Conifer (CNFR) and Heritage Insurance (HRTG) Head-To-Head Contrast

Heritage Insurance (NYSE: HRTG) and Conifer (NASDAQ:CNFR) are both small-cap finance companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, risk, valuation, institutional ownership, dividends and earnings.

Volatility & Risk

Heritage Insurance has a beta of 1.49, indicating that its stock price is 49% more volatile than the S&P 500. Comparatively, Conifer has a beta of 1.01, indicating that its stock price is 1% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Heritage Insurance and Conifer, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Heritage Insurance 0 0 3 0 3.00
Conifer 0 1 0 0 2.00

Heritage Insurance presently has a consensus target price of $19.33, indicating a potential upside of 6.64%. Given Heritage Insurance’s stronger consensus rating and higher probable upside, analysts plainly believe Heritage Insurance is more favorable than Conifer.

Valuation and Earnings

This table compares Heritage Insurance and Conifer’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Heritage Insurance $438.96 million 1.00 $33.86 million $0.01 1,814.81
Conifer $93.88 million 0.55 -$8.43 million ($3.42) -1.77

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

Profitability

This table compares Heritage Insurance and Conifer’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Heritage Insurance 0.27% 0.31% 0.09%
Conifer -27.29% -43.07% -12.67%

Dividends

Heritage Insurance pays an annual dividend of $0.24 per share and has a dividend yield of 1.3%. Conifer does not pay a dividend. Heritage Insurance pays out 2,402.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Institutional and Insider Ownership

81.3% of Heritage Insurance shares are owned by institutional investors. Comparatively, 25.6% of Conifer shares are owned by institutional investors. 16.1% of Heritage Insurance shares are owned by company insiders. Comparatively, 45.5% of Conifer shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Heritage Insurance beats Conifer on 14 of the 16 factors compared between the two stocks.

Heritage Insurance Company Profile

Heritage Insurance Holdings, Inc. (Heritage Insurance) is a property and casualty insurance holding company. The Company provides personal and commercial residential insurance. Through its subsidiary, Heritage Property & Casualty Insurance Company (Heritage P&C), it provides personal residential insurance for single-family homeowners and condominium owners, rental property insurance and commercial residential insurance in the state of Florida and North Carolina. The Company is vertically integrated and controls or manages all aspects of insurance underwriting, customer service, actuarial analysis, distribution and claims processing and adjusting. The Company’s primary products are personal and commercial residential insurance, which it offers only in Florida. As of December 31, 2016, it marketed and wrote personal lines voluntary policies through a network of approximately 1,900 independent agents. It had 150,998 voluntary personal residential policies as of December 31, 2016.

Conifer Company Profile

Conifer Holdings, Inc. is an insurance holding company. Through its insurance company subsidiaries, the Company offers insurance coverage in both specialty commercial and specialty personal product lines. It operates through two segments: commercial lines and personal lines. It is engaged in underwriting and marketing insurance coverage, and administering claims processing for such policies. The Company offers coverage for property, liability, automobile, and other miscellaneous coverage primarily to owner-operated small and mid-sized businesses, professional organizations and hospitality businesses, such as restaurants, bars and taverns. The Company offers coverage for low-value dwelling, wind-exposed homeowners and automobile. Its personal lines products include Catastrophe coverage, including hurricane and wind coverage, to underserved homeowners in Florida, Hawaii and Texas, and Dwelling insurance.

Receive News & Ratings for Heritage Insurance Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Heritage Insurance and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply