Loews Corporation (L) vs Markel Group Inc. (MKL)

Loews Corporation and Markel Group Inc. are both Insurance Property & Casualty companies. Loews Corporation and Markel Group Inc. are of similar size ($23.9B and $22.5B). Markel Group Inc. trades at the lower P/E: 13.8× against 15.2×. Loews Corporation grew revenue faster over the last twelve months: 2.82% against −0.64%. Markel Group Inc. has the higher net margin (11.1% vs 7.93%) and the higher return on invested capital (8.25% vs 5.56%). Across the 20 metrics below, Markel Group Inc. leads on 13 and Loews Corporation on 7.

Valuation

Metric L MKL Insurance Property & Casualty median
P/E 15.16 13.79 12.17
P/S 1.21 1.50 1.26
P/B 1.18 1.31 1.85
Price to free cash flow 13.38 13.42 8.04
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 6.60% 7.25% 8.20%
Free cash flow yield 7.48% 7.45% 11.86%

Profitability

Metric L MKL Insurance Property & Casualty median
Gross margin 52.93% 50.23% 37.39%
Operating margin 13.06% 15.31% 14.67%
Net margin 7.93% 11.13% 10.16%
Free cash flow margin 9.01% 11.19% 18.60%
Return on equity 7.76% 9.81% 16.59%
Return on assets 1.74% 2.57% 3.38%
Return on invested capital 5.56% 8.25% 9.43%

Growth

Metric L MKL Insurance Property & Casualty median
Revenue growth (TTM) 2.82% (0.64%) 5.70%
EPS growth (last fiscal year) 24.34% (15.10%) 39.61%
Revenue growth, 5-year CAGR 7.96% 11.25% 9.23%
Net income growth, 5-year CAGR 0.00% 21.14% 10.09%

Health

Metric L MKL Insurance Property & Casualty median
Debt to equity 0.47 0.24 0.25
Current ratio 0.25 0.59 0.49
Net debt to EBITDA 2.88 (0.09) 0.08

Dividend

Metric L MKL Insurance Property & Casualty median
Dividend yield 0.23% — 1.56%
Payout ratio 0.03 — 0.15

Size

Metric L MKL Insurance Property & Casualty median
Market cap 22.47b 23.85b 2.64b

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