXRF Key Highlights
- Market capitalization of $294.49M reflects the company's current valuation in the market.
- P/E ratio of 7.28 indicates the stock is potentially undervalued compared to its earnings.
- Profit margin of 15.8% demonstrates the company's ability to generate profit from its revenue.
- Gross margin of 21.7% shows the profitability of its core insurance and reinsurance operations.
- Beta of 0.79 suggests the stock is less volatile than the overall market, offering stability to investors.
Who Are FAXRF's Competitors?
FAXRF is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.
| Company | Price | Change | Market Cap | AI Score |
|---|---|---|---|---|
| BNZIF Fideicomiso Irrevocable F/2061 FHipo | $0.49 | +0.00% | $284.23M | 60 |
| BRSGF Queen's Road Capital Investment Ltd. | $10.23 | +4.82% | $521.98M | 52 |
| DVTC Development Technologies Corp. | $5.00 | +0.00% | $272.50M | 44 |
| FZRO FlashZero Corp. | $2.00 | +0.00% | $346.20M | 59 |
| HLAN Heartland BancCorp | $160.00 | -1.23% | $323.61M | 49 |
| BZLYF Beazley plc | $17.30 | +0.00% | $10.23B | 70 |
| DIISY Direct Line Insurance Group plc | $18.00 | +15.16% | $5.85B | 66 |
| SKWD Skyward Specialty Insurance Group, Inc. | $59.63 | -2.91% | $2.42B | 64 |
AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance
What Are FAXRF's Key Strengths?
- Diversified business model across insurance, reinsurance, and non-insurance sectors.
- Global presence with operations in the United States, Canada, Asia, and other international markets.
- Strong underwriting discipline and risk management expertise.
- Proven track record of successful acquisitions and integrations.
What Are FAXRF's Weaknesses?
- Exposure to catastrophic events and potential for significant losses.
- Fluctuations in investment returns can impact overall profitability.
- Complexity of managing a diverse portfolio of businesses.
- Reliance on key personnel and potential for succession challenges.
What Could Drive FAXRF Stock Higher?
- Strategic acquisitions to expand product offerings and geographic reach.
- Leveraging technology to improve efficiency and customer service.
- Developing new insurance products and services to cater to evolving customer needs.
- Expansion in emerging markets with high growth potential.
- Investment management expertise driving returns.
What Are the Key Risks for FAXRF?
- Financial-distress signal — its Altman Z-Score of 0.84 sits in the distress zone (elevated bankruptcy risk).
- Exposure to catastrophic events and potential for significant losses.
- Fluctuations in investment returns can impact overall profitability.
- Increasing competition in the insurance and reinsurance markets.
- Regulatory changes and compliance costs.
- Cybersecurity risks and data breaches.
What Are the Growth Opportunities for FAXRF?
- Expansion in Emerging Markets: Fairfax can leverage its expertise to expand its insurance and reinsurance operations in high-growth emerging markets, particularly in Asia and Latin America. These regions offer significant opportunities due to increasing insurance penetration rates and growing economies. The emerging market insurance sector is projected to reach $1.5 trillion by 2030, presenting a substantial growth avenue for Fairfax. Timeline: Ongoing.
- Strategic Acquisitions: Fairfax has a track record of successful acquisitions, which can continue to drive growth. By acquiring complementary businesses in the insurance and related sectors, Fairfax can expand its product offerings, geographic reach, and customer base. The global M&A market in the insurance sector is estimated at $200 billion annually. Timeline: Ongoing.
- Investment Management Expertise: Fairfax's investment management capabilities can generate additional revenue and enhance overall profitability. By effectively managing its investment portfolio, Fairfax can capitalize on market opportunities and generate attractive returns. The global asset management industry is valued at over $100 trillion. Timeline: Ongoing.
- Technological Innovation: Investing in technology to improve underwriting, claims processing, and customer service can enhance efficiency and competitiveness. By adopting advanced analytics and automation, Fairfax can reduce costs and improve the customer experience. The Insurtech market is projected to reach $150 billion by 2027. Timeline: Ongoing.
