American Financial Group, Inc. (AFG) vs Old Republic International Corporation (ORI)

American Financial Group, Inc. and Old Republic International Corporation are both Insurance Property & Casualty companies. American Financial Group, Inc. is the larger, with a market value of $11.5B against $9.2B — 1.3× the size. Old Republic International Corporation trades at the lower P/E: 8.1× against 12.1×. Old Republic International Corporation grew revenue faster over the last twelve months: 12.1% against −0.24%. Old Republic International Corporation has the higher net margin (11.7% vs 11.5%) and the lower return on invested capital (12.1% vs 14.4%). Both pay a dividend; American Financial Group, Inc. yields more (4.48% vs 3.63%). Across the 23 metrics below, Old Republic International Corporation leads on 15 and American Financial Group, Inc. on 8.

Valuation

Metric AFG ORI Insurance Property & Casualty median
P/E 12.08 8.06 10.29
P/S 1.39 0.93 1.17
P/B 2.38 1.49 1.83
Price to free cash flow 7.98 7.07 7.48
EV/EBITDA 8.58 7.11 7.49
EV/Sales 1.43 1.12 1.13
Earnings yield 8.28% 12.41% 9.50%
Free cash flow yield 12.53% 14.14% 13.29%

Profitability

Metric AFG ORI Insurance Property & Casualty median
Gross margin 22.29% 15.79% 41.16%
Operating margin 15.60% 15.79% 15.09%
Net margin 11.51% 11.71% 11.51%
Free cash flow margin 17.37% 13.17% 17.59%
Return on equity 20.41% 18.52% 18.19%
Return on assets 2.99% 3.74% 3.74%
Return on invested capital 14.44% 12.06% 12.06%

Growth

Metric AFG ORI Insurance Property & Casualty median
Revenue growth (TTM) (0.24%) 12.12% 8.69%
EPS growth (last fiscal year) (4.64%) 14.81% —
Revenue growth, 5-year CAGR 7.22% 4.98% 9.23%
Net income growth, 5-year CAGR 2.84% 10.86% 10.09%

Health

Metric AFG ORI Insurance Property & Casualty median
Debt to equity 0.38 0.38 0.25
Current ratio 0.49 0.19 0.42
Net debt to EBITDA 0.08 1.04 0.08

Dividend

Metric AFG ORI Insurance Property & Casualty median
Dividend yield 4.48% 3.63% 2.79%
Payout ratio 0.25 0.36 0.27

Size

Metric AFG ORI Insurance Property & Casualty median
Market cap 11.48b 9.16b 2.44b

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