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 $8.1B against $5.6B — 1.4× the size. Mercury General Corporation trades at the lower P/E: 6.1× against 14.7×. 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 (1.24% vs 0.25%). Across the 21 metrics below, Mercury General Corporation leads on 12 and Kinsale Capital Group, Inc. on 9.

Valuation

Metric KNSL MCY Insurance Property & Casualty median
P/E 14.67 6.08 10.75
P/S 4.14 0.90 1.21
P/B 4.06 2.01 1.99
Price to free cash flow 8.26 4.43 7.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 6.82% 16.46% 9.08%
Free cash flow yield 12.11% 22.57% 12.11%

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% 17.46%
Return on equity 30.27% 38.99% 17.34%
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% 8.02%
EPS growth (last fiscal year) 21.77% 15.62% 39.61%
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 0.25% 1.24% 1.50%
Payout ratio 0.04 0.08 0.14

Size

Metric KNSL MCY Insurance Property & Casualty median
Market cap 8.14b 5.64b 2.67b

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