- Product Diversification: Fairfax can further diversify its product offerings to cater to evolving customer needs and market trends. This includes developing new insurance products and services, as well as expanding into related sectors such as cybersecurity and renewable energy. The global insurance market is constantly evolving, with new risks and opportunities emerging. Timeline: Ongoing.
What Opportunities Does FAXRF Have?
- Expansion in emerging markets with high growth potential.
- Strategic acquisitions to expand product offerings and geographic reach.
- Leveraging technology to improve efficiency and customer service.
- Developing new insurance products and services to cater to evolving customer needs.
What Threats Does FAXRF Face?
- Increasing competition in the insurance and reinsurance markets.
- Regulatory changes and compliance costs.
- Economic downturns and their impact on insurance demand and investment returns.
- Cybersecurity risks and data breaches.
What Are FAXRF's Competitive Advantages?
- Diversified business model reduces reliance on any single segment or market.
- Global presence provides access to diverse insurance markets and investment opportunities.
- Strong underwriting expertise and risk management capabilities.
- Proven track record of successful acquisitions and integrations.
- Experienced management team with a long-term investment horizon.
What Does FAXRF Do?
Fairfax Financial Holdings Limited, established in 1951 and headquartered in Toronto, Canada, operates as a diversified financial services company. Originally named Markel Financial Holdings Limited, it transitioned to Fairfax Financial Holdings Limited in 1987. The company's core business revolves around property and casualty insurance and reinsurance, alongside investment management services. Fairfax operates through three primary segments: Insurance and Reinsurance, Run-off, and Non-Insurance Companies. Its insurance products cover a broad spectrum of risks, including fire, explosion, earthquake, windstorm, flood, and construction defects. It also underwrites automobile, commercial and personal property, and crop insurance. Furthermore, Fairfax offers specialized insurance products such as workers' compensation, employer's liability, accident and health, medical malpractice, and marine and aerospace coverage. Beyond insurance, Fairfax has diversified into retail, travel, food processing, and entertainment, owning businesses that retail home improvement goods, toys, golf equipment, and operate holiday resorts. The company also provides integrated travel services, processes and distributes pulses and staple foods, and produces entertainment content, demonstrating a diversified approach to value creation.
What Products and Services Does FAXRF Offer?
- Provides property and casualty insurance.
- Offers reinsurance services to other insurance companies.
- Manages investments for its own account and for clients.
- Operates run-off businesses, managing discontinued insurance lines.
- Invests in and operates non-insurance companies across various sectors.
- Offers integrated travel and travel-related financial services.
- Engages in the origination, processing, and distribution of pulses and staple foods.
- Creates, produces, and distributes entertainment content.
How Does FAXRF Make Money?
- Generates revenue through premiums from property and casualty insurance and reinsurance policies.
- Earns investment income from managing its investment portfolio.
- Derives profits from its non-insurance businesses, including retail, travel, and food processing.
- Manages run-off insurance businesses to maximize value.
What Industry Does FAXRF Operate In?
Fairfax Financial Holdings Limited operates within the competitive property and casualty insurance industry. The industry is characterized by cyclical trends, regulatory oversight, and exposure to catastrophic events. Market trends include increasing demand for specialized insurance products and the adoption of technology to improve underwriting and claims processing. Competitors include companies like BNZIF (BNZ Holding Inc.) and BRSGF (Berkshire Hathaway Inc.), each vying for market share through differentiated products and services. Fairfax's diversified business model and global presence position it to capitalize on growth opportunities in both developed and emerging markets.
Who Are FAXRF's Key Customers?
- Individuals seeking property and casualty insurance.
- Businesses requiring commercial insurance coverage.
- Other insurance companies seeking reinsurance solutions.
- Travelers utilizing integrated travel and financial services.
- Consumers purchasing retail goods from Fairfax's portfolio companies.
