Arthur J. Gallagher & Co. (NYSE:AJG – Get Free Report) and Oxbridge Re (NASDAQ:OXBR – Get Free Report) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, dividends, profitability, institutional ownership, risk, analyst recommendations and valuation.
Institutional & Insider Ownership
85.5% of Arthur J. Gallagher & Co. shares are held by institutional investors. Comparatively, 5.6% of Oxbridge Re shares are held by institutional investors. 1.6% of Arthur J. Gallagher & Co. shares are held by company insiders. Comparatively, 19.5% of Oxbridge Re shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Earnings & Valuation
This table compares Arthur J. Gallagher & Co. and Oxbridge Re”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Arthur J. Gallagher & Co. | $11.40 billion | 7.03 | $1.46 billion | $6.91 | 45.30 |
| Oxbridge Re | $550,000.00 | 31.25 | -$2.73 million | ($0.30) | -7.70 |
Arthur J. Gallagher & Co. has higher revenue and earnings than Oxbridge Re. Oxbridge Re is trading at a lower price-to-earnings ratio than Arthur J. Gallagher & Co., indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a summary of recent ratings and target prices for Arthur J. Gallagher & Co. and Oxbridge Re, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Arthur J. Gallagher & Co. | 2 | 7 | 5 | 0 | 2.21 |
| Oxbridge Re | 0 | 0 | 1 | 0 | 3.00 |
Arthur J. Gallagher & Co. presently has a consensus target price of $318.21, suggesting a potential upside of 1.65%. Oxbridge Re has a consensus target price of $5.00, suggesting a potential upside of 116.45%. Given Oxbridge Re’s stronger consensus rating and higher probable upside, analysts plainly believe Oxbridge Re is more favorable than Arthur J. Gallagher & Co..
Volatility & Risk
Arthur J. Gallagher & Co. has a beta of 0.71, meaning that its share price is 29% less volatile than the S&P 500. Comparatively, Oxbridge Re has a beta of 1.58, meaning that its share price is 58% more volatile than the S&P 500.
Profitability
This table compares Arthur J. Gallagher & Co. and Oxbridge Re’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Arthur J. Gallagher & Co. | 14.39% | 14.83% | 3.80% |
| Oxbridge Re | -143.80% | -41.78% | -23.85% |
Summary
Arthur J. Gallagher & Co. beats Oxbridge Re on 9 of the 14 factors compared between the two stocks.
About Arthur J. Gallagher & Co.
Arthur J. Gallagher & Co. engages in the provision of insurance brokerage, reinsurance brokerage, consulting, and third-party claims settlement and administration services. It operates through the following segments: Brokerage, Risk Management, and Corporate. The Brokerage segment consists of retail and wholesale insurance brokerage operations. The Risk Management segment provides contract claim settlement and administration services. The Corporate segment manages clean energy and other investments. The company was founded by Arthur J. Gallagher in 1927 and is headquartered in Rolling Meadows, IL.
About Oxbridge Re
Oxbridge Re Holdings Limited, through its subsidiaries, provides specialty property and casualty reinsurance solutions. The company underwrites collateralized reinsurance contracts primarily for property and casualty insurance companies in the Gulf Coast region of the United States. It also issues reinsurance contracts through digital securities by blockchain technology. In addition, the company offers fractional aircraft ownership, jet card, aircraft brokerage, and charter service through its fleet of private aircraft. It distributes its products and solutions through reinsurance brokers. Oxbridge Re Holdings Limited was incorporated in 2013 and is headquartered in George Town, the Cayman Islands.
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