Security National Financial (SNFCA) AI Stock Analysis

• Market Cap: $222.03M
• Dividend Yield: N/A
• Average Volume (3M): 46.31K
• Price to Earnings (P/E): 9.8
• Beta (1Y): 1.30
• Revenue Growth: 5.49%
• EPS Growth: 4.30%
• Country: US
• Employees: 1,186
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Mortgages
• EPS (TTM): 0.24
• Shares Outstanding: 22,394,867
• 10 Day Avg. Volume: 32,269
• 30 Day Avg. Volume: 46,314
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.69
• Enterprise Value/Revenue: 1.48
• Enterprise Value/Gross Profit: 1.50
• Enterprise Value/Ebitda: 10.77
• 1Y Price Target: $9.50
• Price Target Upside: 10.72% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 68 Neutral
• Price Target: $9.50 ▲(10.72% Upside)

The overall stock score reflects a balanced view of the company's strengths and challenges. Strong financial management and undervaluation are key positives, while declining revenues and mixed earnings call sentiment pose risks. Technical indicators suggest a cautious approach due to bearish trends.

Security National Financial Business Overview & Revenue Model

Company Description

Security National Financial Corporation engages in the life insurance, cemetery and mortuary, and mortgage businesses. The company's Life Insurance segment is involved in selling and servicing lines of life insurance, annuity products, and accident and health insurance. It offers various life insurance products, including funeral plans and interest-sensitive life insurance, as well as other traditional life, accident, and health insurance products; annuity products comprising single and flexible premium deferred annuities, and immediate annuities; and diver's accident policies. This segment also cedes and assumes various risks with various authorized unaffiliated reinsurers pursuant to reinsurance treaties. Its Cemetery and Mortuary segment operates eleven mortuaries and five cemeteries in Utah; one cemetery in California; and four mortuaries and one cemetery in New Mexico. This segment also offers plots, interment vaults, mausoleum crypts, markers, caskets, urns, and other death care related products; and provides professional services of funeral directors, opening and closing of graves, use of chapels and viewing rooms, and use of automobiles and clothing. The company's Mortgages segment originates and underwrites residential and commercial loans for new construction, existing homes, and real estate projects primarily in Florida, Nevada, Texas, and Utah. It offers residential mortgage lending services to real estate brokers and builders, as well as directly with consumers. Security National Financial Corporation was founded in 1965 and is headquartered in Salt Lake City, Utah.

How the Company Makes Money

Security National Financial Corporation generates revenue through multiple streams. Its life insurance segment earns money primarily from premiums collected from policyholders, which are invested to generate investment income. Additionally, the company offers annuities, which provide a steady income stream and also contribute to revenue through premium payments. In the mortgage segment, SNFCA earns money by originating loans and collecting fees for mortgage services, as well as through the sale of these loans on the secondary market. The company may also benefit from partnerships with financial institutions and real estate companies that facilitate its mortgage operations. Overall, a combination of premium income, investment returns, and mortgage fees constitutes the core of SNFCA's revenue model.

Security National Financial Financial Statement Overview

Summary

Security National Financial demonstrates strong cash flow management and stable leverage, but faces challenges with declining revenue growth and reduced return on equity. The high gross profit margin is a positive aspect, yet overall profitability is under pressure.

Income Statement

The income statement shows a strong gross profit margin consistently near 100%, indicating efficient cost management. However, the company has experienced a significant decline in revenue growth rate, particularly in the TTM period, with a decrease of 24.8%. Net profit margin has improved slightly in the TTM period compared to the previous year, but overall profitability is under pressure due to declining revenues.

Balance Sheet

The balance sheet reflects a stable financial position with a moderate debt-to-equity ratio of 0.35 in the TTM period, showing effective leverage management. Return on equity has decreased over time, indicating reduced profitability from shareholders' equity. The equity ratio remains healthy, suggesting a solid capital structure.

Cash Flow

Cash flow analysis reveals a strong operating cash flow to net income ratio in the TTM period, indicating robust cash generation relative to net income. Free cash flow growth has been positive, although it has slowed compared to previous years. The free cash flow to net income ratio remains high, demonstrating effective cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	252.85M	334.52M	318.50M	389.65M	468.67M	481.46M
Gross Profit	250.30M	334.52M	318.50M	389.65M	470.70M	481.46M
EBITDA	34.78M	47.14M	25.53M	42.21M	58.93M	80.03M
Net Income	22.63M	26.54M	14.50M	25.69M	39.52M	55.60M
Balance Sheet
Total Assets	1.54B	1.48B	1.43B	1.46B	1.55B	1.55B
Cash, Cash Equivalents and Short-Term Investments	116.11M	212.14M	163.36M	466.78M	390.64M	400.88M
Total Debt	122.93M	106.74M	105.56M	161.71M	251.29M	297.82M
Total Liabilities	1.19B	1.14B	1.12B	1.17B	1.25B	1.28B
Stockholders Equity	354.75M	338.78M	312.90M	292.79M	299.77M	263.99M
Cash Flow
Free Cash Flow	9.18B	54.85M	52.77M	128.85M	139.42M	-131.26M
Operating Cash Flow	9.63B	57.32M	53.88M	130.45M	144.64M	-129.63M
Investing Cash Flow	-29.37B	-43.13M	14.61M	-37.16M	-63.61M	36.14M
Financing Cash Flow	13.56M	-4.01M	-62.04M	-101.22M	-55.08M	71.21M

Security National Financial Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 8.58
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SNFCA, the sentiment is Negative. The current price of 8.58 is below the 20-day moving average (MA) of 8.70, below the 50-day MA of 8.71, and below the 200-day MA of 10.09, indicating a bearish trend. The MACD of -0.03 indicates Positive momentum. The RSI at 45.95 is Neutral, neither overbought nor oversold. The STOCH value of 26.65 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SNFCA.

Security National Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
SNFCA	68 Neutral	$222.03M	9.77	6.65%	―	5.49%	4.30%
VEL	68 Neutral	$692.66M	8.25	15.02%	―	35.12%	25.28%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
PFSI	64 Neutral	$6.37B	17.07	10.05%	0.97%	20.77%	96.22%
LDI	58 Neutral	$992.78M	―	-23.67%	―	6.60%	44.77%
GHLD	58 Neutral	$1.24B	51.13	2.12%	2.49%	34.62%	-7.94%
ECPG	52 Neutral	$950.62M	―	-9.46%	―	17.57%	55.46%

Security National Financial Corporate Events

Security National Financial Holds Annual Stockholders Meeting

On June 27, 2025, Security National Financial Corporation held its Annual Meeting of Stockholders in Salt Lake City, Utah, where a quorum was achieved with 19,756,812 shares represented. During the meeting, stockholders approved the election of nine directors, the amendment of the 2022 Equity Incentive Plan to issue additional shares, and the appointment of Deloitte & Touche, LLP as the independent accountants for 2025. These decisions are expected to impact the company’s governance and financial strategies moving forward.

Security National Financial Declares 5% Stock Dividend

Security National Financial Corporation, a company listed on NASDAQ under the ticker SNFCA, announced a 5% stock dividend for its Class A and Class C common stockholders. This dividend, declared on June 27, 2025, will be issued on July 18, 2025, to stockholders of record as of July 11, 2025. The company has consistently issued stock dividends for 37 years, with the exception of a 7.5% dividend in 2020, highlighting its commitment to providing value to its shareholders.