How Fairfax Financial Holdings Limited Is Valued
Fairfax Financial Holdings Limited carries a market capitalization of $294.49M, placing it in the micro-cap category. Relative to its peer group, FAXRF's quantitative score of 48/100 is roughly in line with the peer average of 53/100.
Company Profile
Fairfax Financial Holdings Limited operates in the Insurance - Property & Casualty industry within the Financial Services sector. It is headquartered in Toronto, CA. The company is led by CEO V. Prem Watsa. FAXRF has traded publicly since 2013.
ROE 17%Key Financial Metrics
Return on equity for Fairfax Financial Holdings Limited stands at 17.3%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 4.2%, showing how much profit it generates from its asset base. FAXRF trades at a trailing price-to-earnings ratio of 7.54, below the Financial Services sector average of ~18x. Its free cash flow yield is 1.8%, a gauge of the cash the business throws off relative to its market value. A current ratio of 2.65 indicates the company holds enough short-term assets to cover its near-term obligations. Its earnings yield is 13.3%, the inverse of the P/E and a quick read on earnings relative to price.
F-Score 5/9Financial Health
Fairfax Financial Holdings Limited's Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 0.84 places it in the distress zone, a signal of elevated financial risk.
FY2026 estForward Outlook
Wall Street analysts project Fairfax Financial Holdings Limited revenue of about $35.38B for fiscal 2026, with EPS near $183.10.
FAXRF Financials
Fundamental Snapshot
Based on FMP financials and quantitative analysis · FY 2024
Bull Case vs Bear Case
Bull Case
- Diversified business model across insurance, reinsurance, and non-insurance sectors.
- Global presence with operations in the United States, Canada, Asia, and other international markets.
- Strong underwriting discipline and risk management expertise.
- Proven track record of successful acquisitions and integrations.
Bear Case
- Exposure to catastrophic events and potential for significant losses.
- Fluctuations in investment returns can impact overall profitability.
- Complexity of managing a diverse portfolio of businesses.
- Reliance on key personnel and potential for succession challenges.
AI-generated arguments based on insider flow, news sentiment and technicals — not financial advice · July 2026
FAXRF Latest News
No recent news available for FAXRF.
FAXRF Analyst Consensus
Consensus Rating
Aggregated Buy/Hold/Sell recommendations from Benzinga, Yahoo Finance, and Finnhub for FAXRF.
Price Targets
Wall Street price target analysis for FAXRF.
FAXRF MoonshotScore
What does this score mean?
The MoonshotScore rates FAXRF's growth potential on a scale of 0-100 across multiple factors including innovation, market disruption, financial health, and momentum.
Leadership: V. Prem Watsa
Chairman and CEO
V. Prem Watsa is the Chairman and CEO of Fairfax Financial Holdings Limited. He is a highly respected figure in the investment community, known for his value investing approach and long-term vision. Watsa has a strong background in finance and investment management. He is a graduate of the Indian Institute of Technology and holds an MBA from the University of Western Ontario. Prior to founding Fairfax, he held various positions in the financial industry, including roles at GW Asset Management and Confederation Life Insurance Company.
Track Record: Under V. Prem Watsa's leadership, Fairfax Financial Holdings Limited has grown from a small insurance company into a global financial services organization. He has overseen numerous strategic acquisitions and investments, including the acquisitions of Odyssey Re, Allied World Assurance, and Brit plc. Watsa is known for his contrarian investment style and his ability to identify undervalued assets. He has also successfully navigated numerous economic cycles and market challenges.
FAXRF OTC Market Information
The OTC Other tier represents the lowest tier of the OTC market, indicating that Fairfax Financial Holdings Limited (FAXRF) may not meet the minimum financial standards or reporting requirements of higher tiers like OTCQX or OTCQB. Companies on this tier may have limited or no financial disclosure, making it difficult for investors to assess their financial health and operational performance. Trading on the OTC Other tier carries significantly higher risks compared to exchanges like NYSE or NASDAQ, due to the lack of stringent listing requirements and regulatory oversight.
- OTC Tier: OTC Other
- Disclosure Status: Unknown
- Limited Financial Disclosure: Lack of comprehensive and timely financial information increases investment risk.
