Comparing NN Group (OTCMKTS:NNGRY) & Manulife Financial (NYSE:MFC)

Manulife Financial (NYSE:MFC) and NN Group (OTCMKTS:NNGRY) are both large-cap finance companies, but which is the better business? We will compare the two companies based on the strength of their risk, analyst recommendations, earnings, profitability, institutional ownership, dividends and valuation.

Earnings and Valuation

This table compares Manulife Financial and NN Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Manulife Financial	-$10.77 billion	-5.06	$4.11 billion	$2.24	14.35
NN Group	$10.28 billion	1.82	$1.71 billion	N/A	N/A

Manulife Financial has higher earnings, but lower revenue than NN Group.

Risk and Volatility

Manulife Financial has a beta of 0.98, meaning that its stock price is 2% less volatile than the S&P 500. Comparatively, NN Group has a beta of 0.85, meaning that its stock price is 15% less volatile than the S&P 500.

Dividends

Manulife Financial pays an annual dividend of $1.27 per share and has a dividend yield of 4.0%. NN Group pays an annual dividend of $1.26 per share and has a dividend yield of 3.6%. Manulife Financial pays out 56.7% of its earnings in the form of a dividend. Manulife Financial has raised its dividend for 12 consecutive years. Manulife Financial is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares Manulife Financial and NN Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Manulife Financial	10.46%	15.77%	0.74%
NN Group	N/A	N/A	N/A

Analyst Ratings

This is a summary of current ratings and recommmendations for Manulife Financial and NN Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Manulife Financial	0	0	2	1	3.33
NN Group	1	6	0	1	2.13

Manulife Financial presently has a consensus price target of $48.00, indicating a potential upside of 49.32%. Given Manulife Financial’s stronger consensus rating and higher possible upside, equities analysts plainly believe Manulife Financial is more favorable than NN Group.

Insider & Institutional Ownership

52.6% of Manulife Financial shares are held by institutional investors. Comparatively, 0.0% of NN Group shares are held by institutional investors. 0.0% of Manulife Financial shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Manulife Financial beats NN Group on 12 of the 15 factors compared between the two stocks.

About Manulife Financial

Manulife Financial Corporation, together with its subsidiaries, provides financial products and services in the United States, Canada, Asia, and internationally. The company operates through Wealth and Asset Management Businesses; Insurance and Annuity Products; and Corporate and Other segments. The Wealth and Asset Management Businesses segment offers investment advice and solutions to retirement, retail, and institutional clients through multiple distribution channels, including agents and brokers affiliated with the company, independent securities brokerage firms and financial advisors pension plan consultants, and banks. The Insurance and Annuity Products segment provides deposit and credit products; and individual life insurance, individual and group long-term care insurance, and guaranteed and partially guaranteed annuity products through multiple distribution channels, including insurance agents, brokers, banks, financial planners, and direct marketing. The Corporate and Other segment is involved in the property and casualty reinsurance businesses; and run-off reinsurance operations, including variable annuities, and accident and health. The company also manages timberland and agricultural portfolios; and engages in insurance agency, investment counseling and dealer, portfolio and mutual fund management, property and casualty insurance, and mutual fund dealer businesses. In addition, it provides integrated banking products and services. The company was incorporated in 1887 and is headquartered in Toronto, Canada.

About NN Group

NN Group N.V., a financial services company, provides life and non-life insurance products in the Netherlands and internationally. The company operates through Netherlands Life, Netherlands Non-life, Insurance Europe, Japan Life, Banking, and Other segments. It offers Life insurance products, such as group and individual pension products, retail life insurance, and SME life insurance products; and non-life insurance products, including motor, fire, liability, transport, travel, health, property and casualty, and disability and accident insurance products. The company also provides banking services, including mortgage loans, bank annuities, consumer savings, and retail savings and investment products; reinsurance services; and retirement products and services. It offers its products to individuals, small and medium-sized enterprises, and Corporates customers directly through tied agents, agents/ brokers, platform insurance, and direct channels. The company was formerly known as ING Insurance Topholding N.V. and changed its name to NN Group N.V. in March 2014. NN Group N.V. was founded in 1845 and is headquartered in the Hague, the Netherlands.