Assurant, Inc. (AIZ) vs The Hanover Insurance Group, Inc. (THG)

Assurant, Inc. and The Hanover Insurance Group, Inc. are both Insurance Property & Casualty companies. Assurant, Inc. is the larger, with a market value of $13.9B against $8.0B — 1.7× the size. The Hanover Insurance Group, Inc. trades at the lower P/E: 11.0× against 13.4×. Assurant, Inc. grew revenue faster over the last twelve months: 9.36% against 5.57%. The Hanover Insurance Group, Inc. has the higher net margin (11.2% vs 7.84%) and the higher return on invested capital (14.2% vs 12.6%). Both pay a dividend; The Hanover Insurance Group, Inc. yields more (1.63% vs 1.24%). Across the 21 metrics below, The Hanover Insurance Group, Inc. leads on 17 and Assurant, Inc. on 4.

Valuation

Metric AIZ THG Insurance Property & Casualty median
P/E 13.41 11.02 10.75
P/S 1.04 1.21 1.21
P/B 2.30 2.22 1.99
Price to free cash flow 8.47 6.51 7.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 7.46% 9.08% 9.08%
Free cash flow yield 11.80% 15.37% 12.11%

Profitability

Metric AIZ THG Insurance Property & Casualty median
Gross margin 78.12% 44.76% 41.16%
Operating margin 10.70% 14.98% 15.09%
Net margin 7.84% 11.17% 11.51%
Free cash flow margin 12.30% 18.52% 17.46%
Return on equity 18.19% 21.94% 17.34%
Return on assets 2.95% 4.64% 3.74%
Return on invested capital 12.55% 14.21% 12.06%

Growth

Metric AIZ THG Insurance Property & Casualty median
Revenue growth (TTM) 9.36% 5.57% 8.02%
EPS growth (last fiscal year) 17.08% 55.21% 39.61%
Revenue growth, 5-year CAGR 5.95% 6.45% 9.23%
Net income growth, 5-year CAGR 15.43% 13.06% 10.09%

Health

Metric AIZ THG Insurance Property & Casualty median
Debt to equity 0.36 0.23 0.25
Current ratio 0.37 0.37 0.42
Net debt to EBITDA 0.26 0.11 0.08

Dividend

Metric AIZ THG Insurance Property & Casualty median
Dividend yield 1.24% 1.63% 1.50%
Payout ratio 0.17 0.18 0.14

Size

Metric AIZ THG Insurance Property & Casualty median
Market cap 13.90b 7.95b 2.67b

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