SiriusPoint (NYSE:SPNT) and F&G Annuities & Life (NYSE:FG) Critical Review

F&G Annuities & Life (NYSE:FG) and SiriusPoint (NYSE:SPNT) are both mid-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, dividends, valuation, risk, institutional ownership, analyst recommendations and earnings.

Earnings and Valuation

This table compares F&G Annuities & Life and SiriusPoint”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
F&G Annuities & Life	$5.70 billion	0.45	$265.00 million	$2.93	6.67
SiriusPoint	$3.21 billion	0.91	$459.60 million	$4.10	6.10

SiriusPoint has lower revenue, but higher earnings than F&G Annuities & Life. SiriusPoint is trading at a lower price-to-earnings ratio than F&G Annuities & Life, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

95.9% of F&G Annuities & Life shares are held by institutional investors. Comparatively, 52.8% of SiriusPoint shares are held by institutional investors. 2.5% of F&G Annuities & Life shares are held by insiders. Comparatively, 12.2% of SiriusPoint shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares F&G Annuities & Life and SiriusPoint’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
F&G Annuities & Life	6.89%	10.28%	0.50%
SiriusPoint	15.56%	15.65%	2.76%

Analyst Recommendations

This is a breakdown of current ratings and price targets for F&G Annuities & Life and SiriusPoint, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
F&G Annuities & Life	1	3	0	0	1.75
SiriusPoint	0	3	2	1	2.67

F&G Annuities & Life presently has a consensus price target of $24.00, suggesting a potential upside of 22.89%. SiriusPoint has a consensus price target of $30.50, suggesting a potential upside of 21.88%. Given F&G Annuities & Life’s higher probable upside, analysts plainly believe F&G Annuities & Life is more favorable than SiriusPoint.

Risk and Volatility

F&G Annuities & Life has a beta of 1.19, suggesting that its stock price is 19% more volatile than the S&P 500. Comparatively, SiriusPoint has a beta of 0.59, suggesting that its stock price is 41% less volatile than the S&P 500.

Summary

SiriusPoint beats F&G Annuities & Life on 10 of the 15 factors compared between the two stocks.

About F&G Annuities & Life

F&G Annuities & Life, Inc. engages in the provision of fixed annuity and life insurance products. It specializes in life insurance, annuities, retirement planning and wealth transfer. The company was founded in 1959 and is headquartered in Des Moines, IA.

About SiriusPoint

SiriusPoint Ltd. provides multi-line insurance and reinsurance products and services worldwide. The company operates through two segments, Reinsurance, and Insurance & Services. The Reinsurance segment provides aviation and space, accident and health, casualty, credit, marine and energy, property to insurance and reinsurance companies, government entities, and other risk bearing vehicles. This segment offers medical insurance products, trip cancellation programs, medical management services, and 24/7 emergency medical and travel assistance services. The Insurance & Services segment provides accident and health, marine and energy, property and casualty, mortgage, environmental, workers' compensation, commercial auto lines, professional liability, and other lines of business. The company was formerly known as Third Point Reinsurance Ltd. and changed its name to SiriusPoint Ltd. in February 2021. SiriusPoint Ltd. was incorporated in 2011 and is headquartered in Pembroke, Bermuda.