SelectQuote, Inc.SLQT

NYSEFinanceInsurance Agents, Brokers & Service
Price (close)
$0.41
Market cap
$72.4M
P/E
1.2x
Revenue (TTM)
$1.6B
Net income
$62.2M
Dividend yield
—
1-year total return
-79.5%
Net margin
3.8%
Revenue growth
6.0%
Debt / equity
1.05x

What SelectQuote, Inc. does.

SelectQuote, Inc. (together with its subsidiaries, “SelectQuote”, the “Company”, “we”, “us”) is a leading technology-enabled, direct-to-consumer (“DTC”) distribution and engagement platform for selling insurance policies and healthcare services.

In recent years, we have increasingly focused on expanding our healthcare services platform as a natural extension of our core Senior distribution insurance business. This strategic shift reflects our prioritization of higher-growth opportunities in areas such as pharmacy services. At the same time, we have de-emphasized production within our Auto & Home distribution insurance business, which no longer represents a core area of focus. Our strategy is focused on delivering more comprehensive and personalized healthcare solutions that meet the evolving needs of our senior customers.

Our insurance distribution business, which has operated continuously for over 40 years, allows consumers to transparently and conveniently shop for senior health, life, and automobile and home insurance policies from a curated panel of the nation’s leading insurance carriers. As an insurance distributor, we do not insure the consumer, but rather identify consumers looking to acquire insurance products and place these consumers with insurance carrier partners that provide these products. In return, we earn commissions from our insurance carrier partners for the policies we sell on their behalf. Our proprietary technology platform integrates artificial intelligence and data science based machine learning models to analyze and identify high-quality consumer leads from diverse online and offline channels, such as digital marketing, radio, television, and third-party partnerships. Leveraging over 40 years of accumulated data and advanced predictive analytics, our technology dynamically optimizes marketing spend in real-time. Our intelligent workflow system instantly evaluates each acquired lead, routing it efficiently to the most suitable sales agent based on consumer needs and agent expertise. Our platform then captures and utilizes our experience to further build upon the millions of data points that feed our marketing algorithms, further enhancing our ability to deploy subsequent marketing dollars efficiently and target more high-quality consumer leads. We have built our business model to maximize commissions collected over the life of an approved policy, a metric we refer to as “ lifetime value of commissions” or “LTV”, which is a key component to our overall profitability.

Revenue and profit, by fiscal year.

Fiscal year202120222023202420252026
Revenue$930.0M$764.0M$1.0B$1.3B$1.5B$1.6B
Net income$124.9M-$297.5M-$58.5M-$34.1M$47.6M$62.2M
Free cash flow-$130.3M-$363.1M-$20.8M$11.9M-$13.9M$27.6M

More on SLQT.

Figures from SelectQuote, Inc.'s filings with the U.S. SEC, standardised automatically; prices are end-of-day closes. Not financial advice.