Donegal Group, Inc. (DGICA) vs Heritage Insurance Holdings, Inc. (HRTG)

Donegal Group, Inc. and Heritage Insurance Holdings, Inc. are both Insurance Property & Casualty companies. Heritage Insurance Holdings, Inc. is the larger, with a market value of $1.1B against $691.1M — 1.6× the size. Heritage Insurance Holdings, Inc. trades at the lower P/E: 5.1× against 9.5×. Heritage Insurance Holdings, Inc. grew revenue faster over the last twelve months: 1.54% against −3.14%. Heritage Insurance Holdings, Inc. has the higher net margin (25.2% vs 7.38%) and the higher return on invested capital (489.1% vs 8.21%). Across the 20 metrics below, Heritage Insurance Holdings, Inc. leads on 17 and Donegal Group, Inc. on 3.

Valuation

Metric DGICA HRTG Insurance Property & Casualty median
P/E 9.53 5.08 10.75
P/S 0.72 1.26 1.21
P/B 1.04 1.89 1.99
Price to free cash flow 11.85 3.57 7.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 10.49% 19.68% 9.08%
Free cash flow yield 8.44% 28.03% 12.11%

Profitability

Metric DGICA HRTG Insurance Property & Casualty median
Gross margin 24.57% 45.39% 41.16%
Operating margin 9.25% 34.46% 15.09%
Net margin 7.38% 25.19% 11.51%
Free cash flow margin 6.06% 35.21% 17.46%
Return on equity 11.18% 45.27% 17.34%
Return on assets 2.91% 8.63% 3.74%
Return on invested capital 8.21% 489.08% 12.06%

Growth

Metric DGICA HRTG Insurance Property & Casualty median
Revenue growth (TTM) (3.14%) 1.54% 8.02%
EPS growth (last fiscal year) 42.48% 214.43% 39.61%
Revenue growth, 5-year CAGR 4.69% 7.38% 9.23%
Net income growth, 5-year CAGR 8.48% 83.79% 10.09%

Health

Metric DGICA HRTG Insurance Property & Casualty median
Debt to equity 0.05 0.13 0.25
Current ratio 0.37 0.83 0.42
Net debt to EBITDA 0.08 (1.77) 0.08

Dividend

Metric DGICA HRTG Insurance Property & Casualty median
Dividend yield 4.01% — 1.50%
Payout ratio 0.39 — 0.14

Size

Metric DGICA HRTG Insurance Property & Casualty median
Market cap 691.06m 1.09b 2.67b

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