- Low Liquidity: Difficulty in buying or selling shares due to minimal trading volume.
- Higher Volatility: Prices can be more volatile due to the lack of institutional interest and market making.
- Potential for Fraud: Increased risk of fraudulent activities due to less regulatory oversight.
- Information Asymmetry: Limited access to company information compared to stocks listed on major exchanges.
- Verify the company's registration and legal standing.
- Review available financial statements, if any, for consistency and accuracy.
- Assess the company's business model and competitive landscape.
- Check for any regulatory actions or legal disputes involving the company.
- Evaluate the management team's experience and track record.
- Understand the ownership structure and any potential conflicts of interest.
- Consult with a financial advisor before investing.
- Established Business Operations: Fairfax Financial Holdings Limited has a long operating history.
- Regulatory Compliance: The company is subject to regulatory oversight in its insurance and reinsurance operations.
- Experienced Management Team: The company is led by a seasoned executive team with a proven track record.
- Global Presence: Fairfax operates in multiple countries, indicating a degree of stability and reach.
- Publicly Available Information: While disclosure may be limited on the OTC market, some information is available through press releases and regulatory filings.
What Investors Ask About Fairfax Financial Holdings Limited (FAXRF) — Financial Services
What does Fairfax Financial Holdings Limited do?
Fairfax Financial Holdings Limited is a diversified financial services company primarily engaged in property and casualty insurance and reinsurance. Through its subsidiaries, the company underwrites a wide range of insurance risks, including property, casualty, and specialty lines. Additionally, Fairfax manages investments for its own account and for clients. The company also operates non-insurance businesses in sectors such as retail, travel, and food processing, contributing to its diversified revenue streams and global presence.
What are the main risks for FAXRF?
Fairfax Financial Holdings Limited faces several key risks inherent to the insurance and financial services industries. Exposure to catastrophic events, such as hurricanes and earthquakes, could result in significant losses. Fluctuations in investment returns can impact overall profitability, particularly in volatile market conditions. Increasing competition in the insurance and reinsurance markets may put pressure on pricing and market share. Regulatory changes and compliance costs could also impact the company's financial performance. Additionally, cybersecurity risks and data breaches pose a threat to the company's operations and reputation.
What are the key factors to evaluate for FAXRF?
Fairfax Financial Holdings Limited (FAXRF) holds an AI score of 48/100 (low). Not financial advice.
How frequently does FAXRF data refresh on this page?
FAXRF prices update in real time during U.S. market hours. Fundamentals refresh after quarterly filings; analyst ratings and AI insights update daily; news is aggregated continuously.
What has driven FAXRF's recent stock price performance?
Fairfax Financial Holdings Limited (FAXRF) moves on earnings results, analyst revisions, sector rotation, and market sentiment. Notable catalyst: Diversified business model across insurance, reinsurance, and non-insurance sectors. See the News tab for the latest drivers. Past performance does not predict future results.
Should investors consider FAXRF overvalued or undervalued right now?
Valuing Fairfax Financial Holdings Limited (FAXRF) requires multiple metrics. Compare P/E, P/S, and EV/EBITDA against sector peers for a full view.
What research should beginners do before buying FAXRF?
Before investing in Fairfax Financial Holdings Limited (FAXRF), research these four areas: (1) the company's revenue model and competitive position (see Company Overview), (2) financial health through revenue growth, margins, and cash flow (see MoonshotScore), (3) what Wall Street analysts recommend and their price targets (see Analyst tab), and (4) specific risk factors that could impact the stock (see Risk Factors section).
Why might investors consider adding FAXRF to a portfolio?
Key strength of Fairfax Financial Holdings Limited (FAXRF): Diversified business model across insurance, reinsurance, and non-insurance sectors. Weigh rewards against risks and diversify. Not financial advice.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.
Official Resources
Data provided for informational purposes only.
- OTC market data may be less reliable than exchange-listed data.
- AI analysis is pending for more detailed insights.