Head to Head Comparison: Hitachi (OTCMKTS:HTHIY) vs. Markel Group (NYSE:MKL)

Hitachi (OTCMKTS:HTHIY) and Markel Group (NYSE:MKL) are both large-cap multi-sector conglomerates companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, dividends, risk, institutional ownership, profitability, valuation and earnings.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Hitachi and Markel Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hitachi	0	0	0	0	0.00
Markel Group	0	3	2	0	2.40

Markel Group has a consensus price target of $1,820.33, indicating a potential downside of 6.35%. Given Markel Group’s stronger consensus rating and higher possible upside, analysts clearly believe Markel Group is more favorable than Hitachi.

Risk and Volatility

Hitachi has a beta of 0.83, meaning that its share price is 17% less volatile than the S&P 500. Comparatively, Markel Group has a beta of 0.78, meaning that its share price is 22% less volatile than the S&P 500.

Profitability

This table compares Hitachi and Markel Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hitachi	6.45%	10.83%	4.85%
Markel Group	13.39%	7.18%	1.88%

Institutional and Insider Ownership

0.3% of Hitachi shares are owned by institutional investors. Comparatively, 77.1% of Markel Group shares are owned by institutional investors. 1.7% of Markel Group shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Valuation & Earnings

This table compares Hitachi and Markel Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hitachi	$64.25 billion	2.10	$4.06 billion	$2.66	11.06
Markel Group	$16.62 billion	1.48	$2.75 billion	$166.74	11.66

Hitachi has higher revenue and earnings than Markel Group. Hitachi is trading at a lower price-to-earnings ratio than Markel Group, indicating that it is currently the more affordable of the two stocks.

Summary

Markel Group beats Hitachi on 8 of the 14 factors compared between the two stocks.

About Hitachi

Hitachi, Ltd. provides digital system and services, green energy and mobility, and connective industry solutions in Japan and internationally. It operates through seven segments: Digital Systems & Services, Green Energy & Mobility, Connective Industries, Automotive System, Hitachi Construction Machinery, Hitachi Metals, and Others. The company offers system integration, consulting, cloud services, storage, servers, and ATMs; finance solutions, social infrastructure information systems, government and public corporation information system, big data and AI, and IoT and data management; and IT products. It also operates power grids, nuclear and clear energy, renewable energy; provides energy management services and distributed power source solutions; semiconductors; elevators and escalators; air conditioners; industrial equipment; and railway systems. In addition, the company offers medical equipment for radiation therapy, In-vitro diagnosis, and regenerative medicines; automotive systems; home appliances; and water treatment solutions for water supply and sewage infrastructure, industrial water treatment, seawater desalination, and water recycling, as well as maintenance and repair services. Further, it hydraulic excavators, wheel loaders, mining machinery, construction solutions, and mine management systems. Additionally, the company offers specialty steel, functional components and equipment, power electronic and magnetic materials, wires, and cable and related products; optical disk drives; and property management services. Hitachi, Ltd. was founded in 1910 and is headquartered in Tokyo, Japan.

About Markel Group

Markel Group Inc., a diverse holding company, engages in marketing and underwriting specialty insurance products in the United States, Bermuda, the United Kingdom, and Germany. The company offers general and professional liability, personal lines, marine and energy, specialty programs, and workers' compensation insurance products; and property coverages that include fire, allied lines, and other specialized property coverages, including catastrophe-exposed property risks, such as earthquake and wind. It also offers credit and surety products, and collateral protection insurance products. In addition, the company offers transaction, directors and officers, and healthcare liability reinsurance; and specialty treaty reinsurance products comprising credit and surety, workers' compensation, marine and energy, public entity, mortgage default, aviation and space, agriculture, and discrete political violence and national terror pools. Further, it provides construction services, consumer and building products, transportation-related products, consulting services, and equipment manufacturing products, as well as healthcare, leasing, and investment services. Additionally, the company operates as an insurance and investment fund manager offering a range of investment products, including insurance-linked securities, catastrophe bonds, insurance swaps, traditional reinsurance contracts, industry loss warranties and other financial instruments; and program services. It also manages funds with third parties. The company was formerly known as Markel Corporation and changed its name to Markel Group Inc. in May 2023. Markel Group Inc. was founded in 1930 and is based in Glen Allen, Virginia.