Head to Head Analysis: Kingsway Financial Services (NYSE:KFS) vs. Fidelis Insurance (NYSE:FIHL)

Kingsway Financial Services (NYSE:KFS) and Fidelis Insurance (NYSE:FIHL) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, valuation, dividends, risk, profitability, analyst recommendations and institutional ownership.

Earnings & Valuation

This table compares Kingsway Financial Services and Fidelis Insurance’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kingsway Financial Services	$106.11 million	2.10	$23.56 million	N/A	N/A
Fidelis Insurance	$3.60 billion	0.60	$2.13 billion	$4.12	4.42

Fidelis Insurance has higher revenue and earnings than Kingsway Financial Services.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Kingsway Financial Services and Fidelis Insurance, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kingsway Financial Services	0	0	0	0	N/A
Fidelis Insurance	0	3	3	0	2.50

Fidelis Insurance has a consensus price target of $20.00, indicating a potential upside of 9.83%. Given Fidelis Insurance’s higher probable upside, analysts plainly believe Fidelis Insurance is more favorable than Kingsway Financial Services.

Institutional & Insider Ownership

72.4% of Kingsway Financial Services shares are owned by institutional investors. Comparatively, 82.0% of Fidelis Insurance shares are owned by institutional investors. 54.8% of Kingsway Financial Services shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Kingsway Financial Services and Fidelis Insurance’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kingsway Financial Services	-7.45%	-24.54%	-2.83%
Fidelis Insurance	20.96%	15.67%	3.43%

Risk & Volatility

Kingsway Financial Services has a beta of -0.08, meaning that its share price is 108% less volatile than the S&P 500. Comparatively, Fidelis Insurance has a beta of -0.1, meaning that its share price is 110% less volatile than the S&P 500.

Summary

Fidelis Insurance beats Kingsway Financial Services on 8 of the 11 factors compared between the two stocks.

About Kingsway Financial Services

Kingsway Financial Services Inc., through its subsidiaries, engages in the extended warranty and business services in the United States. The company operates through two segments, Extended Warranty and Kingsway Search Xcelerator. The Extended Warranty segment markets, sells, and administers vehicle service agreements and related products for new and used automobiles, motorcycles, and ATVs. This segment also markets and distributes warranty products to manufacturers, distributors, and installers of heating, ventilation and air conditioning, standby generator, commercial LED lighting, and commercial refrigeration equipment; and provides equipment breakdown and maintenance support services to companies, as well as after-market vehicle protection services. The Kingsway Search Xcelerator offers outsourced finance and human resources consulting services, including operational accounting, such as bookkeeping, accounting, financial reporting, and analysis and strategic finance services; technical accounting comprising initial public offerings, Securities and Exchange Commission reporting, and international consolidation services; human resources, workforce management, and compliance support services; and advisory services. This segment also provides financial executive services for project and interim staffing engagements; search services for permanent placements; healthcare staffing services to acute healthcare facilities for short-term and day-to-day needs of hospitals; software products for the management needs of all types of shared-ownership properties; and fully managed outsourced cardiac telemetry services, as well as provides mobile monitors to the hospitals. The company offers its products and services through credit unions and dealers. Kingsway Financial Services Inc. was incorporated in 1989 and is headquartered in Chicago, Illinois.

About Fidelis Insurance

Fidelis Insurance Holdings Limited, together with its subsidiaries, provides insurance and reinsurance products in Bermuda, the Republic of Ireland, and the United Kingdom. It operates in three segments: Specialty, Reinsurance, and Bespoke segments. The Specialty segment offers aviation and aerospace, energy, marine, property direct and facultative, and other specialty risk solutions. The Reinsurance segment provides property, retrocession, and whole account reinsurance solutions. The Bespoke segment offers customized risk solutions for clients that include credit and political risk, and other risk transfer opportunities, including political violence and terrorism, limited cyber reinsurance, tax liabilities, title, transactional liabilities, and other bespoke solutions. Fidelis Insurance Holdings Limited was incorporated in 2014 and is headquartered in Pembroke, Bermuda.