Fidelity National Financial (NYSE:FNF) vs. International General Insurance (NASDAQ:IGIC) Head-To-Head Review

International General Insurance (NASDAQ:IGIC) and Fidelity National Financial (NYSE:FNF) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, profitability, risk, analyst recommendations, institutional ownership, dividends and earnings.

Dividends

International General Insurance pays an annual dividend of $0.20 per share and has a dividend yield of 0.8%. Fidelity National Financial pays an annual dividend of $2.00 per share and has a dividend yield of 3.4%. International General Insurance pays out 7.2% 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. International General Insurance has increased its dividend for 2 consecutive years and Fidelity National Financial has increased its dividend for 1 consecutive years.

Institutional & Insider Ownership

54.2% of International General Insurance shares are owned by institutional investors. Comparatively, 81.2% of Fidelity National Financial shares are owned by institutional investors. 20.1% of International General Insurance shares are owned by company insiders. Comparatively, 5.5% of Fidelity National Financial shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Valuation and Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
International General Insurance	$539.00 million	2.00	$135.15 million	$2.76	8.75
Fidelity National Financial	$13.68 billion	1.18	$1.27 billion	$3.94	15.10

Fidelity National Financial has higher revenue and earnings than International General Insurance. International General 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.

Risk and Volatility

International General Insurance has a beta of 0.26, indicating that its share price is 74% less volatile than the S&P 500. Comparatively, Fidelity National Financial has a beta of 1.05, indicating that its share price is 5% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
International General Insurance	23.52%	17.40%	5.51%
Fidelity National Financial	7.93%	14.30%	1.28%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for International General Insurance and Fidelity National Financial, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
International General Insurance	0	0	2	0	3.00
Fidelity National Financial	0	1	4	0	2.80

International General Insurance presently has a consensus target price of $31.50, indicating a potential upside of 30.43%. Fidelity National Financial has a consensus target price of $71.20, indicating a potential upside of 19.68%. Given International General Insurance’s stronger consensus rating and higher probable upside, research analysts plainly believe International General Insurance is more favorable than Fidelity National Financial.

Summary

International General Insurance beats Fidelity National Financial on 9 of the 17 factors compared between the two stocks.

About International General Insurance

International General Insurance Holdings Ltd. engages in the provision of specialty insurance and reinsurance solutions worldwide. The company operates through three segments: Specialty Long-tail, Specialty Short-tail, and Reinsurance. It is involved in underwriting a portfolio of specialty risks, including energy, property, construction and engineering, ports and terminals, general aviation, political violence, professional lines, financial institutions, motor, marine liability, contingency, marine, treaty, and casualty insurance and reinsurance. The company was founded in 2001 and is based in Amman, Jordan.

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.