Analyzing Old Republic International (NYSE:ORI) and AIFU (NASDAQ:AIFU)

Old Republic International (NYSE:ORI) and AIFU (NASDAQ:AIFU) are both finance companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, profitability, earnings, dividends, valuation, risk and institutional ownership.

Earnings & Valuation

This table compares Old Republic International and AIFU”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Old Republic International	$9.14 billion	1.16	$935.40 million	$3.39	12.60
AIFU	$247.81 million	0.02	$62.33 million	$14.60	0.14

Old Republic International has higher revenue and earnings than AIFU. AIFU is trading at a lower price-to-earnings ratio than Old Republic International, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Old Republic International has a beta of 0.75, indicating that its share price is 25% less volatile than the S&P 500. Comparatively, AIFU has a beta of 0.65, indicating that its share price is 35% less volatile than the S&P 500.

Institutional and Insider Ownership

70.9% of Old Republic International shares are held by institutional investors. Comparatively, 26.7% of AIFU shares are held by institutional investors. 1.1% of Old Republic International shares are held by insiders. Comparatively, 25.6% of AIFU shares are held 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.

Profitability

This table compares Old Republic International and AIFU’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Old Republic International	10.24%	16.21%	3.38%
AIFU	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Old Republic International and AIFU, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Old Republic International	1	1	0	2	2.75
AIFU	1	0	0	0	1.00

Old Republic International presently has a consensus target price of $42.50, suggesting a potential downside of 0.49%. Given Old Republic International’s stronger consensus rating and higher probable upside, research analysts clearly believe Old Republic International is more favorable than AIFU.

Summary

Old Republic International beats AIFU on 12 of the 14 factors compared between the two stocks.

About Old Republic International

Old Republic International Corporation, through its subsidiaries, engages in the insurance underwriting and related services business primarily in the United States and Canada. It operates through three segments: General Insurance, Title Insurance, and Republic Financial Indemnity Group Run-off Business. The General Insurance segment offers aviation, commercial auto, commercial multi-peril, commercial property, general liability, home and auto warranty, inland marine, travel accident, and workers' compensation insurance products; and financial indemnity products for specialty coverages, including errors and omissions, fidelity, directors and officers, and surety. This segment provides its insurance products to businesses, state and local government, and other institutions in transportation, commercial construction, healthcare, education, retail and wholesale trade, forest products, energy, general manufacturing, and financial services industries. The Title Insurance segment offers lenders' and owners' policies to real estate purchasers and investors based upon searches of the public records. This segment also provides escrow closing and construction disbursement services; and real estate information products, national default management services, and various other services pertaining to real estate transfers and loan transactions. The Republic Financial Indemnity Group Run-off Business segment offers private mortgage insurance coverage that protects mortgage lenders and investors from default related losses on residential mortgage loans made primarily to homebuyers. Old Republic International Corporation was founded in 1923 and is based in Chicago, Illinois.

About AIFU

AIX, Inc. engages in the provision of agency services and insurance claims adjusting services. It operates through the Insurance Agency and Claims Adjusting segments. The Insurance Agency segment includes providing agency services for insurance products and life insurance products. The Claims Adjusting segment provides pre-underwriting survey services, claims adjusting services, disposal of residual value services, loading and unloading supervision services, and consulting services. The company was founded by Yin An Hu and Qiu Ping Lai in 1998 and is headquartered in Guangzhou, China.