Atlantic American Corporation (AAME) Fair Value & Analysis

Financial Services · US · Market cap $36.1M

Below-average quality, screening 84% undervalued on our models.

What matters now

• The price is below even our cautious bear case ($1.93). The market is more pessimistic than our downside scenario.
• The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.
• Solid quality (48/100) at a price below fair value, the discount is the argument here, not the business quality.
• A fairly wide model range ($1.93 to $3.68) leaves room in how you read the outcome.

Price vs Fair Value (5 years)

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 25, 2026.

How to read this chart

60‑month range $1.29 – $4.80 · fair‑value band $1.93 – $3.68 · the $1.53 price screens below the $2.81 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 25, 2026.

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Analysis

Atlantic American Corporation (AAME) currently trades at $1.53, while our model-based Fair Value estimate is $2.81, implying the stock looks roughly 83.7% undervalued today. The Quality Score stands at 48/100 (below-average quality), in the Financial Services sector. Bull case: trading below our estimate, it may offer upside if the fundamentals hold. Bear case: a low price can be a value trap when quality is weak or the data is thin (evidence: low), always confirm before acting.

Over the trailing twelve months, Atlantic American Corporation generated revenue of $208M at a net margin of 2.5%. Revenue grew 20.8% year over year. It earns a return on equity of 4.8%. Net debt stands at $2.2M. Fundamentals as of Jul 25, 2026

Our scenario range runs from $1.93 (bear case) to $3.68 (bull case); at $1.53, the current price sits below that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 59% below its 52-week high, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at 1% fair-value upside, at 84%, AAME screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Widest divergence: Asset-Based ($3.27) versus Growth DCF ($2.22). Highest evidence: Growth DCF (80).

Key figures & financial health

Quality Score breakdown

About the company

Atlantic American Corporation, through its subsidiaries, provides life and health, and property and casualty insurance products in the United States. It operates through American Southern and Bankers Fidelity segments.

Full company description

Atlantic American Corporation, through its subsidiaries, provides life and health, and property and casualty insurance products in the United States. It operates through American Southern and Bankers Fidelity segments. The company offers property and casualty insurance products, including commercial automobile insurance coverage for state governments, local municipalities, and other motor pools and fleets; general liability insurance; and inland marine insurance products. It also provides surety bond coverage for subdivision construction; school bus contracts; and performance and payment bonds. In addition, the company offers individual and group whole life insurance products; Medicare supplement insurance products; other accident and health insurance products comprising various individual and group policies for the payment of standard benefits for the treatment of cancer and other critical illnesses; Vantage Flex Plus, a hospital indemnity plan; and Vantage Recovery short-term care product and a group whole life product. It markets its products through independent agents and brokers. The company was founded in 1937 and is based in Atlanta, Georgia. Atlantic American Corporation operates as a subsidiary of Atlantic American / Delta Group.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2020 – FY2024 · reported fiscal years

Atlantic American Corporation reported revenue of $188M in FY2024 versus $195M in FY2020, a compound −0.9%/yr. Reported net income was −$4.3M in FY2024.

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Peer Group

Insurance - Life · 95 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Valuation Multiples vs Insurance - Life median · lower = cheaper

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

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Frequently asked questions

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.