Bowhead Specialty Holdings Inc. (BOW) vs Hippo Holdings Inc. (HIPO)

Bowhead Specialty Holdings Inc. and Hippo Holdings Inc. are both Insurance Property & Casualty companies. Bowhead Specialty Holdings Inc. is the larger, with a market value of $1.1B against $926.2M — 1.2× the size. Bowhead Specialty Holdings Inc. trades at the lower P/E: 19.1× against 28.3×. Bowhead Specialty Holdings Inc. grew revenue faster over the last twelve months: 23.8% against 20.6%. Bowhead Specialty Holdings Inc. has the higher net margin (9.32% vs 5.90%) and the higher return on invested capital (16.5% vs 11.8%). Across the 18 metrics below, Bowhead Specialty Holdings Inc. leads on 12 and Hippo Holdings Inc. on 6.

Valuation

Metric BOW HIPO Insurance Property & Casualty median
P/E 19.05 28.34 12.17
P/S 1.75 1.69 1.26
P/B 2.49 1.96 1.85
Price to free cash flow 2.77 8.31 8.04
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 5.25% 3.53% 8.20%
Free cash flow yield 36.13% 12.04% 11.86%

Profitability

Metric BOW HIPO Insurance Property & Casualty median
Gross margin 29.81% 100.00% 37.39%
Operating margin 13.36% 6.63% 14.67%
Net margin 9.32% 5.90% 10.16%
Free cash flow margin 63.24% 20.97% 18.60%
Return on equity 13.60% 7.19% 16.59%
Return on assets 2.42% 1.38% 3.38%
Return on invested capital 16.51% 11.84% 9.43%

Growth

Metric BOW HIPO Insurance Property & Casualty median
Revenue growth (TTM) 23.83% 20.55% 5.70%
EPS growth (last fiscal year) 23.26% 235.37% 39.61%
Revenue growth, 5-year CAGR — 55.46% 9.23%
Net income growth, 5-year CAGR — 0.00% 10.09%

Health

Metric BOW HIPO Insurance Property & Casualty median
Debt to equity 0.33 0.10 0.25
Current ratio 0.50 0.96 0.49
Net debt to EBITDA (1.19) 38.15 0.08

Dividend

Metric BOW HIPO Insurance Property & Casualty median
Dividend yield — — 1.56%
Payout ratio — — 0.15

Size

Metric BOW HIPO Insurance Property & Casualty median
Market cap 1.13b 926.17m 2.64b

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