Head to Head Analysis: Aflac (NYSE:AFL) and Hamilton Insurance Group (NYSE:HG)

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

Risk and Volatility

Aflac has a beta of 0.55, indicating that its stock price is 45% less volatile than the S&P 500. Comparatively, Hamilton Insurance Group has a beta of 0.33, indicating that its stock price is 67% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations for Aflac and Hamilton Insurance Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Aflac	4	8	4	0	2.00
Hamilton Insurance Group	0	3	4	2	2.89

Aflac presently has a consensus price target of $117.20, suggesting a potential downside of 6.46%. Hamilton Insurance Group has a consensus price target of $36.62, suggesting a potential downside of 1.64%. Given Hamilton Insurance Group’s stronger consensus rating and higher possible upside, analysts plainly believe Hamilton Insurance Group is more favorable than Aflac.

Earnings & Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Aflac	$17.16 billion	3.66	$3.65 billion	$9.33	13.43
Hamilton Insurance Group	$2.91 billion	1.26	$576.67 million	$5.23	7.12

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

Insider & Institutional Ownership

67.4% of Aflac shares are held by institutional investors. Comparatively, 29.2% of Hamilton Insurance Group shares are held by institutional investors. 0.8% of Aflac shares are held by insiders. Comparatively, 3.0% of Hamilton Insurance Group shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Aflac	26.91%	13.27%	3.34%
Hamilton Insurance Group	16.83%	24.05%	6.80%

Summary

Aflac beats Hamilton Insurance Group on 8 of the 14 factors compared between the two stocks.

About Aflac

Aflac Incorporated, through its subsidiaries, provides supplemental health and life insurance products. The company operates through Aflac Japan and Aflac U.S. segments. The Aflac Japan segment offers cancer, medical, nursing care, work leave, GIFT, and whole and term life insurance products, as well as WAYS and child endowment plans under saving type insurance products in Japan. The Aflac U.S. segment provides cancer, accident, short-term disability, critical illness, hospital indemnity, dental, vision, long-term care and disability, and term and whole life insurance products in the United States. It sells its products through sales associates, brokers, independent corporate agencies, individual agencies, and affiliated corporate agencies. Aflac Incorporated was founded in 1955 and is headquartered in Columbus, Georgia.

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.