Head-To-Head Analysis: Hamilton Insurance Group (NYSE:HG) vs. MetLife (NYSE:MET)

MetLife (NYSE:MET) and Hamilton Insurance Group (NYSE:HG) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, earnings, valuation, risk, institutional ownership, dividends and analyst recommendations.

Insider and Institutional Ownership

95.0% of MetLife shares are held by institutional investors. Comparatively, 29.2% of Hamilton Insurance Group shares are held by institutional investors. 0.4% of MetLife shares are held by insiders. Comparatively, 17.5% of Hamilton Insurance Group shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Volatility and Risk

MetLife has a beta of 0.76, meaning that its stock price is 24% less volatile than the S&P 500. Comparatively, Hamilton Insurance Group has a beta of 0.69, meaning that its stock price is 31% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings for MetLife and Hamilton Insurance Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MetLife	0	3	9	2	2.93
Hamilton Insurance Group	0	2	7	1	2.90

MetLife presently has a consensus target price of $95.42, suggesting a potential upside of 24.60%. Hamilton Insurance Group has a consensus target price of $29.88, suggesting a potential upside of 10.20%. Given MetLife’s stronger consensus rating and higher probable upside, equities analysts clearly believe MetLife is more favorable than Hamilton Insurance Group.

Profitability

This table compares MetLife and Hamilton Insurance Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MetLife	5.30%	21.00%	0.85%
Hamilton Insurance Group	15.95%	15.07%	4.46%

Earnings and Valuation

This table compares MetLife and Hamilton Insurance Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MetLife	$70.99 billion	0.71	$4.43 billion	$5.31	14.42
Hamilton Insurance Group	$2.80 billion	0.95	$400.43 million	$4.20	6.45

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

Summary

MetLife beats Hamilton Insurance Group on 11 of the 15 factors compared between the two stocks.

About MetLife

MetLife, Inc., a financial services company, provides insurance, annuities, employee benefits, and asset management services worldwide. It operates through six segments: Retirement and Income Solutions; Group Benefits; Asia; Latin America; Europe, the Middle East and Africa; and MetLife Holdings. The company offers life, dental, group short-and long-term disability, individual disability, pet insurance, accidental death and dismemberment, vision, and accident and health coverages, as well as prepaid legal plans; administrative services-only arrangements to employers; and general and separate account, and synthetic guaranteed interest contracts, as well as private floating rate funding agreements. It also provides pension risk transfers, institutional income annuities, structured settlements, and capital markets investment products; and other products and services, such as life insurance products and funding agreements for funding postretirement benefits, as well as company, bank, or trust-owned life insurance used to finance nonqualified benefit programs for executives. In addition, it provides fixed, indexed-linked, and variable annuities; pension products; regular savings products; whole and term life, endowments, universal and variable life, and group life products; longevity reinsurance solutions; credit insurance products; and protection against long-term health care services. MetLife, Inc. was incorporated in 1999 and is based in New York, New York.

About Hamilton Insurance Group

Hamilton Insurance Group, Ltd., through its subsidiaries, provides underwriting specialty insurance and reinsurance risks in Bermuda and internationally. The company operates Hamilton Global Specialty, Hamilton Select, and Hamilton Re underwriting platforms. The company offers casualty reinsurance products, such as commercial motor, general liability, healthcare, multiline, personal motor, professional liability, umbrella and excess casualty, and worker's compensation and employer's liability reinsurance; property reinsurance and insurance; and specialty reinsurance solutions, including accident and health, aviation and space, crisis management, mortgage, financial lines, marine and energy, and multiline specialty. In addition, it offers accident and health, cyber, energy, environmental, financial lines, fine art and specie, kidnap and ransom, mergers and acquisitions, marine and energy liability, political risk and violence, professional liability, property binders, property direct and facultative, professional lines, space, upstream energy, excess casualty, war and terrorism, allied medical, management liability, medical professionals, general liability, products liability and contractors, and small business casualty insurance plans, as well as surety and treaty reinsurance products. The company was incorporated in 2013 and is headquartered in Pembroke, Bermuda.