Bowhead Specialty Holdings Inc. (BOW) vs UNIVERSAL INSURANCE HOLDINGS INC (UVE)

Bowhead Specialty Holdings Inc. and UNIVERSAL INSURANCE HOLDINGS INC are both Insurance Property & Casualty companies. UNIVERSAL INSURANCE HOLDINGS INC is the larger, with a market value of $1.3B against $1.1B — 1.2× the size. UNIVERSAL INSURANCE HOLDINGS INC trades at the lower P/E: 6.0× against 18.5×. Bowhead Specialty Holdings Inc. grew revenue faster over the last twelve months: 25.0% against 3.96%. UNIVERSAL INSURANCE HOLDINGS INC has the higher net margin (13.5% vs 10.1%) and the higher return on invested capital (139.4% vs 11.4%). Across the 18 metrics below, UNIVERSAL INSURANCE HOLDINGS INC leads on 13 and Bowhead Specialty Holdings Inc. on 5.

Valuation

Metric BOW UVE Insurance Property & Casualty median
P/E 18.48 6.03 10.75
P/S 1.83 0.80 1.21
P/B 2.38 2.04 1.99
Price to free cash flow 3.42 3.83 7.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 5.41% 16.59% 9.08%
Free cash flow yield 29.24% 26.13% 12.11%

Profitability

Metric BOW UVE Insurance Property & Casualty median
Gross margin 30.51% 25.87% 41.16%
Operating margin 13.50% 18.37% 15.09%
Net margin 10.11% 13.49% 11.51%
Free cash flow margin 53.45% 20.85% 17.46%
Return on equity 14.14% 40.16% 17.34%
Return on assets 2.69% 6.68% 3.74%
Return on invested capital 11.43% 139.39% 12.06%

Growth

Metric BOW UVE Insurance Property & Casualty median
Revenue growth (TTM) 25.02% 3.96% 8.02%
EPS growth (last fiscal year) 23.26% 214.43% 39.61%
Revenue growth, 5-year CAGR — 8.38% 9.23%
Net income growth, 5-year CAGR — 57.14% 10.09%

Health

Metric BOW UVE Insurance Property & Casualty median
Debt to equity 0.31 0.15 0.25
Current ratio 0.48 0.57 0.42
Net debt to EBITDA (1.19) (1.47) 0.08

Dividend

Metric BOW UVE Insurance Property & Casualty median
Dividend yield — 1.36% 1.50%
Payout ratio — 0.08 0.14

Size

Metric BOW UVE Insurance Property & Casualty median
Market cap 1.12b 1.30b 2.67b

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