Critical Analysis: Health In Tech (NASDAQ:HIT) vs. Marsh (NYSE:MRSH)

Marsh (NYSE:MRSH) and Health In Tech (NASDAQ:HIT) are both financial services companies, but which is the better business? We will compare the two companies based on the strength of their profitability, analyst recommendations, dividends, earnings, risk, valuation and institutional ownership.

Earnings and Valuation

This table compares Marsh and Health In Tech”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Marsh	$26.98 billion	3.12	$4.16 billion	$8.43	20.65
Health In Tech	$30.72 million	2.02	$1.71 million	$0.03	36.33

Marsh has higher revenue and earnings than Health In Tech. Marsh is trading at a lower price-to-earnings ratio than Health In Tech, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Marsh has a beta of 0.75, suggesting that its stock price is 25% less volatile than the S&P 500. Comparatively, Health In Tech has a beta of 8.53, suggesting that its stock price is 753% more volatile than the S&P 500.

Insider & Institutional Ownership

88.0% of Marsh shares are owned by institutional investors. 0.4% of Marsh shares are owned by insiders. Comparatively, 77.7% of Health In Tech shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and recommmendations for Marsh and Health In Tech, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Marsh	0	6	1	0	2.14
Health In Tech	1	0	0	1	2.50

Marsh currently has a consensus target price of $204.86, suggesting a potential upside of 17.67%. Health In Tech has a consensus target price of $2.50, suggesting a potential upside of 129.36%. Given Health In Tech’s stronger consensus rating and higher probable upside, analysts plainly believe Health In Tech is more favorable than Marsh.

Profitability

This table compares Marsh and Health In Tech’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Marsh	15.42%	31.60%	8.26%
Health In Tech	N/A	N/A	N/A

Summary

Marsh beats Health In Tech on 9 of the 15 factors compared between the two stocks.

About Marsh

Marsh & McLennan Companies, Inc., a professional services company, provides advice and solutions to clients in the areas of risk, strategy, and people worldwide. It operates in two segments, Risk and Insurance Services, and Consulting. The Risk and Insurance Services segment offers risk management services, such as risk advice, risk transfer, and risk control and mitigation solutions, as well as insurance and reinsurance broking, catastrophe and financial modeling, and related advisory services; and insurance program management services. This segment serves businesses, public entities, insurance companies, associations, professional services organizations, and private clients. The Consulting segment provides health, wealth, and career consulting services and products; and specialized management, as well as economic and brand consulting services. Marsh & McLennan Companies, Inc. was founded in 1871 and is headquartered in New York, New York.

About Health In Tech

Health in Tech, Inc. engages in the provision of insurance technology platforms which offer a marketplace of processes in the healthcare industry. Its services include Stone Mountain Risk, eDIYBS, HI Card, HI Performance Network, and Ancillary Products. The company was founded by Tim Johnson in 2014 and is headquartered in Stuart, FL.