Assurant (AIZ) versus The Competition Critical Review
Assurant (NYSE: AIZ) is one of 22 publicly-traded companies in the “Multiline Insurance & Brokers” industry, but how does it compare to its peers? We will compare Assurant to related businesses based on the strength of its earnings, analyst recommendations, dividends, valuation, profitability, risk and institutional ownership.
Earnings & Valuation
This table compares Assurant and its peers gross revenue, earnings per share and valuation.
|Gross Revenue||NetIncome||Price/Earnings Ratio|
|Assurant||$7.53 billion||$565.35 million||23.48|
|Assurant Competitors||$11.13 billion||$534.17 million||217.64|
Assurant’s peers have higher revenue, but lower earnings than Assurant. Assurant is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.
Insider and Institutional Ownership
91.2% of Assurant shares are owned by institutional investors. Comparatively, 62.2% of shares of all “Multiline Insurance & Brokers” companies are owned by institutional investors. 0.8% of Assurant shares are owned by insiders. Comparatively, 15.5% of shares of all “Multiline Insurance & Brokers” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Assurant pays an annual dividend of $2.12 per share and has a dividend yield of 2.2%. Assurant pays out 50.7% of its earnings in the form of a dividend. As a group, “Multiline Insurance & Brokers” companies pay a dividend yield of 2.1% and pay out 45.6% of their earnings in the form of a dividend. Assurant has increased its dividend for 13 consecutive years.
This is a breakdown of current recommendations and price targets for Assurant and its peers, as reported by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
Assurant currently has a consensus target price of $115.00, suggesting a potential upside of 17.17%. As a group, “Multiline Insurance & Brokers” companies have a potential downside of 5.83%. Given Assurant’s higher probable upside, research analysts clearly believe Assurant is more favorable than its peers.
This table compares Assurant and its peers’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
Volatility & Risk
Assurant has a beta of 0.8, meaning that its share price is 20% less volatile than the S&P 500. Comparatively, Assurant’s peers have a beta of 1.39, meaning that their average share price is 39% more volatile than the S&P 500.
Assurant peers beat Assurant on 10 of the 15 factors compared.
Assurant Company Profile
Assurant, Inc. is a provider of risk management solutions in the housing and lifestyle markets. The Company operates in North America, Latin America, Europe and Asia. The Company’s segments include Global Housing, Global Lifestyle and Global Preneed. Through its Global Housing segment, it provides lender-placed homeowners, manufactured housing and flood insurance; renters insurance and related products (multi-family housing business), and field services, valuation services and other property risk management services (mortgage solutions business). Through its Global Lifestyle segment, it provides mobile device protection products and related services and extended service products and related services for consumer electronics and appliances (global connected living business); vehicle protection services, and credit insurance. The Global Preneed segment provides pre-funded funeral insurance and annuity products. Its Global Preneed Segment operates in the United States and Canada.
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