Contrasting Oxbridge Re (NASDAQ:OXBR) and AON (NYSE:AON)

Oxbridge Re (NASDAQ:OXBR) and AON (NYSE:AON) are both finance companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, valuation, earnings, dividends, institutional ownership, risk and analyst recommendations.

Valuation & Earnings

This table compares Oxbridge Re and AON”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Oxbridge Re	$550,000.00	21.11	-$2.73 million	($0.41)	-3.71
AON	$16.75 billion	4.39	$2.65 billion	$12.48	27.30

AON has higher revenue and earnings than Oxbridge Re. Oxbridge Re is trading at a lower price-to-earnings ratio than AON, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

5.6% of Oxbridge Re shares are owned by institutional investors. Comparatively, 86.1% of AON shares are owned by institutional investors. 16.5% of Oxbridge Re shares are owned by insiders. Comparatively, 1.1% of AON shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Oxbridge Re and AON, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Oxbridge Re	1	0	1	0	2.00
AON	0	5	11	1	2.76

Oxbridge Re currently has a consensus target price of $5.00, suggesting a potential upside of 228.95%. AON has a consensus target price of $420.00, suggesting a potential upside of 23.26%. Given Oxbridge Re’s higher possible upside, research analysts clearly believe Oxbridge Re is more favorable than AON.

Risk and Volatility

Oxbridge Re has a beta of 1.97, suggesting that its share price is 97% more volatile than the S&P 500. Comparatively, AON has a beta of 0.89, suggesting that its share price is 11% less volatile than the S&P 500.

Profitability

This table compares Oxbridge Re and AON’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Oxbridge Re	-151.89%	-59.48%	-35.20%
AON	15.54%	50.91%	7.00%

Summary

AON beats Oxbridge Re on 11 of the 15 factors compared between the two stocks.

About Oxbridge Re

Oxbridge Re Holdings Limited, through its subsidiaries, provides specialty property and casualty reinsurance solutions. The company underwrites collateralized reinsurance contracts primarily for property and casualty insurance companies in the Gulf Coast region of the United States. It also issues reinsurance contracts through digital securities by blockchain technology. In addition, the company offers fractional aircraft ownership, jet card, aircraft brokerage, and charter service through its fleet of private aircraft. It distributes its products and solutions through reinsurance brokers. Oxbridge Re Holdings Limited was incorporated in 2013 and is headquartered in George Town, the Cayman Islands.

About AON

Aon Plc engages in the provision of risk, health, and wealth solutions. It focuses on risk capital including claim management, reinsurance, risk analysis, management, retention, and transfer; and human capital involving analytics, health and benefits, investments, pensions and retirement, talent and rewards, and workplace wellbeing. The company was founded in 1982 and is headquartered in Dublin, Ireland.