Kinsale Capital Group, Inc. (KNSL) vs Mercury General Corporation (MCY)

Kinsale Capital Group, Inc. and Mercury General Corporation are both Insurance Property & Casualty companies. Kinsale Capital Group, Inc. is the larger, with a market value of $7.8B against $5.4B — 1.4× the size. Mercury General Corporation trades at the lower P/E: 5.9× against 13.3×. Kinsale Capital Group, Inc. grew revenue faster over the last twelve months: 15.8% against 9.95%. Kinsale Capital Group, Inc. has the higher net margin (28.5% vs 14.8%) and the lower return on invested capital (22.1% vs 35.8%). Both pay a dividend; Mercury General Corporation yields more (3.17% vs 0.14%). Across the 23 metrics below, Mercury General Corporation leads on 14 and Kinsale Capital Group, Inc. on 9.

Valuation

Metric KNSL MCY Insurance Property & Casualty median
P/E 13.35 5.88 10.29
P/S 3.77 0.87 1.17
P/B 3.70 1.94 1.83
Price to free cash flow 7.52 4.28 7.48
EV/EBITDA 10.43 3.73 7.49
EV/Sales 3.79 0.75 1.13
Earnings yield 7.49% 17.02% 9.50%
Free cash flow yield 13.31% 23.34% 13.29%

Profitability

Metric KNSL MCY Insurance Property & Casualty median
Gross margin 36.47% 26.12% 41.16%
Operating margin 36.33% 18.78% 15.09%
Net margin 28.49% 14.77% 11.51%
Free cash flow margin 50.14% 20.26% 17.59%
Return on equity 30.27% 38.99% 18.19%
Return on assets 9.49% 9.55% 3.74%
Return on invested capital 22.12% 35.81% 12.06%

Growth

Metric KNSL MCY Insurance Property & Casualty median
Revenue growth (TTM) 15.82% 9.95% 8.69%
EPS growth (last fiscal year) 21.77% 15.62% —
Revenue growth, 5-year CAGR 32.44% 9.63% 9.23%
Net income growth, 5-year CAGR 41.62% 7.63% 10.09%

Health

Metric KNSL MCY Insurance Property & Casualty median
Debt to equity 0.11 0.33 0.25
Current ratio 0.09 0.42 0.42
Net debt to EBITDA 0.09 (0.97) 0.08

Dividend

Metric KNSL MCY Insurance Property & Casualty median
Dividend yield 0.14% 3.17% 2.79%
Payout ratio 0.05 0.57 0.27

Size

Metric KNSL MCY Insurance Property & Casualty median
Market cap 7.76b 5.44b 2.44b

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