Safety Insurance Group, Inc. (SAFT) vs United Fire Group, Inc (UFCS)

Safety Insurance Group, Inc. and United Fire Group, Inc are both Insurance Property & Casualty companies. Safety Insurance Group, Inc. is the larger, with a market value of $1.5B against $1.4B — 1.1× the size. United Fire Group, Inc trades at the lower P/E: 9.9× against 22.3×. United Fire Group, Inc grew revenue faster over the last twelve months: 11.4% against 7.21%. United Fire Group, Inc has the higher net margin (9.57% vs 5.33%) and the higher return on invested capital (12.0% vs 6.55%). Both pay a dividend; Safety Insurance Group, Inc. yields more (4.37% vs 2.93%). Across the 23 metrics below, United Fire Group, Inc leads on 18 and Safety Insurance Group, Inc. on 5.

Valuation

Metric SAFT UFCS Insurance Property & Casualty median
P/E 22.26 9.91 10.29
P/S 1.17 0.93 1.17
P/B 1.71 1.40 1.83
Price to free cash flow 8.55 5.10 7.48
EV/EBITDA 16.19 6.85 7.49
EV/Sales 1.18 0.93 1.13
Earnings yield 4.49% 10.09% 9.50%
Free cash flow yield 11.69% 19.60% 13.29%

Profitability

Metric SAFT UFCS Insurance Property & Casualty median
Gross margin 7.63% 35.24% 41.16%
Operating margin 6.99% 12.87% 15.09%
Net margin 5.33% 9.57% 11.51%
Free cash flow margin 13.66% 18.22% 17.59%
Return on equity 7.84% 15.46% 18.19%
Return on assets 2.82% 3.67% 3.74%
Return on invested capital 6.55% 12.03% 12.06%

Growth

Metric SAFT UFCS Insurance Property & Casualty median
Revenue growth (TTM) 7.21% 11.36% 8.69%
EPS growth (last fiscal year) 40.17% 87.45% —
Revenue growth, 5-year CAGR 8.35% 5.34% 9.23%
Net income growth, 5-year CAGR (6.41%) 0.00% 10.09%

Health

Metric SAFT UFCS Insurance Property & Casualty median
Debt to equity 0.06 0.15 0.25
Current ratio 0.40 0.34 0.42
Net debt to EBITDA (0.18) (0.06) 0.08

Dividend

Metric SAFT UFCS Insurance Property & Casualty median
Dividend yield 4.37% 2.93% 2.79%
Payout ratio 1.50 0.30 0.27

Size

Metric SAFT UFCS Insurance Property & Casualty median
Market cap 1.52b 1.37b 2.44b

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