HCI Group, Inc. (HCI) vs Kemper Corporation (KMPR)

HCI Group, Inc. and Kemper Corporation are both Insurance Property & Casualty companies. HCI Group, Inc. is the larger, with a market value of $2.2B against $1.5B — 1.5× the size. Kemper Corporation has negative trailing earnings, so its P/E is not meaningful; HCI Group, Inc. trades at 7.3×. HCI Group, Inc. grew revenue faster over the last twelve months: 22.8% against −4.46%. HCI Group, Inc. has the higher net margin (31.3% vs −10.8%) and the higher return on invested capital (79.2% vs −9.97%). Both pay a dividend; Kemper Corporation yields more (2.16% vs 1.76%). Across the 22 metrics below, HCI Group, Inc. leads on 18 and Kemper Corporation on 4.

Valuation

Metric HCI KMPR Insurance Property & Casualty median
P/E 7.30 n/m 10.29
P/S 2.25 0.33 1.17
P/B 1.83 0.68 1.83
Price to free cash flow 5.27 37.08 7.48
EV/EBITDA 2.83 43.77 7.49
EV/Sales 1.40 0.52 1.13
Earnings yield 13.69% (33.18%) 9.50%
Free cash flow yield 18.99% 2.70% 13.29%

Profitability

Metric HCI KMPR Insurance Property & Casualty median
Gross margin 59.73% (0.55%) 41.16%
Operating margin 48.84% (10.61%) 15.09%
Net margin 31.32% (10.84%) 11.51%
Free cash flow margin 42.99% 8.68% 17.59%
Return on equity 30.46% (19.34%) 18.19%
Return on assets 11.92% (4.04%) 3.74%
Return on invested capital 79.17% (9.97%) 12.06%

Growth

Metric HCI KMPR Insurance Property & Casualty median
Revenue growth (TTM) 22.77% (4.46%) 8.69%
EPS growth (last fiscal year) 155.57% (53.36%) —
Revenue growth, 5-year CAGR 23.75% (1.65%) 9.23%
Net income growth, 5-year CAGR 61.50% (18.96%) 10.09%

Health

Metric HCI KMPR Insurance Property & Casualty median
Debt to equity 0.06 0.43 0.25
Current ratio 0.69 0.14 0.42
Net debt to EBITDA (2.56) 2.92 0.08

Dividend

Metric HCI KMPR Insurance Property & Casualty median
Dividend yield 1.76% 2.16% 2.79%
Payout ratio 7.62 0.99 0.27

Size

Metric HCI KMPR Insurance Property & Casualty median
Market cap 2.20b 1.48b 2.44b

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