Fidelis Insurance (NYSE:FIHL) vs. Fidelity National Financial (NYSE:FNF) Head-To-Head Review

Fidelis Insurance (NYSE:FIHL) and Fidelity National Financial (NYSE:FNF) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, risk, dividends, institutional ownership, earnings, profitability and valuation.

Volatility and Risk

Fidelis Insurance has a beta of 0.25, meaning that its share price is 75% less volatile than the S&P 500. Comparatively, Fidelity National Financial has a beta of 1.02, meaning that its share price is 2% more volatile than the S&P 500.

Insider & Institutional Ownership

82.0% of Fidelis Insurance shares are owned by institutional investors. Comparatively, 81.2% of Fidelity National Financial shares are owned by institutional investors. 5.5% of Fidelity National Financial shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Fidelis Insurance and Fidelity National Financial”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fidelis Insurance	$2.42 billion	0.80	$113.30 million	($0.13)	-134.92
Fidelity National Financial	$13.68 billion	1.21	$1.27 billion	$3.94	15.51

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

Dividends

Fidelis Insurance pays an annual dividend of $0.40 per share and has a dividend yield of 2.3%. Fidelity National Financial pays an annual dividend of $2.00 per share and has a dividend yield of 3.3%. Fidelis Insurance pays out -307.7% of its earnings in the form of a dividend. Fidelity National Financial pays out 50.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Fidelity National Financial has increased its dividend for 1 consecutive years. Fidelity National Financial is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Fidelis Insurance	-0.41%	0.20%	0.04%
Fidelity National Financial	7.93%	14.30%	1.28%

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Fidelis Insurance and Fidelity National Financial, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fidelis Insurance	1	2	4	0	2.43
Fidelity National Financial	0	1	4	0	2.80

Fidelis Insurance presently has a consensus target price of $20.6667, suggesting a potential upside of 17.83%. Fidelity National Financial has a consensus target price of $71.20, suggesting a potential upside of 16.55%. Given Fidelis Insurance’s higher probable upside, equities analysts clearly believe Fidelis Insurance is more favorable than Fidelity National Financial.

Summary

Fidelity National Financial beats Fidelis Insurance on 13 of the 16 factors compared between the two stocks.

About Fidelis Insurance

Fidelis Insurance Holdings Limited, a specialty insurer, provides insurance and reinsurance solutions 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, as well as 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.

About Fidelity National Financial

Fidelity National Financial, Inc., together with its subsidiaries, provides various insurance products in the United States. The company operates through Title, F&G, and Corporate and Other segments. It offers title insurance, escrow, and other title related services, including trust activities, trustee sales guarantees, recordings and reconveyances, and home warranty products. The company also provides technology and transaction services to the real estate and mortgage industries; and mortgage transaction services, including title-related services and facilitation of production and management of mortgage loans. In addition, it offers annuity and life insurance products, such as deferred and immediate annuities, as well as indexed universal life insurance products; and funding agreements and pension risk transfer (PRT) solutions. Further, the company engages in the real estate brokerage business. Fidelity National Financial, Inc. was incorporated in 2005 and is headquartered in Jacksonville, Florida.