Palomar Holdings, Inc. (PLMR) vs Skyward Specialty Insurance Group, Inc. (SKWD)

Palomar Holdings, Inc. and Skyward Specialty Insurance Group, Inc. are both Insurance Property & Casualty companies. Palomar Holdings, Inc. is the larger, with a market value of $3.3B against $2.4B — 1.4× the size. Skyward Specialty Insurance Group, Inc. trades at the lower P/E: 12.4× against 16.2×. Palomar Holdings, Inc. grew revenue faster over the last twelve months: 60.0% against 38.3%. Palomar Holdings, Inc. has the higher net margin (18.6% vs 10.8%) and the higher return on invested capital (13.5% vs 10.9%). Across the 20 metrics below, Skyward Specialty Insurance Group, Inc. leads on 11 and Palomar Holdings, Inc. on 9.

Valuation

Metric PLMR SKWD Insurance Property & Casualty median
P/E 16.17 12.39 10.29
P/S 2.99 1.41 1.17
P/B 3.33 1.92 1.83
Price to free cash flow 8.00 6.13 7.48
EV/EBITDA 13.05 9.76 7.49
EV/Sales 3.25 1.47 1.13
Earnings yield 6.19% 8.07% 9.50%
Free cash flow yield 12.50% 16.33% 13.29%

Profitability

Metric PLMR SKWD Insurance Property & Casualty median
Gross margin 24.87% 44.14% 41.16%
Operating margin 24.87% 15.09% 15.09%
Net margin 18.61% 10.84% 11.51%
Free cash flow margin 37.41% 23.20% 17.59%
Return on equity 22.23% 17.34% 18.19%
Return on assets 5.98% 3.38% 3.74%
Return on invested capital 13.54% 10.89% 12.06%

Growth

Metric PLMR SKWD Insurance Property & Casualty median
Revenue growth (TTM) 59.98% 38.27% 8.69%
EPS growth (last fiscal year) 60.04% 41.81% —
Revenue growth, 5-year CAGR 39.06% — 9.23%
Net income growth, 5-year CAGR 99.37% — 10.09%

Health

Metric PLMR SKWD Insurance Property & Casualty median
Debt to equity 0.30 0.33 0.25
Current ratio 0.50 0.52 0.42
Net debt to EBITDA (0.41) (0.43) 0.08

Dividend

Metric PLMR SKWD Insurance Property & Casualty median
Dividend yield — — 2.79%
Payout ratio 0.00 — 0.27

Size

Metric PLMR SKWD Insurance Property & Casualty median
Market cap 3.31b 2.44b 2.44b

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