Financial Contrast: Hippo (NYSE:HIPO) vs. Ping An Insurance Co. of China (OTCMKTS:PNGAY)

Hippo (NYSE:HIPO) and Ping An Insurance Co. of China (OTCMKTS:PNGAY) are both finance companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, institutional ownership, valuation, profitability, analyst recommendations, earnings and risk.

Risk & Volatility

Hippo has a beta of 1.56, meaning that its stock price is 56% more volatile than the S&P 500. Comparatively, Ping An Insurance Co. of China has a beta of 0.35, meaning that its stock price is 65% less volatile than the S&P 500.

Earnings & Valuation

This table compares Hippo and Ping An Insurance Co. of China”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hippo	$372.10 million	2.14	-$40.50 million	$3.62	8.67
Ping An Insurance Co. of China	$158.77 billion	0.88	$17.61 billion	$2.13	7.20

Ping An Insurance Co. of China has higher revenue and earnings than Hippo. Ping An Insurance Co. of China is trading at a lower price-to-earnings ratio than Hippo, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Hippo and Ping An Insurance Co. of China’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hippo	21.30%	-5.89%	-1.28%
Ping An Insurance Co. of China	11.89%	10.60%	1.07%

Institutional and Insider Ownership

43.0% of Hippo shares are owned by institutional investors. Comparatively, 0.0% of Ping An Insurance Co. of China shares are owned by institutional investors. 10.8% of Hippo shares are owned by insiders. Comparatively, 0.1% of Ping An Insurance Co. of China shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Hippo and Ping An Insurance Co. of China, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hippo	1	2	4	0	2.43
Ping An Insurance Co. of China	0	0	0	1	4.00

Hippo currently has a consensus target price of $35.50, suggesting a potential upside of 13.15%. Given Hippo’s higher probable upside, research analysts plainly believe Hippo is more favorable than Ping An Insurance Co. of China.

Summary

Hippo beats Ping An Insurance Co. of China on 9 of the 15 factors compared between the two stocks.

About Hippo

Hippo Holdings Inc. provides property and casualty insurance products to individuals and business customers primarily in the United States. The company operates through three segments: Services, Insurance-as-a-Service, and Hippo Home Insurance Program. Its insurance products include homeowners' insurance against risks of fire, wind, and theft, as well as other personal lines policies from third party carriers; and personal and commercial, as well as home, auto, cyber, small business, life, specialty lines, and other insurance products. The company distributes insurance products and services through its technology platform and website, as well as operates licensed insurance agencies. Hippo Holdings Inc. is headquartered in Palo Alto, California.

About Ping An Insurance Co. of China

Ping An Insurance (Group) Company of China, Ltd. provides financial products and services for insurance, banking, asset management, and technology businesses in the People's Republic of China. The company operates through Life and Health Insurance; Property and Casualty Insurance; Banking; Asset Management; and Technology segments. Its Life and Health Insurance segment offers term, whole-life, endowment, annuity, investment-linked, universal life, and health care and medical insurance to individual and corporate customers. The company's Property and Casualty Insurance segment provides auto, non-auto, and accident and health insurance to individual and corporate customers. Its Banking segment undertakes loan and intermediary businesses with corporate and retail customers; and offers wealth management and credit card services to individual customers. The company's Asset Management segment provides trust products services, brokerage services, trading services, investment banking services, investment management, finance lease, and other asset management services. Its Technology segment offers financial and daily-life services through internet platforms, such as financial transaction information service, and health care service platforms. The company also provides annuity insurance, IT and business process outsourcing, real estate investment and management, futures brokerage, project investment, currency brokerage, property agency, fund raising and distribution, real estate development and leasing, and insurance agency services. In addition, it provides factoring, equity investment, logistics and warehousing, management consulting, e-commerce, and credit information services; and operates an expressway, as well as produces and sells consumer chemicals. The company was incorporated in 1988 and is based in Shenzhen, China.