Assurant (NYSE:AIZ) & Its Competitors Critical Contrast

Assurant (NYSE: AIZ) is one of 22 public companies in the “Multiline Insurance & Brokers” industry, but how does it weigh in compared to its peers? We will compare Assurant to related companies based on the strength of its dividends, valuation, analyst recommendations, earnings, institutional ownership, risk and profitability.

Profitability

This table compares Assurant and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Assurant 3.67% 3.55% 0.48%
Assurant Competitors 6.14% 11.23% 2.56%

Analyst Recommendations

This is a summary of current recommendations for Assurant and its peers, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Assurant 1 0 1 0 2.00
Assurant Competitors 112 802 849 21 2.44

Assurant currently has a consensus price target of $115.00, indicating a potential upside of 15.27%. As a group, “Multiline Insurance & Brokers” companies have a potential downside of 4.30%. Given Assurant’s higher probable upside, equities research analysts plainly believe Assurant is more favorable than its peers.

Dividends

Assurant pays an annual dividend of $2.24 per share and has a dividend yield of 2.2%. Assurant pays out 53.6% of its earnings in the form of a dividend. As a group, “Multiline Insurance & Brokers” companies pay a dividend yield of 2.0% and pay out 50.5% of their earnings in the form of a dividend. Assurant has raised its dividend for 13 consecutive years.

Volatility & Risk

Assurant has a beta of 0.78, suggesting that its stock price is 22% less volatile than the S&P 500. Comparatively, Assurant’s peers have a beta of 1.28, suggesting that their average stock price is 28% more volatile than the S&P 500.

Institutional & Insider Ownership

90.5% of Assurant shares are held by institutional investors. Comparatively, 62.1% of shares of all “Multiline Insurance & Brokers” companies are held by institutional investors. 0.8% of Assurant shares are held by company insiders. Comparatively, 15.4% of shares of all “Multiline Insurance & Brokers” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Assurant and its peers gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Net Income Price/Earnings Ratio
Assurant $7.53 billion $565.35 million 23.87
Assurant Competitors $11.13 billion $534.17 million 163.25

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.

Summary

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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