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 ($22.6B and $22.2B). Markel Group Inc. trades at the lower P/E: 10.1× against 13.5×. Loews Corporation grew revenue faster over the last twelve months: 3.50% against 0.86%. Markel Group Inc. has the higher net margin (13.8% vs 9.02%) and the higher return on invested capital (10.0% vs 6.03%). Across the 20 metrics below, Markel Group Inc. leads on 15 and Loews Corporation on 5.

Valuation

Metric L MKL Insurance Property & Casualty median
P/E 13.53 10.13 10.75
P/S 1.21 1.40 1.21
P/B 1.13 1.22 1.99
Price to free cash flow 12.85 10.96 7.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 7.39% 9.87% 9.08%
Free cash flow yield 7.78% 9.12% 12.11%

Profitability

Metric L MKL Insurance Property & Casualty median
Gross margin 54.39% 51.93% 41.16%
Operating margin 14.69% 18.63% 15.09%
Net margin 9.02% 13.77% 11.51%
Free cash flow margin 9.45% 12.76% 17.46%
Return on equity 8.78% 12.57% 17.34%
Return on assets 1.96% 3.31% 3.74%
Return on invested capital 6.03% 10.01% 12.06%

Growth

Metric L MKL Insurance Property & Casualty median
Revenue growth (TTM) 3.50% 0.86% 8.02%
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 0.45 0.23 0.25
Current ratio 0.25 0.57 0.42
Net debt to EBITDA 2.88 (0.09) 0.08

Dividend

Metric L MKL Insurance Property & Casualty median
Dividend yield 0.23% — 1.50%
Payout ratio 0.03 — 0.14

Size

Metric L MKL Insurance Property & Casualty median
Market cap 22.24b 22.61b 2.67b

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