Analyzing Skyward Specialty Insurance Group (NASDAQ:SKWD) and Hamilton Insurance Group (NYSE:HG)

Hamilton Insurance Group (NYSE:HG) and Skyward Specialty Insurance Group (NASDAQ:SKWD) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, dividends, profitability, valuation, earnings, risk and institutional ownership.

Profitability

This table compares Hamilton Insurance Group and Skyward Specialty Insurance Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hamilton Insurance Group	21.88%	21.92%	6.70%
Skyward Specialty Insurance Group	12.24%	16.39%	3.57%

Valuation & Earnings

This table compares Hamilton Insurance Group and Skyward Specialty Insurance Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hamilton Insurance Group	$2.30 billion	0.84	$258.73 million	$4.47	4.29
Skyward Specialty Insurance Group	$1.09 billion	1.87	$85.98 million	$3.28	15.55

Hamilton Insurance Group has higher revenue and earnings than Skyward Specialty Insurance Group. Hamilton Insurance Group is trading at a lower price-to-earnings ratio than Skyward Specialty Insurance Group, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

29.2% of Hamilton Insurance Group shares are held by institutional investors. Comparatively, 94.8% of Skyward Specialty Insurance Group shares are held by institutional investors. 2.7% of Hamilton Insurance Group shares are held by company insiders. Comparatively, 8.0% of Skyward Specialty Insurance Group shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Hamilton Insurance Group and Skyward Specialty Insurance Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hamilton Insurance Group	0	1	4	0	2.80
Skyward Specialty Insurance Group	0	3	7	1	2.82

Hamilton Insurance Group currently has a consensus target price of $22.60, indicating a potential upside of 17.89%. Skyward Specialty Insurance Group has a consensus target price of $46.89, indicating a potential downside of 8.06%. Given Hamilton Insurance Group’s higher possible upside, research analysts clearly believe Hamilton Insurance Group is more favorable than Skyward Specialty Insurance Group.

About Hamilton Insurance Group

Hamilton Insurance Group, Ltd., through its subsidiaries, provides underwriting specialty insurance and reinsurance risks in Bermuda and internationally. The company operates Hamilton Global Specialty, Hamilton Select, and Hamilton Re underwriting platforms. The company offers casualty reinsurance products, such as commercial motor, general liability, healthcare, multiline, personal motor, professional liability, umbrella and excess casualty, and worker's compensation and employer's liability reinsurance; property reinsurance and insurance; and specialty reinsurance solutions, including accident and health, aviation and space, crisis management, mortgage, financial lines, marine and energy, and multiline specialty. In addition, it offers accident and health, cyber, energy, environmental, financial lines, fine art and specie, kidnap and ransom, mergers and acquisitions, marine and energy liability, political risk and violence, professional liability, property binders, property direct and facultative, professional lines, space, upstream energy, excess casualty, war and terrorism, allied medical, management liability, medical professionals, general liability, products liability and contractors, and small business casualty insurance plans, as well as surety and treaty reinsurance products. The company was incorporated in 2013 and is headquartered in Pembroke, Bermuda.

About Skyward Specialty Insurance Group

Skyward Specialty Insurance Group, Inc., an insurance holding company, underwrites commercial property and casualty insurance products in the United States. It offers general liability, excess liability, professional liability, commercial auto, group accident and health, property, surety, and workers' compensation insurance products. Skyward Specialty Insurance Group, Inc. was incorporated in 2006 and is headquartered in Houston, Texas.