Comparing Legal & General Group (OTCMKTS:LGGNY) and Horace Mann Educators (NYSE:HMN)

Legal & General Group (OTCMKTS:LGGNY) and Horace Mann Educators (NYSE:HMN) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, dividends, institutional ownership, profitability, earnings, analyst recommendations and risk.

Profitability

This table compares Legal & General Group and Horace Mann Educators’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Legal & General Group	N/A	N/A	N/A
Horace Mann Educators	8.49%	14.23%	1.29%

Analyst Recommendations

This is a summary of recent recommendations for Legal & General Group and Horace Mann Educators, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Legal & General Group	1	3	0	0	1.75
Horace Mann Educators	0	3	1	1	2.60

Horace Mann Educators has a consensus price target of $46.75, indicating a potential upside of 3.08%. Given Horace Mann Educators’ stronger consensus rating and higher probable upside, analysts plainly believe Horace Mann Educators is more favorable than Legal & General Group.

Insider and Institutional Ownership

0.0% of Legal & General Group shares are held by institutional investors. Comparatively, 99.3% of Horace Mann Educators shares are held by institutional investors. 4.0% of Horace Mann Educators shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Legal & General Group and Horace Mann Educators”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Legal & General Group	$13.51 billion	1.49	$244.08 million	N/A	N/A
Horace Mann Educators	$1.60 billion	1.16	$102.80 million	$3.38	13.42

Legal & General Group has higher revenue and earnings than Horace Mann Educators.

Volatility and Risk

Legal & General Group has a beta of 1.22, meaning that its share price is 22% more volatile than the S&P 500. Comparatively, Horace Mann Educators has a beta of 0.27, meaning that its share price is 73% less volatile than the S&P 500.

Dividends

Legal & General Group pays an annual dividend of $1.98 per share and has a dividend yield of 11.2%. Horace Mann Educators pays an annual dividend of $1.40 per share and has a dividend yield of 3.1%. Horace Mann Educators pays out 41.4% of its earnings in the form of a dividend. Horace Mann Educators has raised its dividend for 17 consecutive years.

Summary

Horace Mann Educators beats Legal & General Group on 10 of the 16 factors compared between the two stocks.

About Legal & General Group

Legal & General Group Plc provides various insurance products and services in the United Kingdom, the United States, and internationally. It operates in Legal & General Retirement Institutional (LGRI), Legal & General Investment Management (LGIM), Legal & General Capital (LGC), and Retail segments. The LGRI segment offers annuity contracts with guaranteed income for a specified time; and longevity insurance products. The LGIM segment offers index fund management; active fixed income funds and liquidity funds; active equity management; solution and liability driven investment; multi-asset funds; corporate pension scheme solutions; and real assets. The LGC segment provides investment strategy and implementation, and direct investment and structuring services. The Retail segment offers protection products, such as health, disability, critical illness, and accident; individual term assurance; reinsurance; savings and death benefits; annuities; lifetime mortgages; lifetime care plans; retirement interest only mortgages; and workplace savings scheme that provides corporate pension scheme solutions. It is also involved in the unit trust and institutional fund management, mortgage finance, treasury, building project and modular housing development, general insurance, and open-ended investment businesses. In addition, the company engages in the investment, operation, management, trading, and letting and operation of leased real estate; and construction of commercial buildings, financial intermediation, pension tracing and transfer, insurance agents and brokers, fund general partner, commercial lending, venture capital investing, contractual scheme, investor alternative investment fund, collective asset-management, and investment management activities; and provision of investment advisory, business information consultancy, and technology services. Legal & General Group Plc was founded in 1836 and is headquartered in London, the United Kingdom.

About Horace Mann Educators

Horace Mann Educators Corporation, together with its subsidiaries, operates as an insurance holding company in the United States. The company operates through Property & Casualty, Life & Retirement, and Supplemental & Group Benefits segments. Its Property & Casualty segment offers insurance products, including private passenger auto insurance, residential home insurance, and personal umbrella insurance; and provides auto coverages including liability and collision, and property coverage for homeowners and renters. The Life & Retirement segment markets tax-qualified fixed, fixed indexed, and variable annuities; and internal revenue code for educator, which allows public school employees and employees of other tax-exempt organizations, such as not-for-profit private schools, to utilize pretax income to make periodic contributions to a qualified retirement plan. The Supplemental & Group Benefits segment offers employer-sponsored products including accident, critical illness, limited-benefit fixed indemnity insurance, term life, and short-term and long-term disability, as well as worksite direct products, such as supplemental heart, cancer, disability, and accident coverage. The company was founded in 1945 and is headquartered in Springfield, Illinois.