Hagerty, Inc. (HGTY) vs Selective Insurance Group, Inc. (SIGI)

Hagerty, Inc. and Selective Insurance Group, Inc. are both Insurance Property & Casualty companies. Hagerty, Inc. and Selective Insurance Group, Inc. are of similar size ($5.3B and $5.2B). Selective Insurance Group, Inc. trades at the lower P/E: 11.1× against 95.6×. Selective Insurance Group, Inc. grew revenue faster over the last twelve months: 7.01% against 3.75%. Selective Insurance Group, Inc. has the higher net margin (8.93% vs 1.25%) and the higher return on invested capital (9.36% vs 0.00%). Across the 20 metrics below, Selective Insurance Group, Inc. leads on 13 and Hagerty, Inc. on 7.

Valuation

Metric HGTY SIGI Insurance Property & Casualty median
P/E 95.63 11.06 10.75
P/S 1.10 0.97 1.21
P/B 2.40 1.54 1.99
Price to free cash flow 5.59 4.44 7.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 1.05% 9.04% 9.08%
Free cash flow yield 17.88% 22.50% 12.11%

Profitability

Metric HGTY SIGI Insurance Property & Casualty median
Gross margin 100.00% 41.16% 41.16%
Operating margin 13.39% 12.46% 15.09%
Net margin 1.25% 8.93% 11.51%
Free cash flow margin 19.68% 21.73% 17.46%
Return on equity 2.88% 14.73% 17.34%
Return on assets 0.84% 3.25% 3.74%
Return on invested capital 0.00% 9.36% 12.06%

Growth

Metric HGTY SIGI Insurance Property & Casualty median
Revenue growth (TTM) 3.75% 7.01% 8.02%
EPS growth (last fiscal year) 270.00% 131.89% 39.61%
Revenue growth, 5-year CAGR 23.86% 12.80% 9.23%
Net income growth, 5-year CAGR 32.47% 13.16% 10.09%

Health

Metric HGTY SIGI Insurance Property & Casualty median
Debt to equity 0.40 0.25 0.25
Current ratio 1.53 0.25 0.42
Net debt to EBITDA (3.42) 1.32 0.08

Dividend

Metric HGTY SIGI Insurance Property & Casualty median
Dividend yield — 1.93% 1.50%
Payout ratio — 0.21 0.14

Size

Metric HGTY SIGI Insurance Property & Casualty median
Market cap 5.26b 5.20b 2.67b

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